Business Hilights
Tracking Nigeria's Headline Business News Online

Core investors to provide 70%, while state 30% in Benue Bio-Fuel project—NNPC

Additional details on the funding structure of the proposed Bio-fuel plant in Agasha Guma area of Benue State, have been revealed by the Nigerian National Petroleum Corporation (NNPC).

Giving update at the end of a follow-up meeting with a Benue State delegation led by Deputy Governor, Engr. Benson Abounu, the Group Managing Director of the Corporation, Dr. Maikanti Baru, said the core investor would provide 70 per cent of the required funding for the project, while Benue State government and the NNPC would take up the balance equity contribution.

He however explained that the core investor will soon be named as all due diligence in the selection have been concluded.

Delivery specifications show that on completion, the plant was projected to generate about one million direct and indirect jobs for the populace, noting that the project would help link the energy sector with the agric. sector through the commercial production of biofuels from selected energy crops.

Coming with the scheme include a sugar cane feedstock plantation of about 20,000 hectares; a cane mill and raw/refined sugar plant capable of producing 126,000 tonnes annually as well as a fuel-ethanol processing plant with production capacity of 84 million litres annually.

Industry analysts told Business Hilights Abuja Bureau Chief that the bio-fuels projects will also help to establish the Bio-gas cogeneration power plant which will generate 64 MW; a carbon dioxide recovery and bottling plant that will produce 2, 000 tonnes annually as well as an animal feed plant that will produce 63, 000 tons annually.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More