The Ghana government says it is targeting an additional 10,000 barrels of crude oil per day, this year, as part of broader reforms to revive the country’s petroleum and energy sectors, Mr John Jinapor, the Minister of Energy and Green Transition, said on Tuesday.
He said crude oil production, which had suffered a sharp decline in recent years, was beginning to rebound following renewed investor confidence and strategic policy interventions in the upstream petroleum sector.
“Even based on the internal work we’ve done, crude oil production is beginning to pick up. This year alone, I expect to announce another 10,000 barrels of additional crude oil production per day because of the work we are doing,” he said.
The Minister disclosed this when the Vice President, Professor Jane Naana Opoku-Agyemang, paid a working visit to the Ministry in Accra.
The visit sought to close perceived gaps between the Presidency and Ministries, Departments and Agencies (MDAs) as well as obtain first-hand information on the successes, challenges and constraints facing these institutions.
Mr Jinapor noted that Ghana’s oil output had dropped by about 35 per cent, from 71 million barrels to 48 million barrels, between 2019 and recent years, amid declining investments, arbitration disputes, and the exit of major international oil companies such as ExxonMobil.
However, the situation had changed significantly, with major players returning to Ghana’s oil and gas sector, the Minister said.
“Shell is back. Exxon is knocking at our doors. Almost all the big players are now knocking at our doors,” he said, attributing the renewed interest to improved policy clarity and government commitment.
Beyond crude oil, Mr Jinapor highlighted major gains in gas production, describing gas as critical to Ghana’s energy security and cost reduction efforts.
He revealed that gas supply from the Sankofa Field had increased by 30 to 40 million standard cubic feet, while Jubilee gas production had also seen a similar boost within a year.
Additionally, Nigeria had agreed to increase gas supply to Ghana from 70 to 100 million standard cubic feet, with discussions underway to scale it up to 150 million.
The Minister also announced plans to construct a second gas processing plant, following Cabinet approval, to strengthen domestic gas utilisation and ensure reliable fuel supply for thermal power plants.
“The first gas processing plant was a game changer. We are now taking steps to construct a second one using indigenous gas,” he said. Mr Jinapor explained that those interventions, along with recent agreements worth $2 billion with Jubilee partners and $1.5 billion with Sankofa partners, were expected to reduce gas prices, increase consumption, and further boost crude oil output.