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  • Axxela announces CEO retirement, appoints new group CEO

    Axxela announces CEO retirement, appoints new group CEO

    Axxela Limited, a gas and power portfolio company in sub-Saharan Africa, has announced the official retirement of its Chief Executive Officer, Bolaji Osunsanya and the appointment of a successor, Ogbemi Ofuya as the new Group Chief Executive Officer. 

    Osunsanya retires from active service having recently attained the age of 60 years. 

    According to the Chairman of the Board of Axxela, Boye Olusanya, “Bolaji’s exceptional leadership has had a significant positive impact on Axxela, and the board is immensely grateful for his vision, passion, and unwavering commitment as the company’s pioneer Chief Executive. 

    “Under his leadership, Axxela experienced tremendous growth, enabled vast industrialisation, supported the growth and emergence of many industries and led the company’s expansion into new regional markets. We wish him great success and extend our best wishes on his retirement.”

    “I am pleased to announce Ogbemi Ofuya as his worthy successor. Ogbemi has contributed actively to Axxela’s story through his role as a member of the board and he led Helios’ acquisition of Oando’s interest in Axxela. 

    Read Also: Axxela takes FID to boost gas processing plant

    “With his extensive experience in the oil and gas sector, proven leadership capabilities, and deep understanding of Axxela business, I am confident that Ogbemi is well positioned to reimagine Axxela’s go-forward strategy and lead the company into the future.”

    Commenting on his retirement , Osuunsanya, said: “It has been a privilege to lead the team at Axxela over the past 20 years. I want to thank the board, management, staff and our business stakeholders for their support and commitment to the Axxela brand. 

    “I am immensely proud of what we have accomplished, and it has only been possible because of the incredible talent and contribution of the people at Axxela. Our collective achievements have propelled the company to an industry-leading position, and I’m looking forward to its exponential growth under the new leadership.”

    Speaking on his appointment, Ogbemi Ofuya said: “I am honoured to have been appointed by the board to lead this great organisation at such a pivotal time. Axxela has evolved into an integrated energy solutions company over the years, and it is a privilege to build on the exceptional foundation established by Bolaji and his team. I am committed to driving the company forward and further strengthening our position as a leader in the energy sector as we navigate the opportunities ahead.”

    Osunsanya will work closely with Ogbemi Ofuya until December 2024 to ensure a smooth leadership transition and effectively conclude the ongoing enterprise re-organisation. Subsequently, he will transition to serve on the Board of Axxela as a non-executive director.

    Axxela remains committed to its strategic direction and is positioned to continue to grow during this transition and beyond.

  • Axxela takes FID to boost gas processing plant

    Axxela takes FID to boost gas processing plant

    Gas and power firm, Axxela Limited, yesterday said it has taken Final Investment Decision (FID) for the development of a gas processing plant situated in OML 56, located in Delta State.

    The gas processing plant with a total capacity of 50 MMSCF/D will be delivered in phases. The first phase will comprise a 12 MMSCF/D modular plant, with an interconnection pipeline network of about four kilometres alongside other ancillary infrastructure. The facility is expected to commence operations by the end of 2024.

    Speaking on this pivotal landmark, Director of Business Development, Axxela, Franklin Umole, said as the Federal Government continues to pursue its Decade of Gas and Energy Transition Agenda, his firm remains a reputable private sector partner with the capacity to develop gas processing plants aimed at tackling the longstanding challenge of gas flaring and commercialisation in the country.

    “We are positioning to develop requisite infrastructure for natural gas processing and last mile distribution that creates market access for at least 20 per cent of Nigeria’s gas demand. Over the past two decades, we have been at the forefront of natural gas advocacy and this project is a further reaffirmation of our dedication to gas infrastructure development and our vision to deliver innovative energy solutions across Nigeria and Africa,” he concluded.

    He further explained that Axxela has also executed a long-term feedstock supply agreement with an indigenous upstream player and established equipment supply arrangement with Original Equipment Manufacturers (OEMs) to assure quality delivery of the project.

    Read Also: Axxela raises N16.4b for long-term projects

    Umole disclosed that the project which is strategically cited in OML 56, will serve as a potential hub which upstream players with fields within a 30km radius can partner with to process associated and non-associated gas.

    “Axxela believes in the potential of this central processing hub having identified two prospective fields and with the partnership with the OEMs, the company envisages that the plants’ output can be scaled up to 50 MMSCF/D within 18 months. Beyond unlocking economic opportunities, the project can potentially transform gas flaring into a valuable resource that will further ensure a stable, cleaner energy for domestic utilisation thereby contributing significantly to annual CO2 emissions savings and supporting environmental sustainability,” he said.

