Dangote Industries,Blackstone to build 100 MW solar plant in Nigeria

Dangote Industries,Blackstone to build 100 MW solar plant in NigeriaThe U.S. Trade and Development Agency has awarded a grant to Nigerian multinational industrial conglomerate Dangote Industries Limited and African infrastructure investor BlackRhino to carry out the viability study for a 100 MW solar plant in Nigeria.

BlackRhino is completely owned by Blackstone, one of the biggest alternative asset managers in the United States.

The plant would be built in Kano State, in the north of Nigeria, where the two companies are also preparing to put up a 1 GW coal power plant.

USDTA said the viability study, which will be carried out on a cutthroat basis, is intended to evaluating grid capacity and constancy.

According to earlier media reports, the two companies are planning to mutually invest up to $10 billion in renewable energy and grid infrastructure projects in the Kano State and across south east Nigeria. In Kano State, Dangote Industries and BlackRhino are also the scheduling the construction of a 1 GW coal power plant and a gas pipeline project.

In the southern part of Nigeria, BlackRhino is also working on a gas-fired power plant, which the company calls one of the lowest-cost baseload power plants in the nation, and a linked transmission line.

Dangote Industries has interests across a variety of sectors in Africa including cement, sugar, flour, salt, pasta, beverages and real estate, with new projects in development in oil and natural gas, telecommunications, fertilizer and steel. The company presently has about 26,000 recruits.

Nigeria’s Ministry of Power has just signed two put/call option contracts with local solar developers Afrinegia Nigeria Limited and CT Cosmos Nigeria Limited, in order to make their individual PV projects move forward.

The contracts were part of the finalization of the power purchase agreements which the Federal Government signed with 14 Solar Power developers in the summer of 2016. At the time, the state-owned company Nigerian Bulk Electricity Trading Plc (NBET) signed power purchase agreements for as much as 975 MW of solar.

Nigeria aims to cover 30% of total energy capacity through renewables by 2030.