As part of enhanced exploration strategies aimed at not only replacing Ghana’s reserves but also accelerating extraction to support economic growth, Deputy Energy Minister, Dr Mohammed Amin Adam has announced to international investors that the country will soon commence a process to offer new oil blocks for exploration through direct negotiations in the Western as well as the Eastern Basins.
Addressing a Ghana Investment Forum on behalf of sector Minister, Dr Matthew Opoku Prempeh on the sidelines of the 2022 Offshore Technology Conference, Dr Amin Adam said the country is seeking to maximize resources in producing areas and, therefore, the Ministry will continue to improve the enabling environment for investments through legal and regulatory reforms.
“For example, the government over the last two years amended petroleum regulations to allow for exploration in production and development areas without a requirement for a new petroleum agreement. We also provided flexibility in determining the size of a development and production area to prevent potential assets near field from being stranded,” he said.
He further indicated that in spite of the global energy transition, Africa’s oil will continue to play a strategic role, as oil fields globally are depleting faster than the decline in global demand.
This he said requires continued investment in new capacity prioritizing low-cost production areas. “Ghana is well-positioned as production cost remains low in our country,” he stated.
“Further to this, our investment environment is very enabling and has been considered one of the most liberal in Africa. Our petroleum fiscal regime adequately rewards investment capital, provides fiscal stability and certainty against future adverse developments,” he added.
Source:Ghana’ll soon offer oil blocks in Western, Eastern basins – Amin Adam to investors | Business (classfmonline.com)