Chinese Company to Finance $2.5bn Pipeline Project -NNPC

• Chinese Company to Finance $2.5bn Pipeline Project -NNPC

Mallam Mele Kyari, the Group Managing Director, Nigerian National Petroleum Corporation, said the corporation has agreed to a $2.5 billion financing deal with a Chinese lender for pipeline project.

Kyari, who disclosed this during an interview with Bloomberg TV, said the project would deliver 3,600 megawatts of power and supply two billion standard cubic feet of gas.

Kyari said, “It is a pipeline contractor project that will deliver 3,600 megawatts of power at the first instance and particularly supply two billion SCF/d of gas which is quite significant in the contest of our current situation. And of course, financing is everything. What we did is to get a Chinese company; it has been a long conversation and it is very close to financial closure.”

According to the director, NNPC had secured 15 percent owner financing of $430 million from the Chinese firm while the Chinese firm will finance the remaining amount of $2.5 billion.