The Project relates to the construction of a 30MW gas-fired reciprocating engine power plant, a modular power plant comprising three generating units of 10MW each which will evacuate power to commercial and residential customers in Victoria Island on a willing buyer and willing seller basis.
VI Power is a special purpose vehicle incorporated in April 2018 to develop, own and operate a 30MW gas-fired power plant in Victoria Island in collaboration with Eko Electricity Distribution Company (EKEDC). VI Power is responsible for managing and upgrading the associated distribution infrastructure, procuring the required financing to undertake the network reinforcements and extensions, as well as managing billings and collections from customers. VI Power has an embedded power generation license and will supply power to customers in the Victoria Island franchise area of EKEDC.
VI Power limited (“VI POWER”)
VI Power was incorporated by Elektron Energy as a special project vehicle (SPV) to develop and finance the 30MW embedded generation plant in Victoria Island.
Elektron Energy is an energy infrastructure development company focused on developing and operating sustainable energy infrastructure projects in Nigeria and currently supplies power to Lagos State Government (LASG) in the Alausa Secretariat through its wholly owned subsidiary Alausa Power Limited (APL). APL commenced operations in 2013 and operates a 10.6MW IPP under a 10-year PPA with LASG.
The Project relates to the construction of a 30MW gas-fired reciprocating engine power plant, a modular power plant comprising three generating units of 10MW each
Project Highlight
The Project relates to the construction of a 30MW gas-fired reciprocating engine power plant, a modular power plant comprising three generating units of 10MW each which will evacuate power to commercial and residential customers in Victoria Island on a willing buyer and willing seller basis.
The Project relates to the construction of a 30MW gas-fired reciprocating engine power plant, a modular power plant comprising three generating units of 10MW each which will evacuate power to commercial and residential customers in Victoria Island on a willing buyer and willing seller basis. The Project is expected to result in increased availability, quality, and reliability of power and cost reduction of up to 20% by migrating quality customers from the grid to the power plant as the primary source of power.
9.2
Billion Naira
Transaction Details
With InfraCredit’s guarantee, VI Power was able to secure a NGN9.2 billion 7-year 10% Bank of Industry Loan Facility, with an 18-month moratorium on the principal amount, a NGN3.8 billion 3-year 15% bridge-to-bond facility from NSIA Construction Finance Warehouse Facility and a NGN3 billion 18 – month 17.11% bridge-to-bond facility from Stanbic IBTC Infrastructure fund.
In June 2023, VI Power secured a NGN9.2 billion 7-year Bank of Industry Loan Facility with an 18-month moratorium on the principal amount. In September 2023, VI Power secured a NGN3.8 billion 3-year bridge-to-bond facility from NSIA Construction Finance Warehouse Facility. In December 2023, VI Power secured a NGN3 billion 18-month bridge-to-bond facility from the Stanbic IBTC Infrastructure Fund. The net proceeds will be used to finance the capital expenditure related to the construction of the 30MW gas-fired reciprocating engine power plant.
| Issue date | 8th June 2023 | 26th September 2023 | 27th December 2023 |
| Co-obligor | VI Power Limited | VI Power Limited | VI Power Limited |
| Principal Amount Outstanding | 9,200,000,000 | 3,800,000,000 | 3,000,000,000 |
| Sector | Off grid power | Off grid power | Off grid power |
| Tenor | 7 years | 3 years | 18 months |
| Location of Operation | South-West, Nigeria | South-West, Nigeria | South-West, Nigeria |
| Asset Size & Capacity | 30 MW | 30 MW | 30 MW |
