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Business News of Tuesday, 16 October 2018

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Source: Graphic.com.gh

President Nana Addo Dankwa Akufo-Addo

President Nana Addo Dankwa Akufo-Addo Monday launched Ghana’s first-ever oil and gas licensing circuit bid appraisal and agreement (LRBEN), with a admonishing to abeyant investors in the oil area that their agreements risked actuality terminated.

He, therefore, apprenticed oil companies that currently had diplomacy that were accommodating to anatomy partnerships with stronger companies to become active and, by so doing, anticipate an aishment of such agreements.

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The President, who behest anguish about the apathetic clip of analysis in the country’s absolute oil fields, answerable the Admiral of Energy to alarmingly analysis absolute operations in the industry, including petroleum agreements that were dormant, to actuate oil fields that were sub-optimal.

“The Admiral of Energy will appoint with the operators, afterwards the review, on the acceptance of best methods for accretion oil accretion rate. For petroleum agreements that are dormant, the admiral will animate the operators to accede agreeable stronger ally to accompany them or accident the abortion of these petroleum agreements should they abide in declining to accommodated their minimum assignment obligations,” President Akufo-Addo stated.

Slow pace

While advertence that the aftermost oil analysis and the aftermost analysis able-bodied accomplished were in 2014, he said that meant the clip of oil analysis had slowed bottomward appreciably in the country.

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“Given that assembly is demography abode at a faster amount than affluence are actuality added, we charge to about-face this accompaniment of diplomacy immediately, abnormally in today’s oil bazaar ambiance area awkward oil prices are in the $70–$80 per range,” he said.

“With the resolution of the amphibian aals altercation with Cote d’Ivoire and the prevailing cellophane administration for allocating petroleum rights, abounding ­opportunities now abide for Ghana to about-face the apathetic clip of oil exploration,” President Akufo-Addo noted.

Licensing round

The oil and gas licensing, which is a behest action for the country’s oil blocks, is to ensure accuracy and access acquirement from the petroleum sector, amid added things.

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It is additionally accepted to allure the best companies in the oil prospecting business about the apple to advance standards and actualize added avenues for employment.

Free SHS

The President declared the barrage of aggressive behest for six blocks in the Western Arena as a cogent anniversary in the oil and gas industry.

“The accelerated advance of the Ghanaian abridgement is in the conception of jobs, amid others. It is, therefore, bounden on us to ensure that things are done adapted in our petroleum industry if bodies adjudge to advance in our petroleum industry.

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“We are application our oil acquirement to actualize assets and not on careless burning and the accession of debt. That is why we advance acquirement from oil in one of the best aggressive amusing programmes in our country’s history — the chargeless chief aerial academy policy,” he stated.

The President said in the 2018 budget, GH¢455.9 actor of petroleum acquirement was allocated to the chargeless SHS programme.

“Free SHS is ensuring that our oil revenues are actuality deservedly broadcast to our bodies and not catastrophe up in the pockets of a few. The best important ability of any nation is its bodies and advance in our accouchement and in the approaching of our country is the best adapted advance any government can accomplish and we are absolutely committed to continuing on this path,” he stressed.

Local participation

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The Minister of Energy, Mr John-Peter Amewu, said the low accord of Ghanaian companies in the oil area had apparent the weakness in the action actuality used, which was why burning accomplish such as the licensing annular were actuality adopted to change the course.

He said the admiral had finalised a adapt and alley map to advance upstream activity, “with the appearance to alluring competent companies and accretion our abeyant for ascent up oil and gas assembly in the country”.

Overview

Presenting an overview of the licensing rounds, the Chief Director of the Admiral of Energy, Mr Lawrence Apalse, said its purpose was to access the government’s take, acquaint adequation and authoritativeness in the application of blocks and advance aplomb in investments to the all-embracing community.

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He said blocks numbered two, three and four were what would be bided for, while blocks bristles and six were in abysmal amnion and block one would be aloof for the Ghana National Petroleum Corporation (GNPC).

Mr Apalse said the Western Arena was called for the aboriginal behest of blocks which had categorical boundaries because the arena had a abiding basin and an analysed petroleum system, which meant that it was de-risked to ster broker confidence.

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