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Business News of Tuesday, 18 May 2010

Source: Financial Intelligence

GPHA expanding T'di port to serve oil and gas sector

$ 500 million earmarked

Ghana Ports and Harbours Authority (GPHA) has announced it is expanding the Takoradi port to get it ready to serve the needs of the oil and gas industry. The authority said it has earmarked $ 500 million to complete the master plan of the expansion programme.

Director for the port of Tema Richard Anamoo who spoke on behalf of the director General of GPHA explained that due to the lack of adequate space at the Western Port currently companies operating in the western oil fields are beginning to use the Western Naval Base and the Takoradi Air Force Base to pack their stuff. “The Naval Base and the Air Force Base in Takoradi are being chocked by equipment meant for the oil and gas industry since the Takoradi port is too small to handle the traffic,” Mr. Anamoo disclosed, adding that the port, as it stands today cannot handle maritime trade demands.

He said the weakness of the port now includes the Shallow berths that measure 11 metres at buoys offering no Economy of Scale, low operational productivity due to limited port handling equipment resulting in Double Handling (loading and offloading different vessels simultaneously at the same berth).

Giving the details of the expansion programme, the Tema Port Director said the northern side of the Takoradi port would be reclaimed through dredging as part of the development scheme so as to overcome the problem of double handling. “In addition to this, we will develop separate Bulk Handling Facilities for Mineral ore including clinker, bauxite, Manganese and Limestone,” he disclosed. He said Cocoa in all forms, cereals including rice, millet and all other containerized cargo will all have separate handling facilities and separate facilities for the Oil services vessels as well as parking space for imported vehicles.

Other aspects of the development programme, according to Mr. Anamoo are the construction of Manganese offices at the new siding, new manganese loading at new siding and berths as well as the dismantling of the existing manganese berth structure for use by oil service vessels.

He said the phased marine works include dredging access channels to the new mineral ore jetty to at least 14 metres draft, constructing new Ore jetty and equipment, transferring operations of manganese, bauxite, clinker and limestone to new jetty.

He said the marine works also include the development of the existing manganese terminal into Oil Service Terminal. This phase one he said, is projected to cost about $200 million while the second phase which includes Reclaiming of lod ponds construction of a new 1km length of 16m draft as well as the construction of new container terminal would cost about $250 million.

The first phase is expected to end in 2012 while the second phase takes up to 2014 to complete with funding coming from GPHA and a private source.

Source: Financial Intelligence (www.fighana.com) Justice Lee Adoboe