SkyPower FAS Energy, a joint venture between SkyPower Global and FAS Energy, has signed an agreement with both the Federal Government of Nigeria and the Delta State Government for the development, construction and operation of 3,000 MW of solar PV projects.
The project is estimated to cost US$5 billion and will be built over the next five years.
The agreements were signed at the World Economic Forum on Africa in the presence of Olusegun Olutoyin Aganga, Minister of Trade and Investment for the Federal Republic of Nigeria and Christian Paradis, Minister of International Development for Canada.
“This is truly a proud moment for SkyPower FAS Energy. Global partnerships such as these are key to bringing together extensive expertise from around the world,” said Canadian Kerry Adler, president and chief executive officer of SkyPower Global.
“The signing of these landmark agreements demonstrates the shared vision of a partnership that will further stimulate the vibrant, fast-growing Nigerian economy and substantially impact the state and country’s GDPs, resulting in increased employment and skills training,” Adler added.
“The signing of the Foreign Investment Promotion and Protection Agreement marks a significant milestone. It sends a clear signal to Canadian businesses that they can work in Nigeria with confidence, and to Nigerians that they can do the same in Canada,” said Minister Paradis. “Our government is looking to new approaches that deliver real results. The private sector has a crucial role to play in creating shared prosperity.”
“The total capital requirement for these projects is an estimated US$5 billion, which will be financed through a combination of bank debt, development bank financing, and equity partners. Over the life of the projects, it is estimated that more than 30,000 jobs will be created in Nigeria,” said Stephen Bordes, chief financial officer of SkyPower Global.
“The Nigerian Government is pleased to partner with SkyPower FAS Energy and we look forward to creating more power and more jobs for the people of Nigeria,” said permanent secretary, Federal Ministry of Power, Ambassador Godknows Boladei Igali. “Foreign investment in Nigeria helps build the economy and strengthen international ties with a well-respected and viable partner such as SkyPower FAS Energy.”