Nigeria Deploys GE’s Mobile Gas Turbines
at Its NNPC Port Harcourt Oil
Refinery
• GE’s Trailer-Mounted Aeroderivative Gas Turbines to Provide Port Harcourt
Refinery with Uninterrupted Power to Overcome Local Grid Outages
• GE’s Three TM2500+ Units to Enable Refinery to Return to Full Production
Capacity
• Project to Use Locally Trained GE Engineers to Support Operation
• GE’s Sales and Project Finance Group Arranges Financing for the Project
With more industrial facilities using distributed power technologies to
ensure a reliable energy supply and increase productivity, GE’s Distributed
Power business is supplying Genesis Electricity’s driven project company, GEL
Utility Limited, with three 25-megawatt (MW), trailer-mounted, TM2500+
aeroderivative gas turbines to generate uninterrupted power at Nigerian National
Petroleum Corporation’s (NNPC) state oil refinery at Port Harcourt, Nigeria.
“We are excited to work with GE to
deploy their proven TM2500+ gas turbine technology and help Nigeria successfully
return the Port Harcourt refinery to full service as quickly as possible”
The installation by GEL Utility Limited of GE’s mobile gas turbines at the
Port Harcourt Refining Company (PHRC) facility will ensure the country’s largest
oil refinery has the power it needs to overcome chronic grid outages and return
to full capacity for refining. Up to now, grid outages have reduced PHRC’s
output to 30 percent of its total maximum capacity of 210,000 barrels per day.
The outages and other factors have forced Nigeria to import large volumes of
refined petroleum products to meet its domestic needs.
To help address these issues, Genesis Electricity Limited, an independent
power producer and one of the owners of GEL Utility Limited, signed a 20-year
power purchase agreement with NNPC in November 2013 for the installation of GE’s
TM2500+ units at the 49-year-old refinery. The TM2500+ gas turbines will provide
both the baseload and backup power to support refinery operations. The agreement
also includes the future modernization of Nigeria’s other two refineries.
GE, through its Sales & Project Finance (S&PF) group, acted as a catalyst
and differentiator to take the project post execution of the power purchase
agreement with NNPC to financial close. GE S&PF worked with GEL Utility Ltd,
Genesis, Engro Powergen Ltd. (one of the equity holders) and other project
participants to structure and arrange the project’s equity, senior and sub-debt.
It is the first-ever non-recourse project financing for power plants in Nigeria.
“We are excited to work with GE to deploy their proven TM2500+ gas turbine
technology and help Nigeria successfully return the Port Harcourt refinery to
full service as quickly as possible,” said Akinwole Omoboriowo II, CEO of
Genesis Electricity Limited. “This project was not only important in getting the
refinery back into full operation, but also to support Nigeria’s long-term
economic interests by achieving optimum refining capacity.”
The three TM2500+ units will enter commercial operation in August 2014,
giving PHRC the power it needs to return to full capacity. As a result, Nigeria
will be able to drastically reduce its use of imported refined fuel products.
“Our TM2500+ technology’s high-power density and compact footprint make it
the perfect solution to address Port Harcourt Refining Company’s fast ramp-up,
on-site power requirements while also ensuring the refinery’s long-term
viability,” said Lorraine Bolsinger, president and CEO of GE’s Distributed Power
business.
In support of local content requirements and reflecting GE’s long-term
commitment to promoting workforce development opportunities in countries where
the company operates, GE is training local engineers to operate and manage the
refinery’s TM2500+ units and also has an in-country service and maintenance
workshop to service the units.
GE’s TM2500+ gas turbine is capable of providing ISO-rated 31 MW of fast and
reliable on-site generating capacity. The system can be used to provide
utilities with a “baseload bridge” to support permanent power installations;
backup power to support natural disaster relief efforts; or for plant shutdowns
or equipment maintenance. The fuel-flexible system can use either natural gas or
liquid-distillate.
“The PHRC refinery project represents GE’s second TM2500+ order in Nigeria.
Both projects have been for oil and gas industry projects, illustrating how GE’s
distributed power technologies as well as sales and project financing
capabilities can help Nigeria and other countries more effectively utilize their
domestic energy resources,” said George Njenga, GE’s Distributed Power country
leader for sub-Saharan Africa.
GE launched its new Distributed Power business in February 2014, combining
three product lines—aeroderivative gas turbines, Jenbacher gas engines and
Waukesha gas engines—to better serve the distributed power space and help meet
the world’s growing demand for on-site power systems that are easier to finance,
faster to install and more efficient and reliable for customers.
GE Power & Water’s Distributed Power business is a leading provider of power
equipment, engines and services, focused on power generation at or near the
point of use. Distributed Power’s product portfolio includes GE’s aeroderivative
gas turbines and reciprocating engines, which generate 100 kilowatts to 100 MW
of power for numerous industries globally. Headquartered in Cincinnati, Ohio,
Distributed Power employs about 5,000 people around the world.