Business News of 2014-04-09

GOIL pays GH¢1.5m dividend to government

The Ghana Oil Company Limited (GOIL) on Tuesday paid a dividend of nearly GH¢1.5 million to the Government, a major shareholder in the company. The amount is in respect of dividend on the 2012 accounts.

Government holds a 51 per cent stake in GOIL with the remainder being owned by the public. Receiving the cheque, Mr Cassiel Ato Forson, Deputy Minister of Finance urged the Board, Management and the staff of GOIL to strive to be strong, competitive and profitable, in order to pay increased dividends to its shareholders.

I wish to encourage the membership of the Board of Goil to ensure that subsequent payment of dividend to Government is done on time, he added.

He said Government had programmed to collect GH¢57.09 million as dividends for the year in respect of 2013 account and interim for 2014 from Governments equity investments in Joint Venture Companies (JVCs) and state Owned Companies (SOEs). Mr Forson urged all SOEs and JVCs, who were yet to declare dividend on their 2013 accounts to do so and ensure prompt payment to shareholders.

He lauded GOIL for the consistency in the payment of dividend and pledged governments support for the company’s expansion programmes and projects.

Professor William Asomaning, Board Chairman of GOIL, said the company’s dividend payment to government had been growing over the years and expressed the hope that the dividend in respect of the 2013 account would be higher.

Mr Patrick Akorli, Managing Director, GOIL, said the company has earmarked GH¢100 million for various projects this year aimed to expand the reach of the station countrywide.

Some of the projects include storage facilities and the building of new stations. He said GOILs target is to be the market leader within the next two years, moving from the current 14 per cent control to 16 per cent.

The good news is that we are growing bigger than the industry average of six per cent, he said, adding that GOIL grew by 11 per cent in 2013.