News Column

W'Bank Group Unfolds U.S.$395 Million PRG Package for Azura, Qua Iboe IPPs

May 8, 2014

Chineme Okafor

The board of executive directors of the World Bank, International Finance Corporation (IFC) and Multilateral Investment Guarantee Agency (MIGA) have approved a package of loans and guarantees that will support a series of electricity generation projects in Nigeria. As planned, the financial guarantees will help boost independent power generation and ease crippling energy shortages in Nigeria which has recently taken over from South Africa as Africa's largest economy.

The World Bank said in a statement that was obtained by THISDAY on Wednesday in Abuja that these projects are part of the critical element of its group energy business plan for Nigeria.

The World Bank noted that the Partial Risk Guarantees (PRG) approved by the board include up to $245 million for the 459 megawatt (MW) Azura Edo power plant situated near Benin City in Edo State and up to $150 million for the 533MW Qua Iboe plant in Ibeno, Akwa Ibom State; Both plants are gas-fired.

The statement further disclosed that the boards of IFC and MIGA approved loans and hedging instruments of up to $135 million and guarantees of up to $659 million for the Azura Edo project.

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Source: AllAfrica