Business News of Tuesday, 16 October 2018
President Nana Addo Dankwa Akufo-Addo has called on investors in and outside Ghana to take advantage of the various opportunities that exist in the country’s oil sector.
According to President Akufo-Addo, the oil sector is ready for exploration by both local and foreign investors emphasizing on its potential and Ghana’s readiness for partnerships.
He affirmed his government’s keenness to reverse the slow growth recorded in the sector few years after Ghana discovered oil with an aggressive exploration agenda.
President Akufo-Addo cited Cape 3-point and the Tano basins as highly prospective and hinted of those sites becoming Ghana’s assets that could lure investors into the country as they have the ability to offer high returns.
“With the resolution of our maritime boundary dispute with Cote d’Ivoire and the prevailing transparent regime for allocating petroleum rights, many opportunities now exist for us to reverse the slow pace of our oil exploration. Ghana’s sedimentary basins particularly the Tano and Cape 3 basin are highly prospective…This is a big boost to the aspirations of investors who are looking for areas to where they can make good returns,” he said.
Wooing the investors, the president emphasized, “Our fiscal regime is investor friendly. Apart from royalties all other fiscal terms are based on profitability, rewarding investors for their capital and underwriting their investment risk overall. I wish to invite our investors both here and abroad to invest in our oil industry. We are ready for you and our oil industry is ready for you”.
The President made these remarks in a keynote address at a ceremony to officially launch the maiden open tendering process in Ghana for oil blocks.
Nine blocks are available for exploration, however, only 6 will be given out between 2018/ 2019.
The launch and advertisement has commenced a direct tendering process for the selection of a company to explore the 5th and 6th blocks which are considered to be in deep water and requires more technical ability and financial resources.