Gas Marketing, Processing and Distribution

Company Profile
Accugas Company Profile

About Accugas
Accugas is a gas marketing, processing and distribution business in Nigeria, focused on
supplying gas to the domestic market through the creation of gas gathering networks and the
development of a gas distribution infrastructure.

Accugas (part of the Seven Energy Group) owns midstream and distribution infrastructure assets
in the Niger Delta and supports upstream activities by enabling oil and gas companies to
monetise production from their gas assets.

Accugas works with upstream partners to secure the supply of processed and unprocessed gas
and with downstream o-takers to which processed gas is sold.

Accugas has a number of ongoing infrastructure projects in progress, including a gas processing
hub at the Uquo field and a pipeline grid which will have the capability to supply gas across the
south-east Niger Delta from Port Harcourt in the West to Calabar in the East.
Opportunity
Nigeria is one of the fastest developing countries in Africa with Gross Domestic Product (GDP)
growth rate averaging 6.8% per annum and enormous resource potential with around 187 Tcf of
proven natural gas reserves1.

These vast reserves are largely undeveloped due to regulatory, infrastructure and financial
constraints and with a growing population of 162 million the country suers from chronic
power shortages. Its installed power generating capacity is only 7.3 gigawatt (GW) and it
operates at less than 50% capacity due to gas supply shortages.

The demand for natural gas in Nigeria is predicted to treble over the next 10 years, which will
see a number of power plants coming onstream and increased investment in infrastructure
development to address the challenges of gas supply.

Accugas is working with Akwa Ibom State to assist in the creation of an autonomous self-
sucient managed supply of gas in the south-east Niger Delta. The result will be a local network
for gas processing and transportation in the region capable of delivering over 1 Tcf of gas
reserves.

1 - BP Statistical Review (June 2012)

Assets and Operations
The Accugas business model has two components:
to process and distribute gas from the upstream activities of its aliates, currently comprising
the Uquo and Stubb Creek fields;
to process, distribute and market gas for upstream partners and third parties.
Accugas currently has two long-term take-or-pay gas sales agreements in place to sell over 1 Tcf
of gas: a 10-year contract to supply 43.5 MMcfpd to Ibom Power, and a 20-year contract to
supply 131 MMcfpd to the federally-owned power plant at Calabar.

Accugas owns a gas plant at Ekid for treating and processing gas from the Uquo and Stubb
Creek fields. The processing facility comprises two trains: Train 1, completed in 2012, has the
capacity to process 100 MMcfpd. Train 2, due for completion in 2013, will double the processing
capacity to supply the 560 MW Calabar Electricity Generation Company power plant which is
currently completing construction.

The first leg of the distribution infrastructure, a 60 km 18-inch pipeline from Uquo to Ikot Abasi
to deliver gas to the 190 MW Ibom Power Plant, was completed in 2011. This pipeline has
transportation capacity of over 200 MMcfpd and was commissioned in Q1 2013. An additional
37 km 24-inch pipeline from Uquo to Oron is under construction to supply gas to the 560 MW
Calabar Power Plant.

With spare capacity built in to its processing and distribution infrastructure, Accugas is capable
of providing a long-term supply of gas 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.
Contact us
Accugas is a wholly owned subsidiary of Seven Energy International Limited
7b Anifowose Street 4th Floor, 6 Chesterfield Gardens
Victoria Island London, W1J 5BQ
Lagos, Nigeria United Kingdom
Tel. +234 1 277 0600 +44 20 7518 3850
Fax. +234 1 277 0644 +44 20 7518 3878

Email. info@sevenenergy.com
www.accugas-nigeria.com
Accugas is a wholly owned subsidiary of Seven Energy
and an aliate of Septa Energy, the indigenous Nigerian
oil and gas production and development company.