Investment Opportunities

Due to the emerging nature of the industry, opportunities exist in virtually every area of the petroleum industry, both upstream and downstream.

  • Areas of Cooperation and Investment - Exploration & Production

Source: GNPC

  • Other Value Chain Investments (Gas Power projects)

Source: GNPC

Upstream Petroleum Sector:

  • Geophysical (Site surveys, seismic data acquisition, processing and interpretation)
  • Basin modeling
  • Geological Studies
  • Sedimentology
  • Geochemistry
  • Geochemical Studies
  • Geographical Studies
  • Equipment supply and/ or leasing (boats, barges, aircrafts, etc)
  • Supply of casings for boreholes

 Drilling Products and Services:

  • Land Drilling Rigs, Swamp Drilling Rigs, Petroleum Engineering & Consultancy Services
  • Offshore Drilling Rigs (jack-ups, semi-submersible rigs, submersible rigs etc)
  • Offshore Rig Towing Services, Rig Move/Positioning Services
  • Drilling Mud, Chemicals, Mud Logging & Mud Logging Services
  • Drilling Site Preparation, Well Control & Blow-out Prevention
  • Under-water Inspection, Sand Control, Fish & Fishing Tools
  • Dry-dock facilities for offshore supply vessels, tugboats, & offshore rigs
  • Measurement While Drilling (MWD) & Logging While Drilling (LWD) Services
  • Casing & High Pressure Pumping, Tubing Services, Tools & Cased-Hole Electrical Logging
  • Directional Drilling & Survey as well as Drilling & Work over
  • Surface & Bottom Hole Sampling & Tubing Conveyed Perforation (TCP)
  • Fluid Filtration, Solid Control and Laboratory & Pilling Services as well as PVT Analysis
  • Mechanical Wire line Services and Petro-physical & Reservoir Data Services
  • Coil Tubing & Electrical Line and Production Logging
  • Oil Field Waste Management, Jetty and Shore Support Services and Rig-less Work over Services
  • Well Production Testing, Wellhead Maintenance & Well Completion Services
  • Supply of drilling materials and equipment (drill bits, drill pipes, drill collars, cone bits etc)

 Production Support Services:

  • Wire line Services & Pipeline Laying/Inspection
  • Production Chemical Supplies & Management
  • Engineering Design, Procurement/Construction of production facilities
  • Corrosion Engineering & Environmental Engineering Services
  • Blow Out Central Services & Flow Line Construction
  • Oil Expand Terminal Design and Construction & Crude Oil Lifting
  • Fire Fighting system Design and installation & 2/3 Phase Meter Supplies
  • Supply & Maintenance of Safety Equipment
  • Gas Valve Supplies & Installation

 Reservoir Engineering:

  • Consultancy Services
  • Simulation
  • Economic Analysis
  • Complete Field Study

 Down Stream Sector Business Opportunities (Marketing, Storage, Distribution, Transport, Refining):

  • Technical Partnership
  • Field Development Contractor Financing
  • Gas utilization
  • Refineries maintenance
  • Pipeline/ Depots construction and maintenance
  • Petroleum Products haulage
  • Petroleum products marketing
  • Petrochemicals
  • Gas Development/conversion
  • Butanisation project
  • Fertilizer plants
  • Vehicular fuels
  • Methanol / MTBE plants

 Gas Sector Opportunities

  • Production, transmission, distribution of Natural Gas –independent ownership
  • 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, viz.: 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, (LNG) automotive fuel, Gas Liquids (NGL), Gas to Liquid Conversion (GTL), Methanol etc
  • Ammonia/fertilizer plants

The Market

The Market

There are currently over 400 list of registered service companies with permits in this sector. The services offered cover the broad range of oil field services and other general services such as accounting, auditing and legal. Details of the list could be accessed via Ghana Oil Watch

Petroleum Regulations In Ghana

The relevant laws governing oil and gas operations in Ghana are

  • Petroleum Commission (Fees and Charges) Regulations 2015
  • Constitution Of Ghana
  • Ghana Model Petroleum Agreement
  • Ghana National Petroleum Corporation Law 1983
  • National Energy Policy
  • Petroleum Commission Act 2011 [Act 821]
  • Petroleum Exploration and Production Law 1984 PNDC Law 84
  • Petroleum Income Tax PNDC 188
  • Petroleum Revenue Management Act 815 - 2011

Investing in Ghana's Petroleum service sector


Ghana is an emerging oil and gas producer with enormous potential and with over 5 years of commercial production since December, 2010.

The first significant deepwater discovery for Ghana’s Oil and Gas sector was in 2007. A consortium of companies comprising Kosmos Energy Ghana (Kosmos), Tullow Ghana Limited (Tullow), Anardarko Petroleum Corporation, Sabre Oil and Gas Limited, E.O. Group in conjunction with the GNPC announced discoveries of significant quantities of oil and gas in the offshore deepwater Tano/Cape Three Points basins located in the southernmost part of Ghana.

Under this circumstance, the Petroleum Law required that the discovered oil and gas resources in the two blocks be produced as one unit to reduce cost and optimize the recovery of oil and gas in the field. The two discovered fields were therefore unitized and designated as the Jubilee Field, in commemoration of Ghana’s Jubilee Year celebration.

There are four (4) major oil and gas fields in the country namely: the producing Jubilee field, the sub-commercial producing Saltpond field, the Tweneboa-Enyenra-Ntomme (TEN) field and Sankofa-Gye-Nyame fields. In addition to this, twenty-three (23) post Jubilee discoveries (between 2008 and 2014) have been made offshore Ghana on six different blocks in the Tano/Cape three points basin which have resulted in over 80% exploration success rate.


The petroleum industry comprises mainly of the upstream and downstream sectors and these encompass the process of exploration, production, refining, transporting and marketing of petroleum products. The upstream sector, regarded as a high risk, high reward and high investment sector, identifies deposits, drills wells and recover raw materials from underground. The sector includes areas such as rig operations, feasibility studies, machinery rental and extraction of chemical supply. Downstream sector, also regarded as a low risk, low reward and low investment sector, comprises of operations such as refineries and marketing. These operations turn crude oil into usable products such as gasoline, fuel oils and petroleum-based products. Marketing services help move the finished products from energy companies to retailer or end users.

There is also the midstream sector which links the upstream and the downstream entities. These mostly include resource transportation and storage, such as pipelines and gathering systems.

The broad objectives of the upstream and downstream sectors for Ghana’s oil and gas industry are:

  • Upstream Objectives: To ensure the effective management of the oil and gas resources of Ghana and also accelerate exploitation of the development of new hydrocarbon resources for the overall benefit and welfare of all Ghanaians.
  • Downstream objectives: To rehabilitate and expand petroleum refining, storage, distribution and marketing infrastructure, ensure fair distribution of petroleum products to all parts of the country and reduce heavy burden of oil imports on the country’s economy by accelerating the exploitation of indigenous resources.


Figure 1 below gives a pictorial view of the composition of players in Ghana’s Oil and Gas sector and a brief on these entities is explained below.

Figure 1: The Petroleum Industry Structure


  • The Ministry of Energy is the entity that provides policy direction for Ghana Petroleum Industry by formulating policies, and monitoring and evaluating.
  • The Petroleum Commission (PC), Energy Commission and the National Petroleum Authority (NPA) provide the regulations for the industry.
  • Petroleum Commission is mandated by the Petroleum Commission Act, 2011 (Act 821), to regulate, manage and co-ordinate all activities in the upstream petroleum industry for the benefit and welfare of all Ghanaians.
  • National Petroleum Authority (NPA), established by NPA Act 2005, ACT 691, ensures that the downstream sector of the petroleum industry remains efficient, profitable, and fair and at the same time, ensures that consumers receive value for money.
  • Energy Commission and Public Utilities Regulatory Commission regulates the midstream oil and gas sector.
  • There are a host of players in the industry and these include the IOCs, GNPC (GNPC Explorco, GNPC Tradco), Ghana National Gas Company, Tema Oil Refinery (TOR), BOST and Licensed Bulk Distribution Companies, a host of licensed oil marketing companies, petroleum entities and bulk distribution firms, Environmental Protection Agency (EPA), Maritime Authority, Ghana Navy and other Security Services.

