Ghana Gas signs historic Memorandum of Understanding

The Ghana National Gas Company and the national gas companies of Gambia, Guinea, Guinea Bissau and Sierra Leone signed a historic MOU with the Nigerian National Petroleum Company (NNPC)and the Office National de Hydrocarbures and Des Mines of Morocco (OHNYM). This occurred on December 6th, 2022, in Rabat Morocco.

Ghana National Gas Company having cemented itself as the nation’s premier midstream gas business company that owns and operates the infrastructure required for gathering, processing, transporting and marketing of national gas resources in Ghana and internationally entered into this agreement which has the potential to transform the economic landscape of all countries involved.

Mrs. Sylvia Assimeng Archer, the Company Secretary and General Manager in charge of the Commercial Legal division of Ghana Gas led the Ghana Gas delegation to Morocco and signed the MOU on behalf of the Chief Executive Officer of the company, Dr. Ben K.D Asante.

The MOU is with regards to a Nigeria Morocco Gas Pipeline, a 5600-kilometer trans-African line that will connect Nigeria to Morocco, traversing Ghana and other Ecowas countries along the route. The idea for the pipeline, a joint initiative between the Federal Government of Nigeria, and the Kingdom of Morocco was conceived in 2016.

Plans are afoot to further extend this line to Europe in the future. To highlight the key role Ghana plays in this, Takoradi has been earmarked as one of the three sites to house compressor stations along the pipeline.

The myriad potential benefits of this pipeline which is to boost economic livelihoods of the populace of the countries involved cannot be overstated. These will include energy self-sufficiency, economic integration and strengthening of the industrial sectors, with resultant job creation. Natural gas will support economic development in agriculture, hydrocarbons and mines. This will certainly result in a general increase in the standard of living of the 340 million people this project is expected to impact.

Ghana Gas is well positioned to be able and collaborative partner to work towards the successful implementation of the project. Sylvia Archer, in her remarks on behalf of the CEO, Dr. