Geometric Power Limited (GPL), an independent power generation company, located in Osisioma, Aba, Abia State, is set to be commissioned in February 2024.
Ahead of the planned commissioning, GPL has concluded plans to receive natural gas supplies from the Oil Mining Licence (OML) 17 oil field, a joint venture operated by the Nigerian National Petroleum Company Limited (NNPCL) and Heirs Holding Company, in Owaza, Ukwa West Local Government Area of Abia State to fire its 188-megawatt power plant in the Osisioma Industrial Layout in Aba.
The OMNL 17 had been under the operation of the Shell Petroleum Development Company (SPDC) for decades until three years ago when the Federal Government opted not to renew its license.
Instead, the government transferred ownership to the NNPC as a step towards technology transfer and enhancing local content in Nigeria’s oil and gas sector.
During this transition, SPDC took legal action against the Federal Government, BusinessDay reported. The legal dispute lasted for three years, progressing from the Federal High Court to the Court of Appeal and ultimately to the Supreme Court. Throughout the legal proceedings, the government emerged victorious.
Ogbonna Chukwueke, a former Shell executive and gas expert, said that during the period Shell did not make much investment in the gas gathering infrastructure in Owaza, which resulted in the poor state of the associated gas gathering (AGG) machines and equipment at the facility.
Getting the facilities to world-class standards so that ‘pure, unadulterated dry gas can be supplied to the Geometric Power plant in Aba is the only obstacle to the take-off of the plant which will ensure quality and uninterrupted power supply to nine of the 17 local government areas in Abia State,” said Chukwueke.
“The NNPCL’s insistence on perfect and long-lasting work is why the technical commissioning of Aba Power hasn’t yet taken place, though the job is practically completed.”
Bart Nnaji, a professor and chairman of GPL, expressed admiration for the support provided by NNPCL to the Geometric project. He remarked that the Nigerian NNPCL now operates with a high level of professionalism, akin to that of an efficient private sector organization.
During a meeting with his company’s executives and KSE engineers and investment partners from Turkey, Nnaji, a former minister of power, highlighted that when NNPC transformed into NNPCL in July 2022, many globally perceived it as merely a rebranding or name change.
However, Nnaji noted that the current leadership of NNPCL has exceeded expectations in professionalism. He emphasized that NNPCL no longer operates like a typical state-owned enterprise known for inefficiency, but rather resembles the professionalism of companies like Shell, TotalEnergies, ExxonMobil, and others.