Egbin Power Plc, owned by Sahara Group is mulling possible options of rasping funds to expand its power generation capacity to at least 3,000 Mega Watts (MW) in the nearest future.
Egbin Power Plc, which is also Nigeria’s largest thermal station hopes to extend a hand of business fellowship to other West African countries by way of exports.
The plants’ owners are looking at raising $1.8 billion to more than double generation capacity as it seeks to boost output and export electricity to West African countries.
It is looking at a combination of debt and equity to meet the funding requirements ahead of the start of construction work in the second quarter of next year, according to the company.
“The plan is to raise the fund to be available to kick off,” it said in an email, without giving more details as the funding arrangements are being firmed up, according to Bloomberg.
Egbin Power Plc, owned by Sahara Group, plans to build the second phase of its 1,320-megawatt power plant by installing “high efficiency gas combined cycle power plants,” that will produce an additional 1,754 megawatts electricity.
The first phase of the expansion project will begin with the construction of open-cycle turbines next year and will be completed with a closed cycle by 2025, it said.
The company acquired the power plant in 2013 when the government disposed of state-owned electricity generation and distribution assets to the private sector to make them efficient and help curb blackouts.