In a boost to Nigeria’s power sector and domestic gas utilisation, Oando PLC has announced that its upstream Joint Venture with NNPC E&P Limited (NEPL), the NEPL/Oando JV, is supplying natural gas to the newly commissioned 60-megawatt (MW) Independent Power Plant (IPP) in Yenagoa, Bayelsa State.
The power plant, commissioned by President Bola Ahmed Tinubu, GCFR, on April 10, 2026, forms part of Bayelsa State’s infrastructure development initiative aimed at improving electricity supply and stimulating economic growth in the region.
Under the agreement, the NEPL/Oando JV acts as the sole gas supplier to the IPP, delivering a contracted volume of 11.2 million standard cubic feet per day (11.2 MMSCFD).
The gas is supplied through the JV’s Elebele Valve Station, which is interconnected with a major trunkline, ensuring reliable and uninterrupted feedstock to the power plant.
This long-term gas supply arrangement not only provides a stable and predictable revenue stream for the joint venture but also encourages higher-value domestic gas monetisation, helping to diversify the JV’s revenue base away from traditional oil production.
Group Chief Executive of Oando PLC, Wale Tinubu CON, highlighted the importance of the project:
“This project reflects our long-standing commitment to Bayelsa State and its people. By enhancing power reliability, we are helping to unlock new opportunities for businesses, improve living standards, and stimulate broader economic growth across the State. Our integrated approach, connecting gas to demand and delivering stable energy where it is needed most, ensures that development is both sustainable and inclusive.
As one of the largest employers in Bayelsa, we are proud to deepen our contribution to the State’s progress.”
The Bayelsa State IPP is designed as a fully integrated system that combines gas supply, embedded generation, and a ring-fenced distribution network.
It is expected to deliver stable electricity to tens of thousands of homes, as well as commercial and industrial users in Yenagoa and surrounding areas.
Oando played a crucial technical role in the project by completing both the Front-End Engineering Design (FEED) and Detailed Engineering Design (DED) for the tie-in connection infrastructure linking the IPP to the JV’s existing gas network.
Advanced safety mechanisms were incorporated to protect connected assets, and the JV provided ongoing technical support during the plant’s commissioning and gas introduction phases.
This initiative reinforces Oando’s broader strategy to deepen its participation in Nigeria’s domestic gas value chain and demonstrates the effectiveness of public-private partnerships in delivering critical infrastructure.
The project also builds on Oando’s strong track record in the power sector, including its involvement in landmark developments such as:
– Nigeria’s first combined cycle power plant, the Okpai IPP
– The Akute Independent Power Project in Ogun State
– The Alausa Independent Power Project in Ikeja, Lagos
These previous projects have consistently improved grid reliability and provided stable, localised power to host communities.
The development is expected to generate positive ripple effects across Bayelsa State’s economy, from increased industrial productivity to an improved quality of life for residents.
About Oando PLC
Oando PLC is Africa’s leading indigenous energy solutions provider, listed on both the Nigerian Exchange Limited and the Johannesburg Stock Exchange. The company operates across the entire energy value chain, with a strong focus on sustainable and integrated energy solutions.
Administrator and Writer
