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Oil and Gas Industry in Ghana

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Ghana’s oil and gas prospects are significant. It is believed that Ghana’s oil and gas resources stretches across the country’s shoreline from the west (Cape Three Points) to the east (Keta). Similarly, the Voltaian Basin, which covers over 40 percent of the country’s land mass, is believed to have oil and gas reserves. This Voltaian Basin is yet to be fully explored and will be given priority attention during the medium period. The draft Bill to regulate the upstream petroleum industry is being reviewed with the view to reducing redundancies and further giving effect to the intention to consolidate the activities of the numerous regulatory agencies existing in the energy sector. It is believed that a smaller number of regulatory agencies is needed to manage the sector in order to ensure efficient and coordinated operation and enforcement of regulations.


It is estimated that, about US$9.0 Billion is required in the next five years to finance the numerous initiatives in the energy sector, including oil and gas activities which alone require over US$5.5 Billion. While Government will continue to inject funding into the sector, when available, a major policy shift is to encourage the energy sector institutions to raise a substantial portion of their capital investment requirements on their own without recourse to Government. Government has therefore, requested the sector agencies, particularly VRA, Ghana Grid Company (GRIDCO), Electricity Company of Ghana (ECG) and Tema Oil Refinery, to raise commercial loans and engage in other private sector financing arrangements, including through the Ghana Stock Exchange as part of arrangements to raise funds. In addition, GNPC is required to raise US$161 million as its share in the financing of the development of the Jubilee Field.

In view of this, investment opportunities available for investors include: Production transmission and distribution of Natural Gas –independent ownership of
Natural Gas Liquids (NGLs), these liquids have high market value and find application either in their raw state as solvents, feed stock (for production of various chemicals) and liquid fuel or fractionated into their components, through  LPG, Natural Gasoline etc, Natural Gas-Fired Equipment, Independent Power Plant (IPP),  Industrial market, commercial market and residential market, Domestic natural gas sales and distribution,  Compressed natural gas as, (NG) automotive fuel, Gas Liquids (NGL), Gas to Liquid Conversion (GTL), Methanol etc,  Ammonia/fertilizer plants.

Ghana Investment Promotion Center

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