The Transnational Corporation of Nigeria Plc, Transcorp, has notified the Nigerian Stock Exchange, NSE, that Transcorp Ughelli Power Ltd, TUPL, its subsidiary, has signed an agreement with General Electric, GE, to increase the capacity of TUPL’s power plant from 360 megawatts to 1360 megawatts in the next three to five years. Both parties also signed a separate agreement to rehabilitate the damaged GT 15 turbine at the Ughelli Plant, which will add 115MW to the Plant’s output.
The agreements was signed at a closed door meeting between executives of both companies, led by Tony Elumelu, chairman of Transcorp and Jeffrey Immelt, his counterpart in GE.
The Ughelli power plan, which is the country’s largest gas fired electricity generation asset, was purchased by Transcorp during the 2013 power privatization programme. The $300 million worth plant is part of the $2.5 billion investment pledge made by the chairman of Transcorp and Heirs Holdings to deliver affordable, accessible power to Africa under the Power Africa Initiative.
“TUPL is committed to transform and bring the plant to profitability by increasing its generating capacity to impact positively on the socio-economic development of Nigeria. Ughelli power plant generates 360 megawatts of electricity, up from 160 megawatts on November 1, when Transcorp took ownership of the plant. With the additional 115 megawatts, as well as other rehabilitation works planned at the plant, output at the plant will increase to 700 megawatts by December 2014,” Elumelu disclosed.
GE is a global leader in the design, manufacture, supply, installation and maintenance of technology and services for the Power, Aviation, Oil & Gas, Healthcare and transportation sectors.