    Upon completion, processed gas from the facility will be readily available for utilisation across various market segments including Compressed Natural Gas (CNG) for vehicles, feedstock for industries, decentralised power solutions, among others.

  • Axxela raises N16.4b for long-term projects

    Axxela raises N16.4b for long-term projects

    Axxela Limited, a leading gas and power company, has successfully raised N16.4 billion in a major transaction that boosted the company’s long-term capital base.

    The fund raising was done through Axxela Funding 1 Plc’s, a funding vehicle incorporated by Axxela Limited.

    The N16.4 billion Series 1 Fixed Rate Bonds due 2034 was issued under the newly established N50 billion multi-instrument issuance programme.

    The bond issuance will enable Axxela Limited fund its long-term capital expenditure, manage its weighted average cost of capital via a fixed rate instrument and diversify its funding sources whilst meeting the company’s strategic objectives. It also presents an attractive investment opportunity for the investor community who seek viable investment options and encourages other corporates to explore the domestic fixed income markets to meet their funding requirements.

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    Despite launching the transaction amidst challenging economic conditions, with upward pressure on interest rates and tight market liquidity, the bond issuance was well-received and achieved a 109 per cent subscription from a wide range of investors including pension fund administrators (PFAs), asset managers and high networth individuals (HNIs).

    Parties to the issue said the subscription pattern reflected investors’ confidence in Axxela Limited, with the company initially targeting N15 billion but ultimately issuing N16.4 billion due to strong demand.

    Commenting on the bond issuance, Bolaji Osunsanya, Chief Executive Officer, Axxela Limited said, “We extend our heartfelt gratitude to the investor community for their support and continued confidence in Axxela’s long-term vision and strategy.

    The success of the transaction underscores the trust placed in our management team and our commitment to driving sustainable growth in Nigeria’s energy sector. We are very proud of this transaction and the trust of investors in our business model and growth prospects.”

    Timothy Ononiwu, Chief Financial Officer, Axxela Limited said “We are grateful for the success of the Transaction which speaks to the investors’ recognition of Axxela’s operating and financial performance over the years and the significant growth prospects across our value chain. We will continue to explore opportunities to diversify our funding sources and optimise our funding structure towards achieving our financial objectives. We are also thankful for the support of our advisers who guided us through this process and the investors who continue to believe in our story.”

    Acting as the lead issuing house for the bond issue, Stanbic IBTC Capital, the investment banking subsidiary of Stanbic IBTC Holdings, alongside seven joint issuing houses, played a pivotal role in the transaction with Stanbic IBTC Bank and Ecobank Plc serving as the transaction banks.

    Dele Sotubo, Chief Executive of Stanbic IBTC Capital, highlighted the significance of the transaction in demonstrating the depth, liquidity, and resilience of the Nigerian debt capital market.

    He added that, “Stanbic IBTC Capital is delighted to have played a key role as Lead Issuing House and adviser to Axxela Limited in facilitating this Transaction, At Stanbic IBTC, we are committed to the development of Nigeria’s energy sector and the broader economy. This Transaction aligns with our sustainability agenda and we will continue to support projects that promote the environmental, social and economic development of Nigeria. We thank Axxela for trusting Stanbic IBTC Capital and the other Joint Issuing Houses in seeing the issuance to a successful completion.”

    Through its expertise in structuring and executing complex financial transactions, Stanbic IBTC continues to play a crucial role in deepening the potential of Nigeria’s debt capital market, attracting both domestic and international investors, and positioning Nigeria as a choice destination for potential investors.

    Axxela, a Helios Investment Partners LLP and Sojitz Corporation company, pioneered the development of Nigeria’s foremost private sector natural gas distribution network and has subsequently grown to become the largest private sector gas distributor in Nigeria, delivering natural gas to over 200 industrial and commercial customers via a vast network of gas infrastructure. The Company operates across the natural gas value chain and is involved in natural gas processing, transmission, distribution, power generation and distribution. With over 360km in natural gas pipeline infrastructure developed, Axxela provides innovative energy solutions primarily through its subsidiaries: Gaslink Nigeria Limited, Gas Network Services Limited, Central Horizon Gas Company, Transit Gas Nigeria Limited, and a portfolio of new ventures.

  • Axxela wins world’s gold medal in sustainability

    Axxela wins world’s gold medal in sustainability

    Axxela has been awarded a gold medal by EcoVadis, placing the Nigerian company within the top five per cent of companies rated by EcoVadis.

