Egbin seeks cash for $1.8bn capacity upgrade

Egbin power company which was acquired in 2013 by a consortium led by Sahaara energy will double its capacity by 2019 at an estimated cost of $1.8bn.

The firm’s chairman, Kola Adesina,gave an update on the power company since the new owners came in but his optimism may be hard to meet because of a huge debt profile.

He announced that the capacity of the power station located 40 km from Lagos would be doubled by 2019 thanks to the construction of a new, 1350 MW power station, Egbin2.

Egbin’s sales are at around N51.7 billion but like several other power power plants, it is owed by the government.

The debt worries have been compounded by militants attacks in the Niger Delta which have disrupted deliveries of gas to the power plant.

As a result generation has fallen to a mere 300 MW.