Nigeria

Savannah’s Nigerian business comprises interests in upstream (Uquo and Stubb Creek fields) and midstream (Accugas) assets, all located in South East Nigeria. Together these assets have combined gross and net 2P reserves of 99.6 mmboe and 71.0 mmboe respectively, and gross and net 2C resources position of 98.0 mmboe and 58.6 mmboe respectively as per the Company’s Competent Person’s Report from CGG Services (UK) Ltd dated 10 December 2019.

Nigeria Asset Map

 

Summary of Nigerian Assets’ Reserves, Resources and NPV10

  Gross 2P Reserves (mmboe) Gross 2C Resources (mmboe) Gross 2P NPV10 (US$m)*
Uquo field 84.2 12.1 284.6
Stubb Creek field** 15.4 85.9 56.7
Accugas - - 840.9
Total 99.6 98.0 1,182.2

* NPVs shown on “take or pay” basis, i.e. based on the amount of gas that Accugas’ customers are obliged to purchase, take and pay for (or pay for if not taken).
** Note that Stubb Creek NPV10 does not include value for contingent gas resources at the field.

Upstream

Uquo Field

Savannah holds an 80% interest in the exploration, development and production of gas at the Uquo field through its 80% owned subsidiary Seven Uquo Gas Limited (“SUGL”). The remaining 20% interest in SUGL is held by African Infrastructure Investment Managers (“AIIM”), a leading African-focused private equity firm. SUGL holds responsibility for all operations of the gas project at the Uquo field, including control of gas-related capital investment projects and day to day gas operations.

Stubb Creek Field

Savannah holds a 51% operated interest in the Stubb Creek field located in South East Nigeria (through 100% ownership of Universal Energy Resources Limited). Sinopec holds the remaining 49% interest in this field.

Midstream

Savannah holds an 80% interest in the Accugas midstream business, with the remaining 20% interest held by AIIM. Accugas owns and operates the 200 mmscfd Uquo gas central processing facility (“CPF”), a c.260km pipeline network and long-term gas sales agreements with downstream customers (power station and industrial).