    The gold medal implies that Axxela scored 97 per cent higher than all participating companies evaluated by EcoVadis in the year.

    Axxela had been rated with silver medal last year.

    EcoVadis is the world’s largest and most trusted business sustainability ratings system used by organisations worldwide.

    According to the report, the assessment focused on different sustainability and social corporate responsibility criteria and thematic areas including environment, labour and human rights, ethics and sustainable procurement.

    Axxela attributed the upgrade to its quantitative targets, ethical business practises guided by strong corporate governance and effective policies.

    “With the insights gained from our assessment, we will continue to look for improvement areas even as we further commit to championing a sustainable future through our operations and our service offerings.

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    “It’s not only our company operations that is certified for sustainability even our service offerings carry the sustainability badge by supporting our customers to reduce their carbon footprints while contributing to Nigeria’s net zero target,” Axxela stated.

    Since 2018, Axxela has held a trifecta IMS certification of ISO 9001:2015; ISO 14001: 2015; ISO 45001:2018.

    Axxela is a pioneering private sector-led developer of natural gas; a company co-owned by Helios Investment Partners LLP and Sojitz Corporation. It is a designated natural gas shipper on the West African Gas Pipeline (WAGP), and a member of the West African Power Pool (WAPP).

    Axxela delivers natural gas to about 200 industrial and commercial customers via a vast network of natural gas infrastructure.

  • Axxela gets international rating medal

    Axxela gets international rating medal

    Axxela Limited, a sub-Saharan African gas and power company, has achieved a Gold Medal in the 2024 EcoVadis Sustainability Rating.

    This rating underscores Axxela’s steadfast commitment to sustainability, corporate social responsibility, and ethical business practices.

    Ranked in the top five among companies evaluated by EcoVadis over the past twelve months, Axxela achieved an impressive 97 percentile rank, showcasing its dedication to continuous progress in sustainability and ESG practices.

    This accolade marks a significant advancement from its previous silver medal rating, highlighting the company’s increasing efforts in this domain.

    The CEO of Axxela, Bolaji Osunsanya, stated: “Achieving a Gold Medal in our 2024 Sustainability Rating from a globally renowned authority on business sustainability ratings, serves as a superior validation of Axxela’s unwavering commitment to environmental stewardship. Over the past years, we have worked tirelessly to ensure that we incorporate and embrace the principles of sustainability across our business operations for the benefit of our customers, employees, partners, and investors.

    Read Also: Axxela: Natural gas provides cost-effective energy

    “This outcome is both an encouragement and motivation for us to persistently improve and do more. Osunsanya reiterated Axxela’s pledge to promote sustainable and environmentally friendly practices, aligning with the UN SDG 9 Agenda on Industry, Innovation, and Infrastructure.

    He stated: “This achievement propels us to redouble our efforts towards a cleaner, more sustainable future while driving industrial growth in Nigeria and across West Africa.”

    The General Counsel and Company Secretary, Axxela, Tuoyo Ejueyitchie, said, this recognition is a testament to Axxela’s excellence and continued improvement in the area of Sustainability.

    “It is a true definition of team effort and general commitment to developing and adhering to processes and procedures that demonstrate our company’s dedication to maintaining world-class Sustainability/ESG standards.”

    To commemorate this accomplishment, EcoVadis will be planting a tree on behalf of Axxela through its partnership with One Tree Planted, a non-profit organisation focused on global reforestation.

    Axxela Limited (“Axxela”) is the pioneer private sector developer of natural gas solutions and captive power generation in Nigeria; a company co-owned by Helios Investment Partners LLP and Sojitz Corporation. Axxela is a designated natural gas shipper on the West African Gas Pipeline (WAGP), and a member of the West African Power Pool (WAPP), delivering natural gas to about 200 industrial and commercial customers via a vast network of natural gas infrastructure.

    With over 360km of natural gas pipeline infrastructure built, Axxela provides unique energy solutions primarily through its subsidiaries: Gaslink Nigeria Limited, Gas Network Services Limited, Central Horizon Gas Company Limited, and Transit Gas Nigeria Limited.

  • Axxela emerges Midstream Company of the Year

    Axxela Limited has been chosen as ‘the Midstream Company of the Year’ and its Chief Executive Officer, Bolaji Osunsanya, as the ‘Innovative CEO of The Year’ at the 2019 Nigerian Business Leadership Awards.

