GEL Utility Ltd Signs Multiyear Services Agreement with GE to Power Nigeria’s Largest Oil Refinery

GE’s Power Services announced that it has signed a multiyear service agreement (MYA) with GEL Utility Limited (GELUL), a joint subsidiary of Engro Corporation of Pakistan and Genesis Power & Energy Solutions, to support the power generation requirements of the Nigerian National Petroleum Corporation’s wholly owned subsidiary—the Port Harcourt Refining Company in Nigeria. The 12-year MYA includes the provision of parts, spares, repairs and services over two major inspection cycles for three units of GE’s TM2500* aeroderivative gas turbines earlier installed at the plant site in March 2015.

“As an integrated energy company with a constant focus on commitment for greater efficiency in our investments and reduction of our costs without compromising the safety and production goals of our customers, we have been working with GE for several years to ensure optimum performance of the power generation assets installed at our various plants,” said Akinwole Omoboriowo II, chairman, Genesis Energy Holding. “We are pleased with this unique transaction experience with GE, which will help our esteemed customer, the Nigerian National Petroleum Corporation, to accomplish the scheduled outages of our assets at the Port Harcourt Refining Company, while also increasing significantly our savings in maintenance throughout the duration of the agreement.”

GE’s Power Services offering will feature the expanded capabilities on GE’s TM2500 fast power solution assets installed at the plant. GE’s TM2500 aeroderivative gas turbines enable governments, utilities and businesses around the world to fulfill their generation requirements within days. Thanks to their modular concept, fast installation features and quick production schedules, these units typically can be ready to enter into commercial operation approximately 30 days after the order is placed.

“Sustaining gas turbine performance in these present times of ever-shrinking budgets can be a difficult challenge. As oil prices are a determinant of the country’s growth pattern, this service agreement is crucial to help improve power supply for the constant production of one of the nation’s leading facilities,” said Narendra Asnani, executive sales director for GE Power Services, sub-Saharan Africa. “I’m therefore very proud we’ll be able to provide the right tailored services solutions to help reduce GELUL’s operational and maintenance costs, while providing operational and technical support for the next 12 years.”

The state-owned refinery, which specializes in the refining of crude oil into petroleum products, will have an optimal supply of the power it needs to run its plant reliably and efficiently. GE‘s TM2500 fast power solution represents some of the most reliable distributed power units available. That means plant operators will not face frequent interruptions and instabilities due to technical problems related to faulty equipment or an unstable electricity grid. The units will also provide the ability to frequently and rapidly ramp up to meet load and demand fluctuations. With production capacity currently at approximately 210,000 barrels per day, the Port-Harcourt refinery, which is also the country’s largest operational refinery, needs a constant supply of power with no room for downtime to the facility and its operations.

Last month, GE announced that it is investing more than $200 million in the Aeroderivative business over the next three years across new product introductions and services capabilities. This commitment is focused on its global Service Center based in Houston and on broadening its Cross-Fleet solutions to repower other original equipment manufacturers’ aeroderivative and heavy-duty gas turbines.

GE implements and supports power projects across Africa with the aim of strengthening the power sector by providing innovative power solutions and advancing the digital industrial transformation of energy networks. Some of the recent projects include an MXL2 upgrade on Shell Petroleum Development Company’s (SPDC) Afam IV plant that will add additional an 30 megawatts of capacity, enough power for approximately 200,000 Nigerian homes, as well as ongoing plans to set up an M&D (Monitoring and Diagnostic) center in the Ivory Coast to improve the performance of GE equipment in the country among several others.