The Energy Ministry has given its consent for ExxonMobil to partner the national oil company GOIL as part of the agreement for prospecting oil in the country.
Ghana at the beginning of the year signed a Petroleum Agreement with ExxonMobil which gave rights to the American oil giant to explore oil and gas in Ghana’s Deep Water Cape Three Points.
Under the deal, ExxonMobil is expected to carry out the work programme as operator and holds 80 per cent interest while the Ghana National Petroleum Corporation (GNPC), acting on behalf of the government holds 15 per cent interest.
Based on the terms of the agreement, ExxonMobil was to work with government to identify a Ghanaian company to potentially hold up to 5 per cent of the interest.
“From the Ministry’s perspective and as our responsibility we have been notified by Exxon of their choice and we have accepted it and given the consent needed at the ministerial level”, Minster of Energy John Peter Amewu told Joy Business.
The agreement, however, has to be ratified before Exxon can commence operations.
“We expect Exxon to come up with an accelerated programme which will benefit the country”, Mr. Amewu added.
The Energy Minister spoke to Joy Business in South Africa where the 25th Africa Oil Week is going.
Ghana will be hosting exclusive roadshow and bidding round highlighting licensing and investment opportunities to global operators and investors who have gathered at the conference.
Earlier Mr. Amewu indicated there is high interest so in Ghana’s maiden licensing round for six blocks ranging in size from 1,000 square kilometres which are in the highly prospective Western Basin.
“One of the challenges that can befall a producing country is when your licensing round fails when it is not well patronized. We need to get it right and done properly”, he told Joy Business
International oil companies with interest are expected to make submissions by end of November while local companies will be pre-qualified for participation in December 2018.
Have your say
More Business Headlines
- Fidelity Bank outdoors digital branch at KNUST
- Cedi depreciation will be credit negative for Ghana banks – Moody’s warns
- Alliance of Young Entrepreneurs pays familiarisation visit to NBSSI
- Airtel Nigeria in talks with NSE for listing on Nigerian Stock Exchange
- $1.3 trillion and 7,000 finance jobs leaving Britain because of Brexit
- Uber to list on New York Stock Exchange' for stock listing
- Africa World Airlines denies ordering aircraft from COMAC
- Gov’t to double exports by end of 2019 – Carlos Ahenkorah
- Big banks are using AI to keep out of trouble
- World Bank Africa Vice President heads to Ghana for 3-day working visit
- Republic Bank, Vodafone Ghana partner on mobile money transactions
- Climate Week: Place agro-ecology at centre of climate action in Africa -- CSOs demand
- Farmers without alternative jobs getting poorer – Report
- World Bank Africa Vice President Hafez Ghanem to visit Ghana
- Parliament passes Payment Systems and Services bill