On Thursday, an International Arbitration Tribunal under the auspices of the International Chamber of Commerce (ICC) in Paris issued an award in favour of Nigeria, rejecting the claims in the arbitration instituted by Sunrise Power and Transmission Company Ltd (Sunrise).

The company had made a claim against the Federal Republic of Nigeria, demanding $680 million as a settlement sum and interest in respect of another arbitration in which it is claiming over $2.7 billion in compensation and interest.

The claim relates to disputes associated with the development of the 3,960 MW Mambila Hydroelectric Power Project in Taraba State.

The tribunal, in its verdict on Thursday, directed Sunrise and its promoter to refund Nigeria’s legal fees of $11.8 million.

It also rejected Sunrise’s claim for an order that Nigeria should pay the company $400 million in satisfaction of the settlement sum of $200 million and the default sum of $200 million.

The tribunal insisted that Leno Adesanya, the promoter of Sunrise, is bound by the arbitration agreement with Nigeria pursuant to the settlement agreement, adding that the tribunal has jurisdiction over Nigeria’s counterclaim against him and his firm.

Tinubu speaks

In his reaction Thursday evening, President Bola Tinubu said the latest decision affirms the Nigerian State’s determination not to succumb to predatory and exploitative claims by corrupt local and international entities and their enablers and funders.

“On behalf of the Government and People of the Federal Republic of Nigeria, I strongly commend the tremendous efforts of the Attorney-General of the Federation and Minister of Justice, Prince Lateef Fagbemi and the entire team at the Federal Ministry of Justice for their efforts in this matter,” the president said in a statement signed by presidential spokesperson, Bayo Onanuga.

“I also commend the FRN defence team, led by Ms Elizabeth Oger-Gross and Mr Tolu Obamuroh, both of Paul Hastings LLP, for their professional and excellent defence of the country.

“I commend the patriotism and support of former President Olusegun Obasanjo, GCFR, and late President Muhammadu Buhari, GCFR, who testified in the case, which dated back to an illegal 2003 contract to build a 3,050-megawatt hydroelectric plant in Taraba State under a build-operate-transfer model. The Federal Executive Council never authorised the contract.”

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Mr Tinubu also thanked the other witnesses in the case, including former Ministers Babatunde Raji Fashola, SAN, and Suleiman Adamu, as well as the experts, for their active participation in defending Nigeria’s interests in the arbitration.

“I commend the National Security Adviser for his support and the Economic and Financial Crimes Commission for its investigation into the case.

“I want to assure you that while our country remains committed to partnering with genuine investors and honouring its legal obligations, it will continue to defend all opportunistic claims instituted against our commonwealth strongly,” he said.

Thursday’s ICC ruling clears the single biggest legal hurdle that has paralysed the Mambilla hydro power project for years, the statement said.

Geothermal startup Mazama Energy raised $135 million in an oversubscribed Series B, the startup said Thursday.

The fresh funding will help the company develop horizontal wells in super-hot rocks capable of generating 15 megawatts of electricity per well.

Mazama plans to start generating electricity sometime next year and said its first site in Oregon is capable of producing 10 gigawatts of electricity. That’s a sharp upward revision from the company’s estimate last year, when investor Vinod Khosla said the site had the potential to produce 5 gigawatts.

Enhanced geothermal startups are shaping up to be the dark horse in the battle to power AI data centers and other large loads on the grid. While tech companies and data center developers have been throwing their weight behind natural gas, geothermal startups have been quickly advancing their technology.

Unlike previous geothermal projects, enhanced geothermal startups are targeting deeper and hotter rock. Mazama, for example, has drilled past 10,000 feet in 15 days on its way to about 15,000 feet deep. At those depths, the company can access 750˚ F (400˚ C) heat, which at high pressures turns water into a “supercritical” fluid that’s neither fully liquid nor fully gas — a state that lets it absorb far more energy than ordinary steam. Mazama said that will allow each well to produce up to 10 times more power than traditional geothermal technologies.

Given the depths Mazama is targeting, the potential payoff is significant. Tapping just 1% of super-hot rock worldwide could generate more than 63 terawatts of electricity, according to the University of Twente and the Clean Air Task Force.

While work at its Oregon site is still in the early stages, the startup has already secured land for a second development. Mazama aims to complete development of the first site by 2030, at which point it says it should generate 200 megawatts of electricity.

The new round was led by Centaurus Capital and Doerr Capital, with participation from ConocoPhillips and Shell Ventures. Existing investors including Khosla Ventures and Gates Frontier returned, and new investors SiteGround Capital, H. Barton Asset Management, and the Jeffrey and Marieke Rothschild Foundation also joined the round.

Mazama was incubated at Khosla Ventures.