The main agencies of the Oil and Gas sector in Ghana are:

  • The Ghana National Petroleum Corporation (GNPC) is Ghana’s National Oil Company (NOC), established in 1983 by PNDC Law 64 as a commercial strategic vehicle for state participation in the oil and gas industry. It was to support the government's objective of providing adequate and reliable supply of petroleum products and reducing the country's dependence on crude oil imports, through the development of the country’s own petroleum resources. The objects of GNPC as enshrined in section 2 (1) of PNDC Law 64 are “to undertake the exploration, development, production and disposal of petroleum”. The Petroleum [Exploration and Production] Law, 1984, PNDC Law 84, was subsequently enacted to provide the regulatory framework for the exploitation of the country’s hydrocarbon resources. PNDC Law 84 establishes the contractual relationship among the state, GNPC and prospective investors in upstream petroleum operations.   This law also grants GNPC the right of entry into any open acreage to undertake exploration activities.
  • Tema Oil Refinery (TOR) has been refining crude oil into petroleum products for the past 50 years and continues to produce quality petroleum products for the Ghanaian market. TOR Limited refines and distills many forms of petroleum products including Liquefied Petroleum Gas (LPG), Gasoline (Petrol), Kerosene, Aviation Turbine Kerosene (Jet A1), Gas Oil (Diesel), Premix, Naphtha, Fuel Oil and Cracked Fuels. It is the premier and only refinery in Ghana. The refinery was among the first eight refineries in Africa as at 1963. Our refinery is a 45,000 barrel per stream day (bpsd) capacity Crude Distillation Unit and supplies this quantity out of the national demand of 65,000 bpsd.
  • Bulk Oil Storage and Transportation (BOST) Company Limited was incorporated in December 1993 as a private limited liability company with the Government of Ghana as the sole shareholder. Until May 2001, BOST was responsible for the distribution of refined petroleum products from its strategic depots located throughout the country. Additionally, BOST also holds the Natural Gas Transmission Utility License granted to it by the Ghana Energy Commission (EC) on December 19th, 2012. The NGTU as per EC Act 541, 1997, will provide transmission and interconnection services for natural gas without discrimination throughout the country. The transmission license given to BOST as per Natural Gas Licensing manual shall permit BOST:
  • To monitor and control the operation of the national interconnected network for the transmission of natural gas in areas within the country , and to ensure the safe, reliable and economic transportation of natural gas facilities connected to the transmission system
  • To provide transmission interconnection services without discrimination to other licensees in the natural gas industry; and
  • To provide transmission interconnection services to operators of natural gas networks in ECOWAS member states.
  • Ghana Oil Company Limited (GOIL): GOIL was incorporated as a private limited liability company on June 14, 1960 as AGIP Ghana Company Limited with the objective of marketing petroleum products and related products particularly fuels, liquefied petroleum gas (LPG), lubricants, bitumen, and specialty products in Ghana. The shareholders were AGIP SPA of Italy and SNAM S.P.A. The Company’s main business is marketing and distribution of petroleum products in Ghana, one of the tenets of the New GOIL is to move beyond the current frontiers to marketing and distribution of energy products in general. Currently, GOIL’s technical partners are ENI SPA (AGIP) of Italy.
  • Ghana Gas Company Limited (GNGC): Ghana Gas is mandated to build, own and operate infrastructure required for the gathering, processing, transporting and marketing of natural gas resources in the country.
  • Ghana Cylinder Manufacturing Company (GCMC): GCMC was incorporated under the Companies Code 1963 (Act 179) as a private limited liability company on the 14th of May 1998.The major purpose for its establishment was to promote wider usage of LPG as a substitute for charcoal and firewood and thereby curtail some of our environmental challenges of degradation, deforestation and desertification caused by excessive use of firewood which accounted for over 71% of energy consumed in the domestic sectorThe company began production in the year 1998. GCMC currently has a valid license from the National Petroleum Authority to retail Liquefied Petroleum Gas at its Premises.


Upstream industry is made up of a mix of Majors (ENI), Independents (Hess, Anadarko, Tullow, Kosmos etc), NOC (PetroSA) and Local Ghanaian companies: E&P and Service providers. Figure 2 below gives a list of the operators in exploration of Oil and Gas, with their investments made to date.

Figure 2a: List of operators in the exploration of oil and gas with investments made to date


Figure 2b: List of operators in the exploration of oil and gas with investments made to date

 Figure 2c: List of operators in the exploration of oil and gas with investments made to date


Source: GNPC

Other players in the Upstream Sector

For a list of other players in the upstream sector, kindly see the website of the Petroleum Commission

Downstream sector players

For a list of players in the downstream sector, kindly see the website of the National Petroleum Authority


Ghana’s oil and gas industry is growing at a steady pace, with a total proven reserve base as at August 2014 of approximately 883.4 million barrels of oil and 2,312.4 billion cubic feet of gas. 

  • Reserves:Total proven oil & gas reserves as at December, 2015 of 1,247.5MMboe
  • Ghana has over 36,000 km2 and 103,600 km2 of open offshore and onshore acreages
  • Agreements: 15 Petroleum Agreements (PA's) currently in operation and about eight (8) new agreements under negotiation
  • Transparency
  • Ghana has been EITI compliant since 2010
  • GNPC reports to the Public Interest and Accountability Committee (PIAC)

Currently, Ghana is a small hydrocarbons producer, but new output from TEN and Sankofa fields, as well as increasing production from the country's flagship Jubilee field will significantly boost Ghana's oil and gas production by 2020 as shown in table 1 below. Further upside potential comes from Ghana's active exploration scene offshore.

Table 1: Headline Forecasts (Ghana 2015 – 2021)











Crude, NGPL & other liquids produced, 000b/d









Refined products production, 000b/d









Refined products consumption and ethanol, 000b/d









Dry natural gas production, bcm









Dry natural gas consumption, bcm









Brent, USD/bbl








e/f = BMI estimate/forecast. Source EIA, BMI

Source: Ghana Oil and Gas Report by BMI Research, published 1st April, 2017

The year 2016 marked another milestone in Ghana’s Petroleum Sector. The year witnessed the amendment of the country’s Exploration and Production law to bring it in line with recent industry practices, enhance transparency and accountability and align it with recently passed laws that affect the sector’s fiscal regime. The FPSO for the TEN fields arrived in 2016 and production of crude oil from the field commenced in the same year, with the first oil in August, 2016. 2016 was also the year in which crude oil prices, output and revenue fell significantly short of their original projections, leading to expenditure realignments in the year. 

Some key developments that affected the Petroleum sector

  • The FPSO Atta Mills arrived on the shores of Ghana in February, 2016 to herald crude oil production on the TEN field
  • Jubilee field production is expected to average 66,202 bopd in 2017, assuming 12 weeks of shutdown associated with the initial phase remediation works
  • Implementation of OCTP milestones to facilitate the coming on stream of the Sankofa-Gye-Nyame (SGN) project
  • Ghana’s oil and gas industry continues to attract key global industry players on the back of sustained investor interest, as well as significant de-risking of the Western Basin. Some of the key players are that are currently party to agreements in Ghana include Tullow Plc, KOSMOS Energy, ENI, Lukoil, Hess, Anadarko, Petro S.A., AGM, Heritage, Blue Star and Cola Resources
  • Cabinet in 2016 also approved two significant policies: - the Gas Master Plan (GMP) and Strategy and the Reverse Flow to facilitate the interconnection of the Ghana Gas Transmission System with the West African Gas Pipeline (WAGP) System. GMP Strategy will provide infrastructure development priorities for the sustainable development of Ghana’s natural gas resources and security of energy supply in the medium-to-long term. The Reverse Flow will also facilitate the interconnection of the Ghana Gas Transmission System with WAGP System to enable the flow of excess indigenous gas from Takoradi to Tema.
  • The Petroleum Commission drafted guidelines for research, development and operationalization of the Local Content Fund.
  • The Ghana National Petroleum Corporation is mandated to assume the role of gas off taker from the upstream partners and has been engaged in gas sales negotiations to derive the best price for gas on the domestic market. The organization has set up three operational subsidiaries as part of its accelerated growth strategy to enable it assume a leadership role in Ghana’s oil and gas industry:
  • Ghana Trading Company (TRADCO)
  • GNPC-Technip Engineering Services (GTES) and
  • GNPC Exploration Company (Explorco): Explorco has acquired 33.3% of GNPC Operating Services Company Limited (GOSCO); operator in two Petroleum Agreements: Offshore South West Tano and East Keta.
  • The Ghana National Gas Company (GNGC) completed the commissioning of the Western Corridor Gas Infrastructure project in April 2015 when it entered into commercial operations. During the period of 2016 (January to December), 21,579.60MMscf of raw gas supplied by the Jubilee Partners was processed at the Atuabo Gas Processing Plant (GPP) and transported to the VRA for power generation.


Jubilee Field

  • Recoverable reserves of 466 million barrels and 465 billion cubic feet (bcf) of gas as at December, 2015
  • Production from the Jubilee field for 2016 was 26,981,640 barrels, compared to 37,411,661 barrels for the same period in 2015; representing a decline of 27.9%
  • Annualized daily average production for 2016 was 73,720 barrels per day (bopd), down from 102,497 bopd for the same period in 2015
  • The total production from inception to end of year 2016 is by the Jubilee field is 188,910,811 barrels
  • A total of 38,420 MMscf of associated gas was also produced in 2016.
  • The achieved average Jubilee oil price for January to December, 2016 was US$46.07
  • The adjoining oil and gas discoveries of Teak and Mahogany will be developed together with the main Jubilee Field currently under production to form the Greater Jubilee Field.

Table 2 below gives a breakdown of annual production volumes from the Jubilee field

Table 2: The annual production from the Jubilee Field from 2010 to 2016

  Tweneboa, Enyenra, Ntomme (TEN)

  • Four (4) declared hydrocarbon discoveries (2009-2011)
  • Total of 12 wells drilled: 2 exploratory and 10 appraisal wells
  • Ten (10) separate hydrocarbon pools: five (5) oil and five (5) gas condensate
  • Total oil reserves: 239 million barrels (MMBO) and 360 billion cubic feet (BCF) of gas
  • First oil from TEN was achieved on 15th August 2016, producing and injecting from only ten (10) wells.
  • The field achieved annualized average daily production of 14,525 barrels per day at end of 2016, compared to an initial planned production of 23,092 barrels per day.
  • Total production from TEN field for 2016 was 5,316,140 barrels
  • The Ghana Group undertook one crude oil lifting from the TEN field in Dec 2016. The commodity was sold for US$51.09 per barrel
  • Associated gas produced from the TEN field at end – 2016 was 6,531 MMscf, of which 367 MMscf was re-injected. The remaining gas was utilized on the FPSO for power generation and flared due to FPSO commissioning operations.
  • The first associated and non-associated gas exports are scheduled for 12 and 24 months respectively, from first oil.

OCTP - Sankofa-Gye-Nyame (SGN) Project

  • Phase-1 Oil: 8 oil producers; 3 water injectors; 3 gas injectors; spread-moored FPSO; Subsea tie-back in a daisy chain
  • Phase-2 development of NAG with oil
  • 5 gas producers (4 Sankofa main + 1 Gye-Nyame)
  • 63km - 22" OD Gas export pipeline
  • Reserves: 162 MMBO of oil with 1,071bcf of gas
  • The overall project progress of the SGN field at end – 2016 was 63%, against a target of 64.3%
  • Physical completion of the SGN FPSO was 94.8%, against a target of 96.2%
  • Work on the subsea production system was 85.6% complete, compared to the 88.6% target completion
  • First oil from the SGN fields will be in the third quarter of 2017 and production of first gas will be in the first quarter of 2018
  • Annualized average crude oil production from the field is expected to be 7,214 bopd in 2017
  • The field is estimated to hold 173 million barrels of oil and 1,071 bcf of gas
  • The FPSO sail away to Ghana is expected to take place in February 2017.

Voltaian Basin Project

  • The Voltaian Basin is a huge inland sedimentary basin constituting almost 40% of Ghana's land mass
  • GNPC is pioneering exploration activities in the inland Voltaian basin under its 5-year initial exploration programme from 2015 - 2019
  • The 5-year reconnaissance program will cover 2D seismic data acquisition and processing, environmental impact assessment, community relations management and drilling of 2 conventional wells

In 2016, the Voltaian Basin project completed the following tasks:

  • Technical and financial evaluations of 2D Seismic Acquisition which are awaiting approval from Central Tender Review Committee
  • Seismic Data Processing contracting and
  • Explosives and Detonators Contracting

Saltpond Field Decommissioning Project

  • The Saltpond Field Petroleum Agreement was terminated in 2016
  • There was no production realized from the field in 2016
  • GNPC is in the process of decommissioning the field.

