The African Center for Energy Policy (ACEP), has hinted that the future of Ghana’s oil sector is “very gloomy” following what it describes as “the awarding of oil contracts to “inexperienced, incapacitated and incompetent oil companies.”
According to the Executive Director of ACEP, Dr. Mohammed Amin Adam, this behaviour will by every means lead Ghana’s sector shocking all persons who might have had high hopes of better prospects.
[contextly_sidebar id=”hZx2wLhBpG0ViniZ8JzJAMAjstp9RL0v”]Dr. Amin who was speaking at the 2015 African Oil Governance Summit in Accra said “it is gloomy and I am very certain about this because I know the caliber of the 11 companies Ghana has signed contracts with that they do not have the capacity as far is technical and financial abilities are concerned, I have been investigating their capacities and unless we have companies that have the muscles to find new reserves, we are seriously heading for doom.”
He remarked that “oil reserves depletes and so what we have to do is to do more discoveries to replace those that we are depleting, but if you sign contracts with companies that do not have the capacities to explore, let alone make new discoveries. We have sign contracts with companies that are weaker than those who came in first to do the Jubilee discovery.”
Dr. Amin revealed that “companies with the muscles to do more discoveries are now tied by their countries in the US etc. to do business with countries with open and competitive bidding policy in petroleum contracting but our laws in Ghana does not practice the open door policy and so until Ghana signs on to the open and competitive bidding petroleum contracting regime, the future of Ghana’s oil sector is gloomy because as the previous ones are depleted, there is no one to find new ones for us.”
By: Obrempong Yaw Ampofo/citifmonline.com/Ghana