Oando Kwale power station

From Global Energy Monitor
Part of the Global Gas Plant Tracker, a Global Energy Monitor and Center for Media and Democracy project.

Oando Kwale power station is a 930-megawatt (MW) gas-fired power plant in Kwale, Delta State, Nigeria.

It is also called Okpai power plant, Kwale-Okpai Independent Power Plant, Kwale Powerplant or the Kwale IPP[1][2]. The phase 2 expansion is also called Okpai Phase 2, Kwale IPP Phase II[1] and Okpai Phase II Independent Power Project (IPP),[3] depending upon which company is talking about it.[4]

Location

The map below shows the exact location of the power station in Kwale, Delta State, Nigeria.

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Background

Phase 1 of the plant was commissioned in 2005.[3] In 2017 Oando Plc secured the Nigerian federal government’s approval for an expansion, essentially doubling the plant's size.[5][6][7]

Oando reported spending on $17.5 million on capital expenditures on Kwale IPP Phase II in 2017,[1] indicating construction had begun.

Over the years, Oando has faced serious financial issues that came to a head in mid-2019 when Nigeria's Securities and Exchange Commission (SEC) ordered Oando's entire board to resign.[8]

The plant's commissioning was delayed to Q3 of 2019[9], however even post-commissioning in 2020 power was not being sent to the grid.[10]

Opposition

In mid-2019, local Okpai citizens protested against the power plant's operators, claiming the company failed to build promised infrastructure and supply power.[11][12][13]

Project Details

  • Sponsor: Nigerian Agip Oil Company Limited JV[14]
  • Parent company: Oando Plc, Nigerian National Petroleum Corporation (NNPC), Eni SpA[15][16]
  • Location: Kwale, Delta State, Nigeria
  • Coordinates: 5.709692, 6.575917 (exact)
  • Gross generating capacity (operating): 930 MW
    • Unit 1: Gas-fired[17] combined cycle[3], 480 MW[18] (start-up in 2005)[3]
    • Unit 2: Gas-fired[19] combined cycle[20], 450 MW[20] (start-up in 2019)[9]

Articles and Resources

References

  1. 1.0 1.1 1.2 Oando Plc Annual Report 2017, Oando 2017 Financial Statements website, accessed Dec 2019
  2. Kwale Powerplant, African Power Platform website, accessed Dec 5, 2019
  3. Okpai Phase 2 Project to 500MW to Nigeria’s power grid -NNPC, Naija247news Media, May 28, 2018
  4. Nkiruka Nnorom, Oando secures FG’s approval for 500Mw power plant in Kwale, Vanguard, May 15, 2017
  5. Eni starts producing gas, condensate at Nigerian Obiafu-41 discovery, SPG Global Platts, Oct 23, 2019
  6. Access to Energy Initiatives, NAOC website, accessed Dec 5, 2019
  7. Eromo Egbejule, Oando under fire from Nigeria's SEC, Petroleum Economist, Jul 24 2019
  8. 9.0 9.1 500mw Okpai power project suffers setback as deadline shifts to Q3, Business Day, Jul 17, 2019
  9. Why Nigerians Are Yet To Feel Impact Of Expansion Of 1000 MW Okpai Power Plant, Nigeria Electricity Hub, Jul 6, 2020
  10. Sony Neme, Youths seek Okowa’s intervention to avert crisis in Ndokwa community, The Guardian, May 3, 2019
  11. Residents of Okpai picket Agip Oil Power Plant for continuous neglect, TVC News Nigeria, Jul 3, 2019
  12. Okpai Residents Picket AGIP's Power Plant In Bayelsa(sic), ChannelsTV, Jul 4, 2019
  13. Oando Energy Resources Signs Agreements To Acquire ConocoPhillips Nigerian Assets For $1.79Billion, Oando, Dec 21, 2012
  14. The NAOC Joint Venture, Eni, accessed May 20, 2021
  15. Investor Relations, Oando, accessed May 20, 2021
  16. Power Plants, Nigerian Electricity Supply Industry, accessed May 20, 2021
  17. Generation, Nigerian Electricty Regulatory Commission, accessed May 20, 2021
  18. Investments in Power, Eni, accessed May 20, 2021
  19. 20.0 20.1 Expansion of independent power plant: Okpai Power Plant Phase II, Delta State, Julius Berger, accessed May 20, 2021