Technology group Wärtsilä has signed a 10-year Operations and Maintenance (O&M) Agreement for a captive power plant providing the energy for a Nigerian cement producing facility.

The new cement plant is owned by Mangal Industries and is located in Kogi State, Nigeria. The order was booked by Wärtsilä in Q2, 2024.

The power plant is critical to the facility’s cement production since the site is remotely located with limited access to the electricity grid. It operates with five Wärtsilä 34DF dual-fuel engines delivering an output of 50 MW. The O&M agreement is designed to ensure that the facility can reliably maintain its cement production target of three million metric tons per year.

“We are reliant on the power plant for our operations. This is why we have opted to take advantage of Wärtsilä’s depth of experience and know-how to run and maintain the power plant. Not only will the agreement provide the assured reliability we need, but it also gives us cost predictability,” said Fahad Mangal, Managing Director, Mangal Industries Limited.

The ten-year agreement starts immediately as the facility commences operations in Q2, 2024, running on liquid fuel initially. The facility will switch to natural gas operation when the natural gas pipeline will be commissioned. The power plant’s dual-fuel engines can be operated both on liquid fuel and natural gas and could be converted to operate with future low- or zero-carbon fuels when they become available.

“Wärtsilä now has more than 400 MW of installed capacity for the cement industry in Nigeria, and we are operating three captive power plants in three different states. This successful track record clearly indicates our capabilities and highlights the added value we can deliver to our customers through our experience and expertise in supporting their operations,” comments Patrick Borstner, Director, Operations Africa at Wärtsilä Energy.

Nigeria has an increasing demand for cement for its many infrastructure projects, and there has been a domestic supply gap. With this new plant, Mangal will partly address this issue.

Aberdeen-based Deep Casing Tools has won a King’s Award for Enterprise in the International Trade category.

The firm, a provider of innovative solutions for the global oil and gas industry, has been recognised for its robust international trade growth strategy, which has successfully driven an increased footprint in the Middle East, Asia Pacific and Latin America. In response to increasing demand for its technology, the company recruited an additional seven people last year, including three strategic appointments in Saudia Arabia and the United Arab Emirates, increasing the total number of employees globally to 25.

David Stephenson, Deep Casing Tools CEO said, “We have significantly increased our overseas footprint in recent years by entering new territories, and it is fantastic to see our efforts recognised with a King’s Award for Enterprise. By diversifying our business internationally, prioritising markets with the highest growth potential and building strategic alliances, we have built a strong track record across the regions we operate.

“Our global growth strategy has been led by a combination of robust research and development with in-depth market knowledge to identify opportunities for expansion and development, whilst continuing to deliver a personal, bespoke service to each of our customers. I am delighted for our team, this award is a testament to their continued hard work and dedication and I look forward to building on this success in the coming years.”

Deep Casing Tool’s suite of technology includes the TurboCaser, TurboRunner, MechLOK and Rubblizer. All were deployed around the world in 2023, delivering a total of 64 projects, with the TurboCaser accounting for 73% of its global commerce.

The high-speed, turbine-powered casing running system helps drilling teams to land casings and intermediate liners at target depth in even the most complex wells. It’s 75% faster than conventional technology and can save up to three days per project, delivering significant efficiencies.

The company has experienced significant demand for the solution, particularly in Saudia Arabia and the United Arab Emirates. During a recent project offshore Abu Dhabi, the application of the TurboCaser enabled a major operator to save more than 1,500 rig time hours, US$13.7mn in operational costs and 4,247 MT in CO2 emissions when compared to traditional methods.

The President of Nigeria, Bola Ahmed Tinubu signed an Executive Order for US$10bn investments in oil and gas. 

Tinubu was speaking at the opening of a two-day retreat on economic transformation and development organised by the House of Representatives. 

Represented by his Chief of Staff, Femi Gbajabiamila, Tinubu also disclosed that the Federal Government signed the consolidated guidelines for implementing fiscal incentives for the oil and gas sector.

He said, “The Executive Order streamlines contracting processes, procedures, and timelines from 36 months to six months. The order also seeks to ensure that local content requirements are implemented without impeding investments or the cost competitiveness of oil and gas projects.

“All of these have the same objective – to reduce government interference with the commercial imperatives of businesses in the country so that businesses based here can be competitive and focus on their core objectives of economic growth through innovation and trade.

“We will need the support of the National Assembly to fully implement some of these reforms, as statutory changes will be required in some areas.
“I am confident that when the time comes, the governing partnership we have established between the Executive and the Legislature will ensure that these changes are effected swiftly to benefit our nation.

"Your actions have substantially fortified the legal framework of the Students Tertiary Education Loan Program, ensuring its efficient implementation. These achievements are a testament to the power of our partnership and the positive impact it can have on our nation.

“The legislature must have the capacity to monitor the executive, and the executive, in turn, should be willing to comply with the legislative enactments.

“It is not just a coincidence but a strategic advantage for our country that the governing relationship between the Executive and the Legislature perfectly reflects this ideal.

“As you know, my administration is implementing significant policy changes to reform how we govern and position our country for progress and shared prosperity for all citizens.”

Tinubu said, “These reforms, while necessary and, in some cases, long overdue, are not without their challenges. I am deeply grateful for your unwavering support and understanding during these times. Your understanding and support have been invaluable, and I am confident that with our continued collaboration, we can overcome any challenges that lie ahead.
“The oil and gas industry has long been the lifeblood of our national economy. My administration is working tirelessly to change this and diversify our economy from overreliance on the production of fossil fuels. However, we are also determined to maximise revenue potential from this critical industry.

“For this reason, we are pushing policies to attract investment in the oil and gas sector.”

He continued, “We can only justify our collective mandate and the trust our people repose in us through constructive collaboration between the National Assembly and the Executive. This joint effort is the minimum the people who voted for us expect from us.

“However, the very essence of checks and balances means there will be times when the executive and legislative prerogatives inevitably collide. Above all else, the national interest must guide our decisions in those moments. We share a common responsibility in shaping the future of our nation, and it is through our collaboration that we can effectively fulfil this duty."