Power generating company, Geregu Power Plc, said it made advance payments of N8.783bn to Italian firm, Ansaldo Energia, for the overhaul of its gas turbine as of the end of June 2023.

This was disclosed in the unaudited interim statement of financial position of the Genco for the period ending June 30, 2023, which was filed with the Nigerian Exchange Limited.

As of December 2022, advance payment to the Italian firm was N4.616bn.

In April 2022, Ansaldo Energia signed a  three-year contract with Geregu valued at €32m to conduct a major overhaul of the 435 MW Power power plant in Ajaokuta, Kogi State, Nigeria.

The three-year contract included the supply of spare parts which would be entirely manufactured by Ansaldo Energia in Italy, and the maintenance services, which would be performed by its subsidiary Ansaldo Energia Nigeria, based in Lagos. Activities would start in early 2023.

According to Geregu’s financials, the major overhaul of the gas turbine was scheduled for Q3, 2023.

Based on reports, this contract marked Ansaldo Energia’s first foray into the electricity sector of Nigeria. For Geregu Power, this represents the second major overhaul since the acquisition of the plant by Amperion Power Distribution.

Meanwhile, the revenue of Geregu grew by 2.65 per cent to N34.69bn in the first half of 2023 compared to N33.8bn recorded in the same period in the previous year. Profits, however, dipped by 11.52 per cent to N8.05bn in contrast to N9.10bn recorded as of June 30, 2022.

The total assets of the power company also experienced a dip as it stood at N155.48bn at the end of June 30, 2023, compared to N174.03bn at the end of December 2022, marking a 10.66 per cent depreciation.

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