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Business News of Friday, 13 July 2018

Source: thebftonline.com

Upstream investment to increase by US$20bn

The country’s oil and gas industry is projected to experience some increased investments of over US$20 billion for upstream development in the next six years.

The said investments, according to Group CEO of the Ghana Oil Company (GOIL), Patrick A.K. Akorli, are expected to boost oil and gas production and bring additional revenue to the state.

“With the current trend and operational work according to the government’s plan, it is expected that more production fields will come on stream in both shallow waters and deep waters offshore Ghana.

The industry is expanding with more and more fields development. In the next five years, we will see more development in increased production of oil and gas, increased demand for goods and services by the operators, and investment of over US$20 billion in upstream development in the next six years.”

Mr. Akorli said this in a presentation made on his behalf during the opening of the Maritime Week Africa 2018, a bunkering event organised by Petrospot in Accra.

The statement urged key players to prepare and plan to take advantage of the expected increase in business and opportunities that abound in the upstream, midstream and downstream sub-sectors of the petroleum industry.

In his opening address, Energy Minister, Boakye Agyarko, said Ghana remains a destination of choice for bunkering activities, adding that the production of oil and gas has boosted the country’s trading position.

“The hosting of this conference in Ghana is not by accident. Ghana is still a destination of choice for bunkering activities and is widely considered around the world to be one of the best countries in which to conduct bunkering activities in West Africa. This has been bolstered by the construction of GOIL’s 13.5 million litre marine gas oil storage facility at the Takoradi Port and its 4 million litre storage facility at the Sekondi Naval base to ensure regular and reliable supply of products.”

He emphasised government’s resolve to support investors who are willing to do business in the sector, saying: “Ghana is open to investment and is reaching out for mutually beneficial and sustainable partnerships in its burgeoning industry.

The entry of ExxonMobil and Aker Energy in Ghana is the latest indication of our commitment to attract credible investors to our oil and shipping industries following others such as Tullow Oil, Kosmos Energy and ENI, who have already laid a strong foundation.”

This year’s conference focuses on what Africa is doing in preparation for the 2020 global 0.50% Sulphur cap. The meeting is also intended to examine the options for African refiners and suppliers and look to bunker quality issues.