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NNPC and Kogi State Government sign biofuel development MoU

The Nigerian National Petroleum Corporation (NNPC) and the Kogi State Government have signed a Memorandum of Understanding (MoU) for the development of a sugarcane-based fuel ethanol processing plant that would produce 84 million litres of biofuel per annum.

A Memorandum of Understanding (MoU) has been signed between Kogi State Governor, Alh. Yahaya Bello (left) and Dr Maikanti Baru, Group Managing Director of the Nigerian National Petroleum Corporation (NNPC) for the proposed Kogi Biofuels Project in Kaba/Bunu, Kogi State, Nigeria (photo courtesy Kogi State Government).

The MoU was signed in Abuja on February 27 between Dr Maikanti Baru, Group Managing Director of the Nigerian National Petroleum Corporation (NNPC) and Kogi State Governor, Alh. Yahaya Bello who said that the MoU was “another milestone in the history of the state.”

According to Dr Baru, the signing of the MoU would lead to the formation of a Special Purpose Vehicle (SPV) to steer the future activities of the proposed Kogi Biofuels Project in Kaba/Bunu.

Apart from an 84 million litre per-annum ethanol plant, the project is expected to result in a sugarcane mill, a 126 000 tonne-per-annum raw and refined sugar plant and would also generate 63 000 tonnes of animal feed annually. Furthermore, the project includes a 64 MWe bagasse-fired power plant and a carbon dioxide (CO2) recovery and bottling plant with a capacity of 2 000 tonnes per annum.

Dr Baru also revealed that NNPC had carried out seven bankable feasibility studies which include three integrated sugarcane fuel ethanol projects in Benue, Kebbi and Gombe States, two integrated cassava fuel ethanol projects in Ondo and Anambra States and two integrated oil palm biodiesel projects in Rivers and Cross River States.

The sugarcane feedstock would require 19 000 hectares and Dr Baru stated that discussions had been held with the various parties and stakeholders on the Kogi Biofuels Project on the modality for the implementation, adding that agreements had been reached on the first stage of the project.

In addition, the Alape Staple Crop Processing Zone (SCPZ) in Kogi State, provides suitable agronomics for the cultivation of sugarcane, cassava and oil palm.

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