Nigeria to give Ghana more crude oil, extend credit days

From Benjamin Mensah, GNA Special Correspondent, Abuja, Nigeria

Abuja, Nigeria, June 19, GNA - President John Atta Mills has secured a deal with Nigerian President Musa Yar'Adua under which the Nigeria has agreed to increase crude oil supply to Ghana on an extended credit period of 90 days.

Under the arrangement, Nigeria would increase supply to between 60,000 and 65,000 barrels a day.

Details of the new arrangement will be worked out by the Energy Ministers of the two countries, Mr Mahama Ayariga, Presidential Spokesperson told journalists after a closed-door meeting between the two leaders at the Nigerian presidential palace.

President Mills arrived in the Nigerian capital on Friday ahead of a meeting of the Economic Community of West African States (ECOWAS) scheduled for June 22, in order to hold talks with his Nigerian counterpart which culminated in the deal.

Mr Ayariga described the talks as "fruitful".

He said 45,000 barrels of crude oil would be available daily to the Tema Oil Refinery for processing, adding that the rest would be given to the Volta River Authority for power generation.

Mr Ayariga said President Mills also put in "a strong word" to secure adequate and constant supply of gas for Ghana's domestic use. He said the Government was placing priority on energy because the economy revolves around an efficient energy supply, without which it could collapse.

Government is also exploring other domestic and international sources to address the country's energy needs, he added. At the talks, the two leaders also discussed other areas of cooperation.

These included the strengthening of bonds with each other and the resolution of issues between them before any outside intervention. The two leaders also pledged to use available resources to improve lives and the welfare of their peoples and ensure sub-regional security.