US$664m paid into Petroleum Holding Fund in 2021

Last year, the Petroleum Holding Fund (PHF) received a total of US$664.9million as petroleum receipts realised from oil liftings among other revenues during the period, the semi-annual report on performance of the Ghana Petroleum Funds has shown.

Per the report from the Bank of Ghana on performance of the PHF, a total amount of US$433million was realised in the second half and US$231.9million for the first half of 2021.


Available data indicate a slight shortfall of about 0.22 percent in the receipts for 2021 compared to 2020. During 2020, petroleum revenue stood at US$666.39million. These receipts comprise lifting proceeds of the Ghana Group, surface rentals, interest on PHF account and corporate income taxes were received into the PHF.

The PHF is established under the Petroleum Revenue Management Act (PRMA), 2011 (Act 815), as the designated public fund at the Bank of Ghana to receive and disburse petroleum revenue due the country. Section 4 of the PRMA (Amendment), 2015 (Act 893) requires that no more than 70 percent of the benchmark revenue shall be paid into the Annual Budget Funding Amount (ABFA) and not less than 30 percent shall be paid into the Ghana Petroleum Funds (GPFs). Out of the amount transferred into the GPFs, the Ghana Heritage Fund (GHF) receives not less than 30 percent, with the rest transferred into the Ghana Stabilisation Fund (GSF).

According to the report, total petroleum revenue distributed in the second half of 2021 was US$478.35million. Ghana National Petroleum Corporation (GNPC) received US$129.9million, Annual Budget Funding Amount (ABFA) received US$197.62million while the Ghana Stabilisation Fund (GSF) and Ghana Petroleum Fund (GHF) received an allocation of US$105.52million and US$45.22million respectively, during the period. A balance of US$15.32million remained in the PHF account as at December 31, 2021.

Provisional data from the 2022 budget reveals that the 2021 (January-September) petroleum receipts stood at US$618.46million. Out of the total petroleum receipts, US$590.82million was distributed to the allowable designated accounts in line with provisions of the PRMA. From the amount of US$590.83million distributed, the National Oil Company (GNPC) was allocated a total of US$161.51million, made up of Equity Financing Cost of US$110.03million, and GNPC’s share of the net Carried and Participating Interest of US$51.48million

The ABFA received a total of US$260.64million to support the budget while the GPFs received US$168.67million, which were distributed in the ratio of 7:3 in line with the PRMA – with the GSF receiving US$118.07million and the GHF US$50.6million.

Returns on funds

The GHF and GSF total return for 2021 second half was -1.76 percent and 0.03 percent respectively. Realised income on the GPFs in the period was US$5.4million. Cumulatively, GSF and GHF accumulated reserves were US$244.8million and US$726.5million, respectively.

Other receipts into PHF

During the period, a total amount of US$147million was received as other income for surface rental, corporation income tax and PHF interest. The amounts received comprise US$129,000million for surface rental, US$146.9million for corporation income tax and US$2,900million for PHF interest.

Realised income

In the second half of 2021, the Ghana Petroleum Funds returned a net realised income of US$5.4million compared to US$8.9million in H2 2020. The Ghana Stabilisation Fund contributed 9.9 percent or US$530,000 to total net income compared to US$88,000 in second half 2020, while GHF contributed 90.1 percent or US$4.87million compared to US$8.05million in second half of 2020.

The GPFs reserves at the end of the period of 2021 was US$971.43million (GHF was US$726.54million and GSF was US$244.89million) compared to US$844.78million in the same period of 2020 (GHF was US$644.7million and GSF was US$199.9million).