    Accepting the award, Axxela CEO, Bolaji Osunsanya, dedicated both awards to the company’s employees. He said: “These awards validate our continuous drive to deliver value-adding energy solutions to our clients across West Africa, and our unwavering commitment to facilitate sustainable economic development in our chosen markets. Every day, our people bring unrivalled professionalism, partnership and excellence to our business enterprise, and I dedicate these awards to everyone at Axxela, and say a big thank you to BusinessDay, organiser of the Nigerian Business Leadership Awards, for recognising our efforts within the industry and across Nigeria.”

    Instituted to celebrate exceptional business leaders and organisations for their sustained commitment to excellence in enterprise and contributions to the economy, the Nigerian Business Leadership Awards are divided into two different categories: the global awards and sectoral awards.

    The global awards are bestowed on exceptional individuals whose performance and impact transcends specific industries, while the sectoral awards recognised companies that demonstrate impeccable business agility, market share growth, financial strength, leadership vision, and resilience in varying economic conditions.

    This year, Axxela became the first organisation in the Nigerian oil and gas industry to successfully achieve a trifecta certification of Integrated Management Systems: ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018. Axxela was also adjudged as the ‘Most Supportive Private Sector Organisation’ by the Lagos State Parks and Gardens Agency (LASPARK) during the launch of its 2019 tree planting initiative, in recognition of its steadfast commitment towards a green and healthy environment.

  • Axxela, NGMC joint mini-LNG project get purchase order

    The Gas Aggregation Company of Nigeria (GACN) has given a gas purchase order (GPO) to the Nigerian Gas Marketing Company (NGMC) for the development of a joint mini-liquefied natural gas (LNG) plant in Ajaokuta, Kogi State, with Transit Gas Nigeria Limited, a subsidiary of Axxela Limited.

    With gas supply assured, the project considered as a milestone, will help commercial and industrial businesses across Nigeria adopt the LNG solution for their power and process needs and achieve over 40 per cent in cost-savings compared to alternative fuels.

    The liquefaction plant is located in the middle of the country to enable easy access of the LNG trucks to the north’s stranded gas market and other parts of the country.

    LNG storage facilities will also be installed at customer locations to ensure continuous gas supply.

    Natural gas is an environmentally friendly fuel that burns cleaner than other fossil fuels. Gas-fired equipment are more efficient and have significantly contributed to the reduction of greenhouse gas emissions across the world. The LNG plant is expected to be completed by next year and will boost the productivity of existing industries, attract new investments into the country, and also create jobs for Nigeria’s growing populace.

    In 2017, Axxela’s Managing Director, Mr. Bolaji Osunsanya, when the company was known as Oando Gas and Power (OGP), said the project would be implemented as joint venture with the Nigerian Gas Company (NGC), which has been split into two – the Nigerian Gas Processing and Transmission Company (NGPTC) and the Nigerian Gas Marketing Company (NGMC).

    According to Osunsanya, the mini- LNG plant will be liquefying 20 million standard cubic feet per day (mmscf/d) of gas. He told The Nation in Abuja that the essence of building the Ajaokuta mini-LNG is to create other ways of bring natural gas to industrial and commercial concerns because pipeline vandalism was taking a toll on their operations.

    He said: “OGP is developing LNG facility via its newly-created Transit Gas Nigeria Limited (TGNL) subsidiary in partnership with Nigerian Gas Company (NGC). The facility aims at meeting the gas supply requirements for captive power plants, embedded generation, and industrial clusters in the Northern region, as well as stranded customers in the South, adding that the firm has developed over 260km of gas pipeline distribution network, and pioneered the development of gas infrastructure and solutions across the south.

    According to him, the company is increasing gas sales levels, complete and inaugurate Greater Lagos 4 (GL4) project and the Central Horizon Gas Company (CHGC) expansion as well as regional expansion opportunities into Benin, Togo, Ghana, and Senegal.

    Osunsanya said the firm’s five critical flanks were to ensure gas supply security, develop virtual pipelines asset stable and gas processing infrastructure and expansion of last mile distribution infrastructure with focus on regional growth, among others.

  • Axxela, NGMC joint mini-LNG project gets GACN order

    The Gas Aggregation Company of Nigeria (GACN) has given a gas purchase order (GPO) to the Nigerian Gas Marketing Company (NGMC) for the development of a joint mini liquefied natural gas (LNG) plant in Ajaokuta, Kogi State with Transit Gas Nigeria Limited, a subsidiary of Axxela Limited.

    With gas supply assured, the project considered as a milestone, will help commercial and industrial businesses across Nigeria adopt the LNG solution for their power and process needs and achieve over 40 per cent in cost-savings compared to alternative fuels. The liquefaction plant is strategically located in the middle of the country to enable easy access of the LNG trucks to the northern region’s stranded gas market and other parts of the country. LNG storage facilities will also be installed at customer locations to ensure continuous gas supply.

