Savannah Energy Plc, a British independent energy company focused around the delivery of Projects that Matter in Africa, has announced that the Company’s 80% indirectly-owned subsidiary, Accugas Limited, has entered into a new gas sales agreement with Notore Chemical Industries Plc.
Based on the agreement, Accugas will supply Notore with up to 10 MMscfpd of gas to augment its current supplies. The contracted supply is on an ‘interruptible and reasonable endeavours’ basis, based on gas availability and nominations, for an initial term of one year, with the option to extend for a mutually agreed period. Notore’s fertiliser production plant is connected to the Accugas network via the Nigerian Gas Company pipeline from Ikot Abasi and no further tie-in or capital expenditure is required by Accugas to deliver gas to Notore.
Notore Chemical Industries Plc, formerly Notore Chemical Industries Ltd, is a Nigeria-based integrated agro-allied, chemicals and infrastructure company located in the Onne Oil and Gas Free Zone area of Rivers state in southern Nigeria. Notore’s primary business is the production of urea, ammonia and NPK blend fertilisers and sale to the Nigerian and international markets. Notore’s facility has a production capacity of 1,500 metric tons (MT) per day of urea and 1,000 MT/day of ammonia.
Speaking on the recent agreement with Notore, CEO of Savannah Energy, Andrew Knott said: “I am pleased to welcome Notore as a new gas customer to Accugas, representing our tenth customer site in total (versus three at the time of our acquisition of the Accugas business in 2019). We look forward to developing our working relationship with Notore over the course of the coming months and years.”
Savannah Energy Plc is an AIM quoted British independent energy company focused around the delivery of Projects that Matter in Africa and is active in Cameroon, Chad, Niger and Nigeria.