Seven Energy Begins Delivery of Gas to Alaoji Power Station

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Seven Energy International Limited (“Seven Energy”), the indigenous Nigerian integrated gas company, through its wholly owned subsidiary, Accugas, has commenced supply of gas to the Alaoji Independent Power Project in Alaoji, Abia State. Gas delivery to the 504MW power station commenced in May 2015. Accugas is one of two gas suppliers to the plant with an initial contractual commitment to supply 30 million cubic feet per day (“MMcfpd”). The Alaoji project is the largest of Nigeria’s National Integrated Power Projects (NIPP), the first phase of which was commissioned in March 2015.

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Speaking on the accomplishment, Phillip Ihenacho, Chief Executive Officer, Seven Energy, said: “The reliable supply of gas to the National Integrated Power Projects has been one of the core obstacles to their completion, and the consequent addition of significant generation capacity into the grid. Seven Energy is pleased to be able to provide this solution, ensuring that Alaoji has access to the gas it needs to commence electricity generation. Seven Energy is committed to providing the gas that will support the generation of electricity across Nigeria through our expanding gas distribution network. The addition of Alaoji to our gas supply network means we are now delivering affordable and reliable gas to three of Nigeria’s power stations. As a core of Seven Energy’s strategy to meet growing domestic energy demand, the Company has continued to invest in the expansion of its gas infrastructure in the south east Niger Delta region, from its processing hub in Uquo, Akwa Ibom state”.

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Steve Tierney, Managing Director, Accugas, commented; “Alaoji’s decision to choose Accugas as one of its initial gas suppliers is a further endorsement of the quality and reliability of the service we deliver to our customers. By ensuring our network is strategically located to deliver gas to the NIPP’s coming on stream in the south east of the country, and having proven our ability to deliver almost 100% uptime of service, we expect to continue to expand our customer base in the coming months. Alaoji power station joins a growing list of gas off-takers, including Ibom Power Company, the United Cement Company of Nigeria, Notore Chemical Industries Limited and Calabar NIPP, who now rely on Seven Energy for the supply of gas to meet their power and industrial needs”.

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