Energy Transition: Minister Lauds Federal Govt’s €7.6bn Deal With China Firm

The Minister of Innovation, Science and Technology, Chief Uche Nnaji, has applauded the federal government over its commitment to gradual diversification from fossil fuels to clean energy in line with global best practices.

Towards this end, major step towards achieving green hydrogen in Nigeria was taken in Uyo, the Akwa Ibom State capital, when APPL Hydrogen Limited (AHL) and LONGi Green Energy Technology Company Limited (LGETCL), a Chinese firm, signed a massive €7.6billion deal for a green hydrogen project.

The project, LEADERSHIP learnt, would be located within the Liberty Free Trade Zone (LFTZ) at Atabrikang, in Ibeno local government area of the State.

The Chief Visionary Officer (CVO), Mr. Idara Ekpo, endorsed the agreement for APPL Hydrogen Limited, while Francois Cui, Vice President of LONGi – Europe, led the Chinese delegation to close the deal.

Other members of his team were Monica Ping – technical director Europe; Jim Huang – general manager, Europe; and Arinze Onyeabo – business development director West Africa/technical manager Europe.

LONGi, according to the Memorandum of Understanding (MoU), is a world leader in the clean energy transition, while AHL is a Nigerian company that provides clean and environmentally-friendly fuel.

To witness the signing and exchange of agreement on behalf of the Federal Government was Nigeria’s minister of Innovation, Science and Technology, Chief Uche Nnaji. He was accompanied by the Director General of Energy Commission of Nigeria (ECN), Mustapha Abdullahi.

In his remarks, the minister said his visit to the project site, and to witness the exchange of agreement “is a testament to the federal government’s commitment to advancing renewed energy, industrialization and technology driven innovation as key drivers of economic growth,” adding that “the project represents a significant step in Nigeria’s journey towards a sustainable energy future.”

“As the global energy landscape shifts towards cleaner alternative, investments in green hydrogen, green methanol and green ammonium production place Nigeria at the forefront of green energy innovation,” he stressed.

The minister listed the benefits of science and technology integration in the sector to include industrial development, job creation, foreign investment attraction, as well as establishing Nigeria’s position in the global energy market.

According to Nnaji, the AHL project aligns with national priorities, particularly in fostering a robust research and development ecosystem that support sustainable energy solutions, maintaining that “the federal government will collaborate with the Akwa Ibom State government in the areas of investment and technological advancement.”

He, therefore, called for synergy between public and private sector stakeholders to enable the project to achieve the desired success.

On his part, the Managing Director of Oil and Gas Free Trade Zone Authority, Alhaji Bamanga Usman Jada, described the project as “one that will diversify Nigeria’s economy, encourage export and help solve the issue of foreign exchange.”

“It will lead to technology transfer, create massive employment for our people; and it is environmentally friendly and sustainable,” he added.

Giving insight into the project, the CVO of APPL Hydrogen Limited, Engr. Idara Ekpo, explained that his company was going into the green hydrogen project because the world was moving towards green hydrogen to mitigate the effect of climate change.

“From green hydrogen, APPL Hydrogen will be producing green methanol, which is one of its kind in the world. We will be producing 1.2 metric tons per year of green hydrogen derivatives, which is going to be green methanol for export. From that green methanol, we will have medical oxygen and food grade carbon dioxide.”

The company, he disclosed, was working alongside 11 other international companies on the project.