Victoria Oil & Gas announces Gas Supply & Operations Update, Douala, Cameroon
Victoria Oil and Gas Plc, the emerging African energy utility company, today announces an update on its Logbaba gas supply operations in the industrial port city of Douala, Cameroon, operated by wholly owned subsidiary, Gaz du Cameroun S.A (“GDC”). The announcement is the first update which includes supply to both thermal and gas fired electricity generation (“Genset”) customers.
· 4.2 mmscf/d average gas supply rate on last 5 day commercial week – 4.5 mmscf/d daily peak
· 3.9 mmscf/d average gas supply rate for last 5 day commercial week plus 2 day weekend
Operational News and Contracts
· New Genset procurement strategy to source units meeting individual customer specifications from a range of vendors – Revised Energyst contract signed on 7 July 2014 removing the requirement to take further 1.5 MW units
· Recent reports from Dangote Cement Cameroon S.A. (“Dangote”) indicating commissioning of its cement plant scheduled for August 2014
· Socapursel, a food manufacturing business, connected as new thermal customer
· Pipe laying and network infrastructure work now wholly outsourced under a US$ per metre fixed price agreement. Significant advances in pipe infrastructure now made to signed gas supply agreement (“GSA”) customers on Western shore.
· Drilling under the Wouri River now scheduled to commence in July following receipt of new Auger (directional drill rig) parts by main contractor
· Actis-Sonel discussions progress for gas supply to national grid power stations
Kevin Foo, Chairman said; “Today’s announcement is a milestone for the Company as we see a significant increase in consumption rates from both thermal and power business units.
Gas to power is now an important component of GDC’s sales and the team shall be looking to build the Genset business working with a wide pool of suppliers. Our drive for operational efficiency is paying off with our pipe laying now outsourced and a major internal training programme implemented company-wide.”
Source: Victoria Oil & Gas