kmariko:

The coal supply has to last for a very long time...do we know the amount of coal we have in Enugu in relation to the "desired" power needed in the subregion taking into cognizant future growth.
So the fundamental question is how many metric tons of coal do we have in Enugu and environ

Even countries that have no trace of coal in their land still make use of coal to generate electricity, and they are better off for it.
Assuming we don't have enough quantity of coal in Nigeria to sustain eleectricity production, we can always import.
Despite all the alternatives available, 50% of the worlds electricity is gotten from coal alone.
Think about that.

Collynzo16:
Even countries that have no trace of coal in their land still make use of coal to generate electricity, and they are better off for it.
Assuming we don't have enough quantity of coal in Nigeria to sustain eleectricity production, we can always import.
Despite all the alternatives available, 50% of the worlds electricity is gotten from coal alone.
Think about that.

remember the primary purpose of business is to make your shareholders happy (i.e make profit). In a competitive environment like Nigeria, why would one import coal when other cheaper raw materials are available for power generation. It will merely increase the consumers power rates which would of course move them to other companies.

So first thing first, How much coal do we have in Enugu to warrant the establishment of a large power generation plant that will be competitive in the market. If the answer is enough to last 50 or more years then by all means go for it... Also will there be any competitive advantage in importing coal to sustain a power plant in enugu. If the answer is yes then again go for it. Remember we have not even touched on the environmental impart etc.

thanks

kmariko: The main problem with coal powered plant is supply. Yes there is coal in Enugu...but how long will it last..10 .20. or more years...if its just about less than 50 years in terms of power investment. It is not viable from an investors point of view... let the states carryout a thorough visibility study on it..
Investment is rarely an emotional issue

will nigeria's gas last for ever?
Nigeria's oil and gas reserves are estimated to last till 2034.
Should we immediately divest from gas?

Nigeria has coal deposits all over Benue, Kogi, Anambra, Enugu and Ebonyi states. If they are exploited at the rate they were in colonial times, they would last 400 years.

kmariko:

remember the primary purpose of business is to make your shareholders happy (i.e make profit). In a competitive environment like Nigeria, why would one import coal when other cheaper raw materials are available for power generation. It will merely increase the consumers power rates which would of course move them to other companies.

So first thing first, How much coal do we have in Enugu to warrant the establishment of a large power generation plant that will be competitive in the market. If the answer is enough to last 50 or more years then by all means go for it... Also will there be any competitive advantage in importing coal to sustain a power plant in enugu. If the answer is yes then again go for it. Remember we have not even touched on the environmental impart etc.

thanks

dangote's heavy industries are about to import coal for power generation. the gas in their front yard is beyond reach. however they can import coal from south africa, ship it up warri-itakpe rail-line or ph-gboko rail-line, and still make a tidy profit.

tit:

will nigeria's gas last for ever?
Nigeria's oil and gas reserves are estimated to last till 2034.
Should we immediately divest from gas?

Nigeria has coal deposits all over Benue, Kogi, Anambra, Enugu and Ebonyi states. If they are exploited [b]at the rate [/b]they were in colonial times, they would last 400 years.

During colonial times as I understand , power generation was for the comfort of the colonialist and for the general populace...( villages then did not have power).

Times are a changing, high population ( compare to 25 million during colonial times), high urbanisation, increased rate of industrialization, etc....meaning that the consumption rate is very high and will be higher in years to come.
Yes we have coal deposits in those places but are they of commerical viable quantity to be utilized for power generation... if they are then am all for it.

kmariko:

During colonial times as I understand , power generation was for the comfort of the colonialist and for the general populace...( villages then did not have power).

Times are a changing, high population ( compare to 25 million during colonial times), high urbanisation, increased rate of industrialization, etc....meaning that the consumption rate is very high and will be higher in years to come.
Yes we have coal deposits in those places but are they of commerical viable quantity to be utilized for power generation... if they are then am all for it.

all fossil fuels will not last forever.
whether it is Nigeria's oil and gas reserves or South africa's coal reserves.
not exploiting yours because it will not last forever is like
a man who has an acre of farmland - while his neighbor has a 100 acre farm, - saying he would not crop his land because it is not big enough.

pazienza: The FG fixation on unreliable gas powered plants,and total neglect of coal powered ones, reeks of conspiracy . To even think of the fact that they had once fiddled with the idea of nuclear energy power plants, but had never for once given thought to coal power plants makes this conspiracy more obvious.

