Gaz du Cameroun SA, a subsidiary of Victoria Oil & Gas PLC, has secured financing to support expansion of the Logbaba Gas Project, which supplies electric power and other industries in the Douala region of Cameroon (OGJ Online, Feb. 18, 2016).
The $26 million loan from BGFIBank Cameroon SA will support drilling this year of a third production well and a step-out from Logbaba gas and condensate field, a pipeline extension, and expansion of gas-processing facilities.
Logbaba production supports power generation and fluctuates seasonally in response to the availability of hydroelectric generation.
Last year, gas production averaged 4.5 MMscfd in the first quarter, 12.6 MMscfd in the second quarter, 8.19 MMscfd in the third quarter, and 7.14 MMscfd in the fourth quarter.
Victoria said it hopes to increase Logbaba gas production by 30% this year.
Gaz du Cameroun holds a 60% interest in and operates the project. RSM Production Corp. holds the remaining interest.