Accugas is Seven Energy’s gas marketing, processing and distribution business focused on supplying gas to the domestic market.
The Accugas business model has two components:
- Processing and distributing gas from the upstream activities of its affiliates, currently comprising the Uquo Field and Stubb Creek Field; and
- Processing, distributing and marketing gas for upstream partners and third parties.
Accugas currently has two long-term take-or-pay sales agreements in place to sell over 1 Tcf of gas:
- A 10-year contract to supply 43.5 MMcfpd to Ibom Power station and
- A 20-year contract to supply 131.0 MMcfpd to Calabar NIPP power station.
Accugas owns the Uquo Gas Processing Facility for processing gas from the Uquo Field and the Stubb Creek Field. The processing facility comprises two trains: Train 1, which was completed in 2012 and has the capacity to process 100 MMcfpd; and Train 2 which is due for completion in 2013 and will double the processing capacity to supply the 560 MW Calabar NIPP power station which is currently under construction and nearing completion.
The first leg of the distribution infrastructure, a 62 km 18-inch pipeline from Uquo to Ikot Abasi to deliver gas to the 190 MW Ibom Power station, was completed in 2011. This pipeline has transportation capacity of over 200 MMcfpd and was commissioned in Q1 2013. An additional 37 km 24 km 24-inch pipeline from Uquo to Oron is under construction to supply gas to the 560 MW Calabar NIPP power station.
With spare capacity built into its processing and distribution infrastructure, Accugas is capable of providing a long-term supply of gas to additional offtakers for power generation and lower cost fuel for local industry. This is leading to an influx of inward investment opportunities for gas-based enterprises in the south east Niger Delta and Accugas is working closely with those partners to help them realise their projects.
An overview of Seven Energy’s facilities in the south east Niger Delta is set out below.
South East Area Facilities Overview >>