The FG have simply sticked to it's post civil war economic sabotage of Igboland and the rest of the country is paying the price for that.

Don't you think, having an investment vehicle, where the primary states of Enugu and Anambra bring together private investors and have the investors seek a federal government grantee, will be a better process to harness the coal from the east. People's fixation with gas is because, we already have the infrastructures to produce and use it. The big problem is inadequate pipelines. Coal needs to be mined and power plants built to process it.

kmariko:

remember the primary purpose of business is to make your shareholders happy (i.e make profit). In a competitive environment like Nigeria, why would one import coal when other cheaper raw materials are available for power generation. It will merely increase the consumers power rates which would of course move them to other companies.

So first thing first, How much coal do we have in Enugu to warrant the establishment of a large power generation plant that will be competitive in the market. If the answer is enough to last 50 or more years then by all means go for it... Also will there be any competitive advantage in importing coal to sustain a power plant in enugu. If the answer is yes then again go for it. Remember we have not even touched on the environmental impart etc.

thanks

What other cheaper raw materials are you talking about and how many megawatts have they been able to generate for us? You talk as if we have excess electricity flowing all over the country with consumers having the luxury of choosing their electricity providers, that is delusional.
Coal still remains the number one source of electricity in the world with a 50% stake, there surely must be a reason for that, it is cheap, reliable and produces more megawatts per plant than most other sources.
What environmental impact? What are the environmental impact of millions of generators in Nigeria?
What is the environmental impact of coal in USA, UK, China, South Africa, Germany and other developed countries where it is still veing used heavily?

The problem with coal exploitation in Nigeria is that the holders of the mining lease do not have the funds nor the technical. Ability to exploit coal. As usual in Nigeria we bring politics into everything. It is so sad, those who have the capacity are not awarded the lease.
i read recently that FG is about to revoke all none producing lease agreement. And award them to cocompanies with the capacity to mine the. Lease. Kogi State has the largest deposit of coal inNigeria but the biggest company there, dangote. Who needs the coal. And has the capacity to mine it has no mining lease.

I want to work in TOTAL, so help me God.

Bros shun coal, gas is the way to go. Its a cleaner source of fuel as it contributes less to global warming than coal does. Your state Governor should be the one you should call on to harness that potential and attract an industrial revolution to Enugu. Instead, he's busy fighting his deputy over poultry and pullets.

pazienza: Why is Nigeria ignoring the coal deposits in Enugu. Why have the FG since after the war,refused to develop our coal industry.

Coal holds the key to Nigeria overcoming her power challenge and not gas. Coal is a cheaper source of electricity,and is not subject to pipeline disturbances we experience with gas pipelines, developing the coal industry would also open up Enugu and Benue, providing jobs for the unemployed youths of Enugu and Benue,as well as improving the IGR of the two states.

Coal powered power plants provide about 76% of South Africa's power output, about 40% of those of US, and up to 70% of that of China. Even Russia generates about 16% percent of it's power needs from coal power plants, which are easier and cheaper to build.

CHAIRMAN1:
Bros shun coal, gas is the way to go. Its a cleaner source of fuel as it contributes less to global warming than coal does. Your stae Governor should be the one you should call on to harneess that potential and attract an industrial revolution to Enugu. Instead he's busy fighting his deputy over poultry and pullets.

You are just the kind of fool the whites want to keep as slave forever.
They tell you coal is dirty and causes global warming while they still generate the bulk of their electricity from the same coal, industrialising and developing as a result of the constant electricity in their countries, while fools like you keep dying from generator fumes dreaming of meeting your electricity needs from gas alone.
The developed countries with all their technological advancement have not been able to do that and you think Nigeria will be the first?
Can the amount of gas available in Nigeria in anyway be compared to that of Russia who still uses coal to generate a chunk of its electricity?
Money has been spent on tens of gas plants all over the country yet we still produce just over 4000MW, if you take away the hydro dams, I don't think the gas plants combined together will even produce up to 2000MW.
A single coal plant can produce 5 times that amount.

tit:

all fossil fuels will not last forever.
whether it is Nigeria's oil and gas reserves or South africa's coal reserves.
not exploiting yours because it will not last forever is like
a man who has an acre of farmland - while his neighbor has a 100 acre farm, - saying he would not crop his land because it is not big enough.

.

again nobody says do not expolit it..what investors are saying whether its expolitation is viable and sustainable in terms of profitability compared to other sources in the country. If the answer is yes , then I can assure you that there are many people out there that wants to make profit from power generation... but nobody has come outright to tell them it is viable... The operating word is VIABILITY.

