In anticipation of the full implementation of the Petroleum Industry Act 2021 which was passed into law in August 2021 and the requirement for the segregation of the Upstream and Midstream business, the PLATFORM/NEWCROSS JV set up the EGPCL for the actualisation of the Egbaoma Gas Commercialisation Project. While GSPAs were entered with some CNG offtakers, the bulk of the gas produced and processed is delivered to the OB3 pipeline, a 48-inch, 130km gas pipeline built and operated by the NGIC (a subsidiary of the NNPC).

The pipeline is expected to link gas reserves in the eastern Niger-Delta to Nigeria’s main demand centres, passing from Obiafu/Obrikom in Rivers State, traversing the Egbaoma field near the IPS at Umukwata, connecting the Oben metering station in Edo, and terminating at the Oben node on the ELPS in Delta State. The pipeline has the capacity to deliver 2 BSCF of gas per day. The LOT B of the OB3 pipeline was completed in Q3 2020, allowing the tie-in of the 8km EGBAOMA OB3 GAS PIPELINE. The project was commissioned in November 2020 and gas supply to our buyer, NGML, commenced in February 2021.

EGPCL supplies over circa 27 MMSCF/D to OB3 pipeline on the average. Power Gas offtakes about 3 MMSCF/D which it compresses at the CNG facility next door to EGPCL and evacuates to her industrial customers via a virtual pipeline network. PNG Gas Limited also offtakes about 0.91MMSCF/D of Shrinkage and 0.84MMSCF/D of Fuel, which it processes at its LPG facility adjacent Platform’s flow station and sells to offtakers. Platform has a 60% working interest in EGPCL.

PNG Gas Limited

ASE River Transport Company Limited