The Federal Government, through the Nigerian National Petroleum Corporation, and the US Trade and Development Agency signed a $1.16m grant from the agency for the feasibility study of a power plant to be built in Abuja.

The Abuja Independent Power Project is modelled to generate 1,350 megawatts of electricity to alleviate the power challenge in the country, according to the NNPC.

The grant agreement was signed by the Managing Director, Gas & Power Investment Company, an NNPC subsidiary, Hussain El-Yakub, and the USTDA’s Director, Thomas Hardy.

The NNPC said it would work with two US firms, GE and Continuum Associates, to deliver the project.

Hardy told our correspondent on the sidelines of the event that the agency would invest just over $1.1m in the project.

He said work would start immediately on the feasibility study.