Again if there are no other source of cheaper energy material for generation of power in the country, then it becomes viable in terms of profitability... But we have large amount of gas deposits in the country even in Enugu that is a lot cheaper to expoit and use in power generation.

thanks

ujoinme: The problem with coal exploitation in Nigeria is that the holders of the mining lease do not have the funds nor the technical. Ability to exploit coal. As usual in Nigeria we bring politics into everything. It is so sad, those who have the capacity are not awarded the lease.
i read recently that FG is about to revoke all none producing lease agreement. And award them to cocompanies with the capacity to mine the. Lease. Kogi State has the largest deposit of coal inNigeria but the biggest company there, dangote. Who needs the coal. And has the capacity to mine it has no mining lease.

Me thinks that the biggest problem with coal is the cheap availability of gas in the country... Coal simply cant compete enough at the moment until our industrial base puts a lot of strain on gas supply as different companies will be competing for the use of the same product---gas.

Collynzo16:
What other cheaper raw materials are you talking about and how many megawatts have they been able to generate for us? You talk as if we have excess electricity flowing all over the country with consumers having the luxury of choosing their electricity providers, that is delusional.
Coal still remains the number one source of electricity in the world with a 50% stake, there surely must be a reason for that, it is cheap, reliable and produces more megawatts per plant than most other sources.
What environmental impact? What are the environmental impact of millions of generators in Nigeria?
What is the environmental impact of coal in USA, UK, China, South Africa, Germany and other developed countries where it is still veing used heavily?

.

Yes it is number one for those countries that do not have gas, so they make use of what they have... Isnt it only recently that USA started producing a lot of gas due to development in fracking technology and gas conversion... the implication is that if sustained might usurp coal as the cheap energy generator in the country..

Think about it what does Most oil producing counteries in the middle east use for power generation it is what they have --- oil and gas becasue it is cheaper.

thanks

idealsico: The job is being executed by Saipem for Total.I was part of the manpower involved in building this project:Northern Option Pipeline (NOPL) Project.It covers from Rumuji-Ibaa-Isiokpo-Omagwa-Aluu-Igwuruta-Rukpokwu-Eneka-Igbo Etche-Umuebule Etche-Odagwa Etche-Owaza.The pipeline is virtually completed but Above-Ground Installation (AGI) facilities at both Owaza and Rumuji will be completed next year,likely.The Rumuji end will receive gas from O.U.R pipeline while buyers will lay theirs from Owaza node (Abia state) to point of use. Nigeria is Working,let's be patient.It will take a little more time for delpoyment.God bless Nigeria.

CAN YOU PREDICT WHAT TIME NEXT YEAR THE PROJECT WOULD BE COMPLETED

kmariko: .

Yes it is number one for those countries that do not have gas, so they make use of what they have... Isnt it only recently that USA started producing a lot of gas due to development in fracking technology and gas conversion... the implication is that if sustained might usurp coal as the cheap energy generator in the country..

Think about it what does Most oil producing counteries in the middle east use for power generation it is what they have --- oil and gas becasue it is cheaper.

thanks

What is the population of those middle east countries? How many of them can boast of up to 20 million population which isn't even up to 1/5th of Nigeria's?
Iran's populations is about half of Nigeria's, they have oil and gas, yet they still import coal for electricity production in addition to the little one they have.
Name one country with half of Nigeria's population, enjoying constant electricity that relies totally on gas.

If Nigeria had spent 1/1000th of the resources spent on Ajaokuta on developing coal resources, we would be like the asian tigers.

RareDiamond:

CAN YOU PREDICT WHAT TIME NEXT YEAR THE PROJECT WOULD BE COMPLETED

It is hard to predict accurately.A lot of factors are involved which includes community and labour issues as well.You may think such issues have been fully resolved but they keep coming up again. A great percentage of materials have been received from abroad and civil work is ongoing at the Owaza node.I believe before the end of next year it would be substantially completed.Remember the end-user pipelines are yet to be layed.But in all, a lot of progress has been made.

idealsico: It is hard to predict accurately.A lot of factors are involved which includes community and labour issues as well.You may think such issues have been fully resolved but they keep coming up again. A great percentage of materials have been received from abroad and civil work is ongoing at the Owaza node.I believe before the end of next year it would be substantially completed.Remember the end-user pipelines are yet to be layed.But in all, a lot of progress has been made.

