The Federal Government and the World Bank have sealed a Partial Risk Guarantee (PRG) deal for the supply of gas to the $500 million Calabar gas plant to boost energy supply by 500 megawatts.
Vice President Yemi Osinbajo, who was present at the signing of the agreement at the Presidential Villa, said the event is very significant for the country as it would encourage investment in gas infrastructure.
According to him, the government expected that going by the current power situation, the investment was worth celebrating.
Osinbajo said government was grateful to the World Bank and the investors in the Calabar plant for coming to the aid of the country in its driveto increase power supply.
“We are looking forward to the multiplier effect that will come from this investment,”he said noting that the gas plant traversed Rivers, Cross River and Akwa Ibom States. He also said the investment would portend greater things that could happen in the future.
The Managing Director, Niger Delta Power Holding Company (NDPHC) Ltd.,Mr Chiedu Ugbo, who spoke on the agreement said the agreement was to tackle the gas supply issues in the plant built to generate about 561 megawatts of electricity.
He said the agreement was to enable the gas supplier to supply approximately 131 million cubic feet of gas per day to the Calabar plant, from its field in Akwa Ibom.
