Seven Energy starts gas supply negotiations with power plants in Nigeria

nigeria power plant-Alexander Khodarev sxc.huShortage of gas, faults and maintenance work on plants have combined to reduce power generation in the country to 3,674.9MW from the 6,668.6MW available capacity of the power stations. (Image source: Alexander Khodarev/’s gas processing firm Seven Energy has announced that it has initiated negotiations with 10 power plants for the supply of gas

The company said that a gas sale agreement has already been established with Akwa Ibom Power Plant, while it is also in the process of developing infrastructure to extend supply to neighbouring cities including Calabar, Port Harcourt and Aba.

According to Business Daily reports, the company has installed sub-Saharan Africa’s largest gas processing plant and has completed the construction of a network of 200km gas pipelines. The processing plant has the ability to process 6.22mn standard cubic metres of gas per day, the report said.

Philip Ihenacho, MD of Seven Energy, “The firm wants to eliminate redundancy in gas supply, enhancing the efficiency of power plants in the country in the process. Most power plants in Nigeria are gas-driven, given its abundant reserves.”

Ihenacho added that the company was talking to new green fields power investors so as to enter into power sale agreements that would last between 10 and 20 years.

Seven Energy has invested an estimated US$800mn in developing gas infrastructures across the country. Recently, it also signed an agreement with Oando to acquire the oil company’s Easter Horizone Pipeline, which is jointly owned by Oando and the Nigerian Gas Company (NGC).


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