"end user pipelines" explain please

chudionu58: "end user pipelines" explain please

That could mean "customers". I guess apart from the Alaoji power station, some other industries need gas piped to their premises. Like gas is piped and distributed to some of the industrial estates in in Ogun and Lagos states.

(Is gas piped to the industrial estates in port harcourt?)

chudionu58: "end user pipelines" explain please

The pipeline node is located at Owaza Ukwa LGA Abia state whereas most of the potential customers like Alaoji Power Plant and other gas users are located several kilometers away.Therefore,after gas sales agreements are signed with buyers,pipelines would have to be constructed to each industrial user's end. You can not begin to build pipelines until you are convinced the gas will flow. Remember it takes time to do that.A lot of time could be saved if potential customers begin to come up with discussions on laying their pipelines.

idealsico: The pipeline node is located at Owaza Ukwa LGA Abia state whereas most of the potential customers like Alaoji Power Plant and other gas users are located several kilometers away.Therefore,after gas sales agreements are signed with buyers,pipelines would have to be constructed to each industrial user's end. You can not begin to build pipelines until you are convinced the gas will flow. Remember it takes time to do that.A lot of time could be saved if potential customers begin to come up with discussions on laying their pipelines.

Good analysis! But specifically for Alaoji.. do you mean that pipeline entering into the power plant have not being built??

Good analysis! But specifically for Alaoji.. do you mean that pipeline entering into the power plant have not being built??

chudionu58: Good analysis! But specifically for Alaoji.. do you mean that pipeline entering into the power plant have not being built??

It hasn't.No potential customer has constructed pipelines as at now.

idealsico: It hasn't.No potential customer has constructed pipelines as at now.

I would like to disagree..

chudionu58: Good analysis! But specifically for Alaoji.. do you mean that pipeline entering into the power plant have not being built??

It hasn't.No potential customer has constructed pipelines.

idealsico: It hasn't.No potential customer has constructed pipelines.

I would like to disagree

Collynzo16:
Even countries that have no trace of coal in their land still make use of coal to generate electricity, and they are better off for it.
Assuming we don't have enough quantity of coal in Nigeria to sustain eleectricity production, we can always import.
Despite all the alternatives available, 50% of the worlds electricity is gotten from coal alone.
Think about that.

But can you answer his question of how many met tons of coal there are in Enugu and surrounding areas. If it is less than 50 years supply, would it be worth the investment?

chudionu58: I would like to disagree

If you have any information that I do not have you can share it. To my knowledge there has been none on ground. Unless they started from their end which has not reached Owaza node. The node where the pipes would be hooked up is not ready yet. Facilities for metering the gas to buyers are not completed. Possibly, Alaoji may also have had an alternative gas supply line; my thought,though.

ChrisOD:

But can you answer his question of how many met tons of coal there are in Enugu and surrounding areas. If it is less than 50 years supply, would it be worth the investment?

I have never mentioned Enugu in all my posts here. My only interest is generation of electricity using coal as it is done in most parts of the world by serious nations. Whether in Enugu or Kogi or anywhwere, coal power plants should be built to solve our electricity problems once and for all, if the coal in Nigeria isn't sufficient, they can always import.
I am not talking about private investors, but the government. It is their job to provide us with stable electricity.
Asking if providing power for people is worth the investment is quite frankly a useless question. No wonder they tag you guys as suffering and smiling.

idealsico: If you have any information that I do not have you can share it. To my knowledge there has been none on ground. Unless they started from their end which has not reached Owaza node. The node where the pipes would be hooked up is not ready yet. Facilities for metering the gas to buyers are not completed. Possibly, Alaoji may also have had an alternative gas supply line; my thought,though.

Am not experienced nor an expert in the O&G industry but, I am the type that research alot.... Sometimes in 2010 there was an uproar generated due to the seeming gross act of negligence by the NNPC in awarding an 18" pipeline for the alaoji power plant..Experts lamented that the pipeline may not be able to adequately serve the plant because of it's low pressure potential...It was later terminated and reawarded to Oilserv in 2011(August I think) to construct a 24" pipe to Owaza which would cater adequately for the plant...To be frank I've not been to the project sites, but these two links provide little room to doubt the current status of the project... http://www.mlsskylark.info/wwwOilserv/gas-pipelines.php and http://sweetcrudereports.com/2014/01/07/ndphc-moves-against-non-performing-nipp-contractors/..Thanks! expecting a robust reply!!