Astral Power Ltd

Astral Power IPP

Astral Power & 50MW Gas-Fired IPP

Astral Power is a specialized in integrated energy solution and advisory firm that supports, build and operate power project, we navigate the technical, financial, environmental, and regulatory complexities of energy infrastructure — from concept design through to commissioning.

In partnership with Electricsol, Astral Power will play a key role in the conceptualization, development, and management of a 50MW gas-fired Independent Power Plant (IPP) located in Delta & Rivers State. The project is designed to supply power to Astral’s integrated energy operations and potentially serve surrounding Commercial and Industrial (C&I) users, with provisions for energy sales through a sub-franchising agreement with a willing DISCO. The scope of services will cover bulk energy generation, 33kV power evacuation, and technical collaboration with key stakeholders, executed in structured service phases across Onne and its environs.

Process Workflow

  • Client Discovery: Resolution to partner with Astral Energy to develop a 50MW gas powered IPP in ONNE environs, with Astral Power as key consultants on agreed consultation fee
  • Agreement: Electricsol & Astral Power outlining the scope of work, objectives, deliverables, timeline, and cost after reviewing the project concept
  • Analysis: Financial Analysis, indicating project cash flows and cost implications. Load Demand study of Onne, highlighting potential off-takers, Meeting with the PHEDC for interest declaration and bye ins. calculate the line distances to load centers
  • NTP: Notice to proceed from Astral to enter the second level of the project preparation:
    1. General Licensing acquisition and guarantee
    2. Land documentation and community engagement
  • Implementation: EPC tender support and ground breaking
  • Monitoring: Progress monitoring, guidance provision, and adjustments as needed if needed
  • Commissioning: Project completion. Commissioning and energy Delivery to off-takers
Process Workflow

Levels of Our Engagement

Phase Consultancy Technical Partnering
Feasibility & Planning Demand Studies, Licensing Roadmap -
Regulatory Engagement NERC, NGC, NEMSA.... -
Financial Modeling Tariff Simulations, IRR, NPV -
Engineering & Designs Conceptual Inputs Full Technical Design
Procurement Support Contract Templates Evaluation Supervision & QA/QC
Evacuation Design Strategy Advisory 33kV Engineering, SCADA
Commissioning - Sync & Testing Oversight

Our Approach

Our Approach

1. Reviews of Demand Forecast, Development of Feasibility Studies

Evaluated Onne’s demand profile, proximity to gas infrastructure, and evacuation potential.

Delivered a bankable feasibility study covering plant sizing, fuel supply options (NGC pipeline access), and commercial offtake models.

Prepare project concept and development roadmap

2. Legal and Regulatory Support (ASTRAL POWER LIMITED)

  • Guide compliance with energy sector regulations, eg, NERC for Generation and Embedded Licensing
  • NGC for gas supply connection framework (Unless self-supply is guaranteed)
  • Rivers State Environmental Protection Agency (RSEPA) for environmental impact approvals
  • DISCO for evacuation and franchising clearance

3. Procurement & Contracts (ASTRAL POWER LIMITED)

Support in the design and drafting of:

  • EPC contracts (Engineering, Procurement & Construction)
  • O&M contracts
  • PPA (Power Purchase Agreement)

Project Management & Oversight

  • Monitor project progress from pre-development to commissioning
  • Develop risk management frameworks
  • Provide advisory during financial close, procurement, and construction

Framework and Operational Management (ASTRAL POWER LIMITED)

  1. Engineering Design & Optimization: Lead detailed system design (generation + evacuation infrastructure); Optimize plant layout, component sizing (e.g., gas engine specs); Network integration design (substations, metering, 33kV line, SCADA)
  2. Energy Modelling & Generation Forecasting: Model expected generation output (e.g., net vs gross, plant availability); Forecast degradation, efficiency, and auxiliary consumption
  3. Evacuation Strategy: Coordinate with DISCO for interconnection; Prepare single-line diagrams and protection
  4. Supervision & QA/QC: Oversee the EPC contractor during the construction phase; Ensure compliance with design specs and quality standards; Conduct Factory Acceptance Testing (FAT) and Site Acceptance Testing (SAT)
  5. Commissioning: Ensure smooth first, Evacuation procedures; Confirm compliance with grid code and power quality standards; Support capacity testing and final sign-off with business metrics

Business Metrics

Metric Value
Installed Capacity (MW) 50.00
Total CapEx (USD) $50,400,000.00
Total CapEx (N) ₦75,600,000,000.00
Annual Net Generation (MWh) 346,896.00
Annual Fuel Cost (USD) $7,297,884.85
Annual Fuel Cost (Naira) ₦10,946,827,275.54
Annual Fixed O&M ($) $2,602,472.27
Annual Variable O&M ($) $238,433.18
Total Annual O&M (Naira) ₦2,840,905.45
Total Annual Cost (Naira) ₦10,138,790.30
Degradation (%) 1%
Depreciation (straight) 2%

Product Commercialization Strategies

This 50MW gas-fired IPP in Onne can serve as a hybrid commercial power hub, leveraging captive sales, embedded generation, and grid-based delivery to create a diversified and resilient revenue model.

Support the Astral Energy Industrial Terminal.

Channel Description Revenue Potential Model Type
Captive Model Bypass DISCO, sell to large end-users directly High Direct PPA with anchor industries
Embedded Generation Sub-franchise via DISCO, sell to targeted clusters Medium to high Bulk sale to PHEDC (Stable)
Grid Wheeling Send power to remote regions via wheeling charges Medium Open Access (Bulk/wholesale via TCN)

Operate a localized generation-distribution ring — Regulated hybrid

Pricing & Tariff Assumptions

Cost Elements Estimate
Levelized Cost of Energy (LCOE) ₦118–₦123/kWh (€0.07–€0.08)/kWh
Sale Price (Captive/Industrial C&Is) ₦180–₦200/kWh (€0.12–€0.13)/kWh
Sale Price (Grid/DISCO) ₦112–₦120/kWh (≈€0.09–€0.10)
Possible Margins €0.04–€0.06/kWh

Captive Power Sales (Direct Industrial)

Sale Price ($/kWh) Revenue ($) Profit ($) Margin (%)
0.10 €31,220,640 €16,529,325 53%
0.12 €37,464,768 €20,775,332 55%
0.14 €43,500,758 €24,879,805 57%

DISCO/Embedded Network (Sub-franchise Sale)

Sale Price ($/kWh) Revenue ($) Profit ($) Margin (%)
0.08 €24,976,512 €12,283,317 49%
0.10 €31,220,640 €16,529,325 53%
0.12 €37,464,768 €20,775,332 55%

Grid Wheeling (Eligible Customer Sales)

Sale Price ($/kWh) Revenue ($) Profit ($) Margin (%)
0.11 €33,302,016 €17,944,660 54%
0.13 €41,627,520 €23,606,003 57%
0.15 €52,560,000 €36,774,400 70%
Astral Power Visual 1 Astral Power Visual 2

Next Steps

  • Letter of Engagement/Partnership signoffs
  • Memorandum Of Understanding (Covering first level Fees)
  • Scope Maturation and Timelines
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