Expected Volumes from Discovered Wells

Tables 3, 4 and 5 below provides the expected volumes of oil and gas from the discovered wells of Jubilee, TEN and Sankofa-Gye-Nyame from 2017 to 2021

Table 3: Jubilee Production Profile – 5 Years: Full Field Development


Oil Production (BBL/Day)

Gas Production (Excl Teak)(MSCF/Day)

















Table 4: TEN Production profile (5 years): Full Field Development


Oil Production (BBL/Day)

Gas Production (MSCF/Day)

















Table 5: Sankofa-Gye-Nyame Production Profile (5 years)


Oil Production (Incl. Condensate) (BBL/Day)

Gas Production (MSCF/Day)

















  • According to the fiscal regime of the petroleum agreements, government is entitled to a royalty on gross production of 5% for Jubilee and TEN. The petroleum agreements also grant Ghana carried and participating interests of approximately 13.64% and 15% in the Jubilee and TEN fields, respectively.
  • Corporate Income Tax on upstream and midstream petroleum companies for 2016 was 35%
  • The receipt of the proceeds from these and other sources of petroleum revenue is regulated by the PRMA. The PRMA establishes the PHF as a designated Public Fund to receive all petroleum receipts as defined in the law and provides framework for the collection, allocation and management of the petroleum funds.
  • In 2016, GNPC lifted six parcels of crude oil (i.e. 31st to 35th Jubilee and 1st TEN on behalf of the state) and exported a total of 21,580 MMscf of gas to GNGC. Total crude oil lifted was 5,856,921 barrels of oil (4,860,462 barrels of Jubilee oil and 996,459 barrels of TEN oil), compared to 5,730,090 barrels in 2015. Total petroleum receipts (i.e. proceeds from Jubilee liftings and other petroleum receipts) as at end of 2016 was US$247.18 million as shown in the table below. This compares with the 2015 receipts of US$396.17 million. Table 6 below gives a breakdown of the Crude Oil proceeds on Lifting Basis for 2016.

Table 6: Crude Oil proceeds on Lifting Basis for 2016


Source: 2016 Annual report on Petroleum Fund by the Ministry of Finance



Medium-Term Policies and Strategies for the Development of the Oil and Gas Industry

In the medium-term, the development of the oil and gas sub-sector will be a major factor to the transformation of the economy. The transformation agenda will be driven by the following priorities: oil and gas industry development and its effective linkage to the rest of the economy; strengthening of the regulatory regime with the passage of relevant laws including the Petroleum Production and Exploration law; local content development; employment creation; protection of the environment; and transparency in revenue management.

Oil and Gas Industry Development and its linkage to the rest of the Economy

The oil and gas industry can deliver a transformation dividend to the economy if its development is linked to other sectors of the economy. In the medium-term, the implementation of the priority interventions aims at

  • ensuring that natural gas finds are prioritized first for electricity generation and following that, for domestic industrial value creation
  • using opportunities arising from the oil and gas endowment as a catalyst for diversifying the economy especially the agriculture and industrial sectors
  • accelerating development of complementary resources such as salt to trigger development of a petrochemical industry
  • strengthening institutional capacity of national agencies to take leadership role in managing Ghana’s oil and gas resources; and
  • promoting the re-development of existing settlements with provision of physical and social infrastructure as part of the growth of the new urban settlements that will spring up in the wake of the development of oil and gas industry.

The development of the oil and gas industry is expected to reverse the country’s overreliance on the exports of primary products by ensuring value addition in the industry and effective linkages across the sector. The priority strategies to be implemented include

  • ensuring value addition to local goods and services to maximize their use in oil and gas industry
  • promoting the establishment of petroleum and gas-based industries and other industries that depend on the utilization of the by-products of oil and gas industry
  • expanding the national oil and gas upstream, midstream and downstream infrastructure in collaboration with the private sector within the PPP framework
  • accelerating development of complementary resources such as salt; and leveraging the oil and gas industry to support the development of new industries such as petrochemicals, aluminum, glass, brick and tiles, etc.
  • There is inadequate human capacity for the exploitation, development and production of oil and gas in the country. To bridge this gap, resources from the oil and gas industry will be applied to support capacity development at all levels in the country’s technical, vocational and tertiary institutions. 

Local Content Development

To ensure local content and participation across the oil and gas value chain, Ghanaian enterprises will be supported in the exploration, development, and production of oil and gas, to go hand-in-hand with dedicated efforts to expand and strengthen the capacity of Ghanaians to participate in all segments of the industry. In addition, impetus will be given to the effective implementation of the Local Content Law. In the process, SME incubation centres will be developed for the oil and gas industry and supported to facilitate the growth of local companies operating in the industry.

