GNPC, Tap Oil and others sign agreement

Accra, June 16, GNA - Deputy Minister of Energy, Armah Kofi Buah, on Wednesday said government would ensure that companies operating in the oil and gas sector adhered fully to environmental laws governing the sector. Speaking at the signing of a petroleum agreement for oil exploration in offshore Accra-Keta basin in Accra, Mr Buah said the oil spillage off the Gulf of Mexico should provide a wake-up call to improve enforcement of the environmental laws.

The offshore Accra contract is between Ghana National Petroleum Corporation (GNPC), Australian firm Tap Oil Limited, Challenger, Minerals Incorporated and Afex Oil Ghana, an affiliate of Afex International based in the US.

Tap Oil Limited would control 36 per cent stake in the joint venture while, the GNPC would control 10 per cent, both US firms involved in the deal would control 27 per cent each. Mr Buah called on development partners to support the country's effo rts to derive maximum benefits from the oil resources and urged them to adher e to the country's laws. During the exploration, the partners are expected to re-process 600 kilometres of 3D seismic data, acquire 850km of 2D seismic data and drill a single exploration well over the next two and a half years. The exploration programme would cover an area of 2,000 square kilometres in deep and shallow water. Nana Boakye Asafu-Adjaye, Managing Director of GNPC, said the partne rs had both the technical and financial capability to undertake the project through to fruition.

Mr Peter Stickland, CEO of Tap Oil Limited, expressed the partners' commitment to ensure the success of the project, saying the project team came to the field with different expertise.