    Natural gas is an environmentally friendly fuel that burns cleaner than other fossil fuels. Gas-fired equipment are more efficient and have significantly contributed to the reduction of greenhouse gas emissions across the world. The LNG plant is expected to be completed by next year and will boost the productivity of existing industries, attract new investments into the country, and also create jobs for Nigeria’s growing populace.

    In 2017, Axxela’s Managing Director, Mr. Bolaji Osunsanya, when the company was known as Oando Gas and Power (OGP), said the project would be implemented as joint venture with the Nigerian Gas Company (NGC), which currently has been split into two – the Nigerian Gas Processing and Transmission Company (NGPTC) and the Nigerian Gas Marketing Company (NGMC).

    According to Osunsanya, the mini LNG plant will be liquefying 20 million standard cubic feet per day (mmscf/d) of gas. He told The Nation in Abuja that the essence of building the Ajaokuta mini-LNG is to create other ways of bring natural gas to industrial and commercial concerns because pipeline vandalism was taking a toll on their operations.

  • Axxela achieves IMS certifications

    Axxela Limited, a gas and power portfolio company, has achieved a triple – implementation, evaluation and certification of Integrated Management Systems: ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018.

    The Standards Organisation of Nigeria (SON) said Axxela is the first  company  in the oil and gas space to hold all three certifications simultaneously, underscoring its longstanding commitment to Environmental, Health, Safety and Quality (EHSQ) management.

    An Integrated Management System (IMS) collates all of an organisation’s systems and processes into one holistic framework, enabling it function as a single unit with streamlined objectives.

    Speaking on the issue, Axxela Chief Executive Officer, Bolaji Osunsanya, said: “We constantly strive to apply global best practices across all facets of our enterprise to maintain a high standard of quality, occupational health and protection of the environment. My commendations go out to the Axxela team for continually pushing the envelope, and as we advance economic empowerment and industrialisation across the region, these integrated certifications are testament to our collective efficacy as an organisation.”

    Axxela’s EHSQ Manager, Uche Okpala, also said: “We actively engage SON, the frontline certification body and Nigerian representative of the International Organisation for Standardisation (ISO), to provide objective assessments of our management systems. Since 2009, our Quality Management System was certified in accordance with the requirements of ISO 9001:2008. This heralded subsequent efforts to consolidate this achievement with certifications in Environmental Management System (ISO 14001:2004) and Occupational Health & Safety (ISO 45001:2018). In keeping with the maintenance requirements of these standards, we have always maintained our certifications to the latest revisions, culminating in our most recent implementation, transition and certification across the three Integrated Management Systems.”

  • Axxela, WAPCo sign gas pact

    Axxela Limited, sub-Saharan Africa’s gas & power portfolio company, has signed a gas transportation agreement (GTA) with the West African Gas Pipeline Company Limited (WAPCo) to ferry over 15 million standard cubic feet per day (mmscf/d) of natural gas via the West African Gas Pipeline (WAGP) to Lome, Togo.

    During the signing  held in Accra, Ghana, Axxela’s Chief Executive Officer, Bolaji Osunsaya, said: “The partnership between Axxela, WAPCo, and the West African Gas Pipeline Authority (WAGPA) portends major benefits for the West African gas markets. The flow of new molecules beyond the existing foundation contracts will diversify gas supply sources into the WAGP and is a testament to Axxela’s proactive mid-term growth plan propelled by our collective professionalism, strategic partnerships, and drive to achieve excellence across our business enterprise. Undoubtedly, we remain firmly committed to the positioning of gas as a catalyst for socio-economic empowerment across the region’s key markets.”

    WAPCo Managing Director Walter Perez said: “With public and private players increasingly working together to propel the gas advantage, our partnership with Axxela speaks to our overarching strategy for increased regional supply and participation. WAPCo is continuously driven to spur regional gas integration, and we are highly delighted to welcome Axxela on board the WAGP, and look forward to a fruitful and industry-defining collaboration.”

    Axxela is also developing a Floating Storage and Regasification Unit (FSRU) in West Africa’s main commercial hub, Lagos, with the capacity to serve Nigeria and the region.

    The concept will see the injection of gas via a regasification terminal at a strategic location along the city’s coastline, with gas supplied via LNG shuttle vessels. The virtual pipeline solution will also enable uninterrupted gas supplies and enhance gas utilisation across key industrial clusters.