Seven Energy’s midstream business, Accugas, in combination with the recently acquired East Horizon Gas Company (“EHGC”), focuses on gas sales and marketing, processing and distribution to the domestic Nigerian market.  Through its wholly-owned gas gathering network and distribution infrastructure, Accugas and EHGC serve to assist the Group’s upstream partners, and third parties, to monetise the production of gas.

The midstream business has three components:

  • Processing. Gas processing services are provided by the Uquo Gas Processing Facility to Seven Energy’s upstream subsidiaries and joint venture partners.  Similar processing services are planned to be offered to other market participants in due course.
  • Distribution. Gas is transported through an extensive gas pipeline infrastructure from processing facilities directly to offtakers.
  • Sales and marketing. Gas sales agreements are entered into with offtakers.


Gas is processed by the Group’s wholly-owned Uquo Gas Processing Facility, located near Ikot Abasi.  Through the combination of Train 1 and Train 2, the processing facility has processing capacity of 200 MMcfpd.


Seven Energy has distribution capacity of 600 MMcfpd across its network of 260 km of gas pipelines.  Its main pipelines include: (i) the 62 km 18-inch Uquo to Ikot Abasi pipeline; (ii) 37 km 24-inch Uquo to Oron pipeline (under construction) and (iii) the 128 km 18-inch East Horizon pipeline from Ukanafun Junction to Mfamosing, just outside Calabar.

Sales and marketing

Seven Energy has three long-term gas sales agreements, providing stable, long-term cash flows.

  • 10-year gas sales agreement to supply 43.5 MMcfpd to the Ibom Power station
  • 20-year gas sales agreement to supply 131 MMcfpd to the Calabar NIPP power station
  • 20-year gas sales agreement, expiring in 2032, to supply 25 MMcfpd (increasing to 50 MMcfpd upon a planned expansion) to UniCem, a cement plant

With spare capacity built into the distribution infrastructure, the Group is also capable of providing long-term supplies of gas, a lower cost fuel than most alternatives, to additional offtakers for power generation and for local industry.

An overview of Seven Energy’s infrastructure assets in the south east Niger Delta is set out below.

Midstream facilities overview
EHGC pipeline licence