Black Rhino, an indigenous portfolio company of Blackstone Energy Partners, and Dangote Group of Companies, are to jointly invest up to $10 billion in energy infrastructure projects in Kano State and in East South Nigeria.
The projects are with particular emphasis on renewable energy, power transmission and building of pipelines.
Muhammadu Sanusi II, emir of Kano, who is the chairman of Black Rhino Group, disclosed that his group and Dangote Industries would contribute $5 billion each for the construction of a coal power plant and a solar energy project in Kano, as well as gas pipeline project from Akwa Ibom to be constructed to South West, where Dangote Industries were concentrated.
Speaking during a courtesy visit to the state governor, Abdullahi Umar Ganduje, the Emir said the consortium decided to embark on the power projects in Kano because of the power crisis in the state.
He further disclosed that the coal project and the solar energy project would produce about 1,000mw and 100mw, respectively.
Emir Sanusi expressed optimism that the projects would, to a large extent, improve electricity power generation in the state for both the consumption of residents and for the revival of the ailing industries in the state.
In his remarks at the occasion, Aliko Dangote, chairman, Dangote Group, expressed optimism on the viability of the projects, assuring that it would improve power generation in the state and resuscitate industries to generate employment opportunities for the teeming youth and make the economy vibrant.
Dangote said the gas project from the South East to Western Nigeria would extend to Ghana, and would go a long way in addressing the energy needs of industries within the region, particularly those under the Dangote Group.
On his part, the state governor expressed hope that “the project would bail Kano State out of its prevailing economic depression and uplift the state to another level of economic prosperity and development.
“Now that the national economy is dwindling, we have no better way to revive it than to invest in agriculture and resuscitate our industries.”
He promised that the state government would provide land, among other things, to enable the project materialise.
Stressing that power is very critical to the survival of industries in the state, he announced that the state was also making modest effort to provide electricity through the ongoing multi-billion naira Independent Power projects at Tiga and Challawa, which would generate 35mw of electricity.