Victoria Oil & Gas subsidiary doubles gas production in Cameroon

Victoria Oil & Gas (LON:VOG) told investors late on Friday that gas supply to industrial customers in Cameroon has shot up after increased production to feed the Bassa power station.

Gas supply from its wholly owned subsidiary Gaz du Cameroun, has risen to 9.4 million standard cubic feet per day (mmscf/d) on a seven-day average basis.

The production rate marks a 114% increase from the beginning of the year on a seven-day weekly average basis.

The five-day 'working week' average, the high use period for GDC, is now at 9.6 mmscf/d with a peak production rate of 10.5 mmscf/d.

Kevin Foo, executive chairman, said: "Our gas production has doubled since the beginning of the year, and for the first time our peak production has broken the 10 mmscf/d threshold.

“This is a big achievement for VOG and the continuation of what I expect to be a successful 2015 for the Company."

The Bassa power station is supplied with gas under an agreement signed with ENEO Cameroon, a company partly owned and operated by UK based Actis and the state power company in Cameroon.

GDC supply gas to both the Bassa and Logbaba power stations, where electricity is generated from gas-fired electricity generation sets ("Gensets") supplied and operated by project partners Altaaqa Global.

The company added that completion of the Logbaba power station has now entered its final phase, with all remaining Gensets released from customs and being installed by Altaaqa.

The installation is expected to be completed soon and Logbaba will thereafter meet its 30MW supply target (6.06 mmscf/d).