Business News of Thursday, 31 March 2016

Source: kasapafmonline.com

Ghana will still depend on Nigeria for gas – Petroleum Minister

Minister for Petroleum, Emmanuel Armah-Kofi Buah Minister for Petroleum, Emmanuel Armah-Kofi Buah

Ghana will continue to depend on Nigeria to shore up the demand deficit in its gas needs even if the ENI, TEN projects are completed, Minister for Petroleum, Emmanuel Armah-Kofi Buah has disclosed.

According to him, the two projects even though when completed will add some 60mmscl of gas to the existing120mmscf being supplied by the Atuabo Gas Processing Plant, it will still not be enough to meet the country’s needs.
Liquefied Petroleum Gas (LPG) processed by the Atuabo Gas Processing Plant is about 70% of the nation’s demand.

TEN (Tweneboa-Enyenra Ntomme) development project which is being spearheaded by Tullow is expected to add about 30mmscf while additional 30mmscf would be supplied by Italy’s ENI in collaboration with Vitol Energy from the Sankofa and Gye Nyame Fields.

TEN, Kasapafmonline.com learnt, is expected to produce its first oil and gas in August, 2016. That from ENI/Vitol Energy will be ready in 2018.

The Petroleum Minister though enthused about the progress being made in the energy sector, he still believes the country will still need support from Nigeria but was quick to add that a lot of plans are being made to ensure that West African nation becomes independent in its energy needs.

“The reality is that we have projected that in the next 10 years, 80% of the power plants in Ghana will be thermal and the cheapest source of fuel is gas. And so, we need to do everything possible to ensure that we get the gas that we need”.

“Nigeria needs their gas more than us and we have learned the hard way that we need to plan independently as if nobody is around to help us. That is what we are doing”, he noted.

Ghana has an agreement with Nigeria for a daily gas supply of 120mmscf though the West African Gas Pipeline.