Seplat Energy has announced that the ANOH gas plant installation works have reached mechanical completion as planned. The company through its lastest media disclosure attributed this as a milestone achievement for the company

According to the company, the ANOH gas plant installation works reached mechanical completion without a single recordable Lost Time Incident, LTI, across 11 million man-hours, a testament to the focus of the whole team on safe and secure operations.

The other key steps to first gas, as outlined in the Company’s Interim Results announcement, were the drilling and hook-up of the Upstream wells and completion of essential third-party infrastructure:  the OB3 pipeline river crossing and Spur Line connecting OB3 to the gas plant. Completion of the third well (ASSN-05) was previously announced and the fourth and final well (ASSN-06) planned ahead of the first gas has also now been completed by the upstream unit operator, SPDC.

Seplat is looking forward to the completion of the necessary plant pre-commissioning activities and essential third-party infrastructure which will enable the commissioning of the gas plant and commencement of operations.  Our previously communicated guidance for first gas is unchanged.

 “ANOH is an important strategic project for Seplat, it will roughly double our gas production, and we are focused on the path to first gas. Once completed, ANOH will provide two income streams for Seplat: wet gas sales from OML 53 to the gas plant and dividends from the joint venture ANOH Gas Processing Company, which will operate the plant. ANOH’s gas will further reduce Seplat’s and Nigeria’s carbon intensity and increase energy supplied to the Nigerian domestic market,” Roger Brown, Chief Executive Officer of Seplat Energy, said.

The ANOH Gas Processing Company (AGPC), an incorporated joint venture between Seplat Energy and NNPC Gas Infrastructure Company (NGIC) Ltd, is delivering the ANOH gas plant with Phase One processing capacity of 300mmscfd. Upon commencement of operations, the plant will deliver dry gas, condensate, and LPG to customers. It is envisaged that AGPC will sell the gas and LPG domestically, and the condensates to the international market.

Nigerian Kaduna Electric Distribution Company up for sell over $130m debt

Nigeria’s electricity regulator has put up for sale the sixth largest power distribution utility over a $130 million debt, less than two years after the lenders who took over the company failed to turn it around and make it profitable as reported by Reuters.

Africa’s biggest economy, Nigeria, has 11 power distribution companies but they are struggling to remain profitable because of lack of capital and sub-economic tariffs imposed by the Nigerian Electricity Regulatory Commission (NERC).

Kaduna Electricity Distribution Plc (Kaduna Electric) is one of 18 successor companies created following the privatisation of the defunct Power Holding Company of Nigeria in 2013 and sells electricity in four northern states.

The utility owes 110 billion naira ($130 million), NERC said in a notice on Monday, to companies including the Nigerian Bulk Electricity Trader and power generation firms. The regulator said it now considered the company a ‘failing licensee’, allowing NERC to dissolve its board using a law passed last year.

Kaduna Electric was taken over by African Export-Import Bank (Afreximbank) and local lender Fidelity Bank in July 2022 but they have struggled to improve its financial performance. The Nigerian government through its Bureau of Public Enterprises also owns a 40% stake. Reuters further reported.

NERC said it had appointed an administrator and special directors to manage Kaduna Electric in the interim and sell its assets to the highest bidder.