Energy Industry News

Iran and Nigeria signed nuclear technology for power plant

Abuja, Nigeria | September 10, 2008 by D-8 Secretariat

plantAn Iranian trade delegation announced an agreement Thursday for Iran to share peaceful nuclear technology with Nigeria, to help Africa’s biggest oil producer bolster its woeful electricity-generation capacity.

Officials of both countries stressed that the agreement involves only the peaceful uses of atomic energy.

Iran, with Russian help, is finishing construction of its first nuclear-powered electricity station, a 1,000-megawatt reactor in the southern city of Bushehr scheduled to begin operation early next year. The Tehran regime has said it plans to build six more nuclear plants by 2021.

Mohammad Ali Zeyghami, a commerce official leading the Iranian delegation, said Iran has the right to share its nuclear know-how with Nigeria. He said oil and other fossil fuels will run out one day and it is crucial to develop other energy sources.

“Nobody can limit the use of knowledge anywhere in the world,” Zeyghami said.

Tijanni Kaura, a senior Nigerian Foreign Ministry official, said the agreement deals only with peaceful nuclear technology and shouldn’t be seen as an attempt by Africa’s most populous nation to start an atomic weapons program.

“Nigeria is never entering into any agreement with Iran for any matter that has to do with weapons,” Kaura said.

Nigeria is Africa’s biggest petroleum producer, but decades of problems in the energy sector have left the country with almost no way to refine crude oil into fuels used to power electricity-generating stations.

Most of the country’s 140 million people get only a few hours of state-provided electricity a day, and businesses must rely on costly diesel generators to power their plants.

The Nigerian government has identified the power system as a major hindrance in the country’s development.

Lawmakers say about $10 billion has been spent on Nigeria’s power sector since civilians replaced military rulers in 1999, but electricity production has stagnated for nearly a decade.

Nigeria currently generates only 3,300 megawatts of electricity, a far cry from the 20,000 megawatts local demand.

Iran is also a big oil producer, however the Tehran government said it needs to turn to nuclear energy for its elecricity needs as oil fields are pumped out.

Seeking to boost bilateral ties

The two countries also opened talks on Tuesday aimed at boosting further ties between the two oil producing nations.

Head of the Iranian delegation, junior commerce minister Mohammadali Zeyghami, said the two OPEC member states had the capability to develop “relations in all fields” including political, economic and scientific areas.

The three-day talks are to culminate in the signing of investment, maritime shipping and taxation agreements.

The Iranian Offshore Oil Company (IOOC) is in talks with the Nigerian National Petroleum Corporation (NNPC) to provide offshore and onshore services in Nigeria’s oil and natural gas sectors especially in the area of gas field discoveries.

As known, The Nigerian Gas Co. (NGC) and the Iranian firm were the winners of a tender bid in the Calabar-Andongas pipeline project.

The project, set for completion in the first quarter of 2010, is valued at more than $156 million and will enable the two companies to provide the gas requirements of the Calabar power plant.

Nigeria plans to build 10 liquefied natural gas (LNG) factories with a five-million ton capacity over the next 10 years, said NGC Executive Director Chris Ogiemwonyi.

Nigeria currently has 180 trillion cubic feet of natural gas reserves but that figure is expected to rise to 300 trillion cubic feet with the completion of the discovery projects.

D-8 supports the possibility of cooperation among member states in nuclear tecnology for energy and peace purposes. During the Bali Summit in 2006, head of states of D-8 had pledged that in addressing the global energy crisis caused particularly by the unstable oil price, they reaffirmed their commitment to enhance cooperation in the field of energy to develop alternative and renewable energy resources, among others bio-fuel, biomass, hydro, solar, wind and the use of nuclear energy for peaceful purposes.

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One Response

  1. madu
    9:09 pm on January 5th, 2009

    cant nigeria build there on nocler cos this will make us be enemies with USA

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