Professional Documents
Culture Documents
Outline
Who we are
Background
Definition of the Greater Lagos Industrial Area (GLIA)
Steps in GLIA development
Challenges
Who we are
Gaslink is a member of the Oando group as shown below
Downstream
Commercial &
Retail supply of
petroleum
products
Oando Supply
& Trading
Petroleum
products
supply &
trading
Oando Pet.
Development
Company
Greenfield
development
of marginal
fields
Oando
Energy
Services
Provides support
services to the
upstream sector
Oando
Refinery
Refining of
petroleum products
Oando
Power
Gaslink
Nigeria
g
Power
generation &
distribution
Gas distribution
Exclusive
distribution
franchise for
the greater
Lagos area
Supplies over
70 industrial
companies
Background
History:
1998: Oando won the right to distribute natural gas in the Greater Lagos Industrial Area through a
competitive bidding.
1999: Oando signed the Natural Gas Sales and Purchase Agreement with NGC
1999:
1999 Gaslink
G li k was assigned
i d Oandos
O d exclusive
l i rights,
i h benefits
b fi andd obligation
bli i under
d the
h Natural
N
l Gas
G
sales & Purchase Agreement with NGC. Gaslink then became a Special Purpose Vehicle for Oandos
investment in the downstream natural gas segment.
2000: Gaslink signed a supplemental agreement with NGC
2000: Gaslink delivers first gas
2001: Gaslink commissions first network.
2001: Oando increases its stake in Gaslink.
Background contd.
Vision:
To be the leading and most innovative energy company in our chosen markets
Mission:
Definition of GLIA
In 1995, Government, through the Nigerian Gas Company (NGC) divided the areas covered by gas
transmission lines into 5 economic zones. Greater Lagos Industrial Area (GLIA) is one of them and
it comprises of
Ikeja,
Maryland
Ojota,
Agege
Anthony,
Anthony
Matori
Apakun
Oshodi,
Oshodi
Mile 2,
Iganmu,
Ijora,
Ijora
Apapa and environ
This phase of expansion is aimed at increasing the volume and pressure of Gas supplied to the
Apapa area.
This is to increase the capacity delivered by the Greater Lagos II pipeline (GL II)
II).
The present expansion phase involves three distinct segments.
Phase IIIA Linking the Ikeja 1B pipeline with the GL II to transfer excess volumes from the
Ikeja 1B pipeline.
Phase IIIB Increasing the capacity to supply volumes to Apapa by laying new pipeline to
increase the capacity of GL II.
1.
Connecting the new pipelines with the starting point of Gaslinks distribution network.
Gas to the new pipeline will be supplied from this point and the connection with Ikeja 1B in segment
Segment 3 also entails connecting the Amuwo-Odofin and Apapa ends of GL II to supply gas to
Tincan Island.
The present expansion phase is expected to increase Gaslinks total supply to 2,438,736scm/d or
86.11 mmscf/d upon completion.
Potential customers have indicated their willingness to off-take the additional volumes the expansion
will generate.
Challenges
The following challenges were encountered while developing the pipeline network:
The market
Host community
E i i ddesign
Engineering
i andd construction
i
Finance
Safety
Operational practice
Maintenance
Challenges
Market
Sizeable Market: About 150 Potential Consumers Identified
- only 5 signed &
- 7 Letters of Intent issued
Challenges
Lagos State Govt. & Host Community
Community problems relating to multiple claims
Safety/Education
Traffic Management
Road cut permits and reinstatement charges by Lagos State Govt.
Unidentified underground facilities
Gaslink action taken
Sought the Support of Lagos State Government
Established Joint Task Force on Community relations
Information and Public Enlightenment
Joint Traffic Management Strategy
Federal Road Safety
Gaslink Emergency Response Plan
Local Government Joint Seminars
Security Patrol
Challenges
Finance
Shareholders equity
Shareholders
Equity/Loan/Retained Profit
Challenges
Engineering design and construction
Absence of local technical skills/materials for the design & construction of a metropolitan gas
network.
Lack of records of existing underground facilities i.e. NITEL & NEPA cables, abandoned drains
etc.
Multi level interruption by various tiers of government; federal, state ministries and local
government.
Statutory
Permit to Surveyy (
(PTS)
)
Oil Pipeline License application (OPL)
Public hearing
Environmental Impact Assignment (E.I.A)
Right
Ri h off Way
W (ROW) acquisition
i ii
Challenges
Safety
3 layer coating
line break valves
automatic controls (minimal human interface)
slam shut valves
road crossing protective design
fire detection and fighting system
odorized gas
system design pressure much higher than operating pressure
system tested to withstand 150% of the operating pressure
safety management during construction
Challenges
Operational Practice
As part of our operational practices a double run meter is installed in our customers premise.
The system is also designed with a 100% redundancy, this is done in order to achieve
continuous supply of gas incase of any emergency.
Generators are installed in our AGI to ensure uninterrupted
p ppower supply.
pp y
The city gate station operated by NGC also has a redundancy built into their system.
Two
T generators
t andd UPS tto ensure uninterrupted
it
t d power supplyl iis also
l iinstalled
t ll d att th
the city
it gate.
t
Also installed at the city gate are scrubbers, heat exchangers and separators to ensure that gas
maintain correct specification.
Challenges
Maintenance
Installation of Supervisory Control and Data Acquisition (SCADA) on our system for effective
monitoring and maintenance of our pipeline.
Our engineers are certified by Original equipment manufacturer on the operations of the
equipment.
Conclusion
The activities have attracted new entrants into the market to take advantage of the available
opportunities.
Thank you