Employment Creation

In the medium-term priority strategies will focus on leveraging the opportunities offered by the oil and gas industry for accelerated jobs creation, especially for the youth. The strategies to be implemented will include: fully implement the Local Content and Participation Law; ensure that companies and other players in the industry comply with prevailing regulations in labor recruitment for all opportunities for which there is available Ghanaian talent; and continue to take special precautions to protect young boys and girls against exploitation.

Protection of the Environment

Government will strengthen emergency preparedness to manage disasters in the oil and gas industry. Another strategy to achieve the policy objective is to strengthen the Exploration and Production Law to maximize national benefits and minimize environmental cost of the industry. Government will continue to manage Ghana’s oil and gas resource endowments to ensure sustainability by optimizing resource exploitation whilst increasing the nation’s total z reserves by accelerating the pace of exploration in other sedimentary basins.

Transparency in Revenue Management

The capacities of new and existing revenue collection and management institutions will be strengthened to address the peculiar needs of the oil and gas industry. Moreover, monitoring, evaluation and reporting systems in the oil and gas industry will be given special attention.

Priority interventions for the Development of the Oil and Gas industry

Government will prioritize some strategic initiatives such as:

  • Effective alignment of operational mandates of key sector operators including GNPC, GNGC, BOST, NPA, Petroleum Commission, and Energy Commission within a coherent sector regulatory framework; and
  • The construction of a new deep sea port with dedicated oil and gas services terminal, shore base and fabrication centre.

Source: GSGDA II by the National Development Planning Commission


Developments in Exploration and other Petroleum Activities

Since the Jubilee discovery in 2007, additional discoveries have been made. Table 7 below presents the status of discoveries at various stages of appraisal, development and production.

Table 7: Discoveries at various stages of appraisal, development and production

Source: GNPC

Expected Developments

Policy frameworks, institutional measures and civil society monitoring are playing important roles in ensuring that the benefits of Ghana’s oil revenues are grafted in sustainable and inclusive growth.

As a consequence, transparency in revenue management remains one of the key policy objectives for the oil and gas sector. For the first half of 2016, a total revenue of US$ 126.4m was earned, from which US$22.7m was allocated to the Ghana National Petroleum Corporation (18%), US$13.5m to Ghana Stabilization Fund (11%), US$64.4m to annual budget funding amount (51%), and US$5.8m to Ghana Heritage Fund (4.6%).  ABFA funding is the percentage of petroleum revenues allocated to national budgets to support development financing, specifically financing of infrastructural projects within the oil and gas sector.  It is for this reason that 71% of ABFA funds went into roads and other infrastructure followed by capacity building (22%) and agriculture (6%).

Another important policy objective is interventions to build the capacity of Ghanaians to participate in all segments of the oil and gas industry. This was established in the 2013 petroleum (local content and local participation) regulations (L.I 2204). This regulation requires a contractor, subcontractor, license, the Corporation or other allied entity carrying out a petroleum activity to ensure that “local content is a component of the petroleum activities engaged in.” According to the Petroleum Commission (2015), nearly all the 85 of the 415 registered companies which submitted their local content report met this requirement. The percentage and number of Ghanaians employed in the sector in addition to number of Ghanaians in management, technical and other positions in the industry are among critical indicators for local participation. An estimated 413 Ghanaians are employed by the 32 major oil companies in Ghana – 10% in management positions, 56% in technical positions and 34% in other positions.  Unavailable is empirical data on whether the Ghanaians in these positions are receiving work benefits equivalent to their foreign counterparts.

This grueling history of oil spillage makes concerns for human and aquatic habitability of the world in the face of petroleum activities, well grounded. The oil and gas industry in Ghana is required to operate in consistency with international standards on environmental sustainability. The Environmental Protection Agency (EPA) audits activities at the jubilee field to examine compliance with conditions and standards set out in the environmental management plans (EMP) permit. The 2015 audit showed 95% compliance, marginally short of the 100% target.


According to the Minister for Finance, the total petroleum receipts for 2016 recorded US$247,175 million as compared to the 2016 budget estimate of US$348.42 million, leaving a variance of US$101,241 million dollars. The total ABFA receipts in 2016 amounted to GHȻ388.85 million, with actual utilization amounting to GHȻ311.12 million, leaving an unutilized balance of GH¢77.73 million in the Petroleum Holding Fund.