Gasol LNG Import signs Gas Supply Agreement with Volta River Authority
Gasol, the AIM listed gas to power company, announced that its subsidiary, Gasol LNG Import Limited (“Gasol LNG Import”), has signed a conditional long term Gas Supply Agreement (GSA) with the major power generation company in Ghana, the Volta River Authority. The daily contract quantity under the Agreement is 100mmscfd.
The GSA with the Volta River Authority follows on from the signature of the joint venture agreement, announced in April of this year, between Gasol’s affiliate African Power Generation Limited (“Afgen”) and Ghana National Gas Company Ltd (“GNGC”). Under the terms of the joint venture agreement, Afgen and GNGC have agreed to cooperate on the marketing of regasified Liquefied Natural Gas (“LNG”) from Bénin and the development of an LNG solution for Ghana.
Gasol has already concluded a Gas Supply Agreement with the Communauté Electrique du Bénin, the electricity authority for Bénin and Togo, with a daily contract quantity of 60mmscfd.
Today’s announcement means that Gasol LNG Import now has sufficient gas offtake agreements in place to progress with the development of its proposed LNG Import and Regasification Facilities to be located in Cotonou harbour, Bénin.
Alan Buxton, Chief Operating Officer of Gasol plc said:
“Ghana is a major market for gas supply and we are absolutely delighted to have executed an agreement with the Volta River Authority for the supply of 100mmscfd. When the Benin project is operational the supply of natural gas to the Volta River Authority’s power plants will displace the use of more expensive and environmentally unfriendly imported light crude oil.”
Source: Gasol plc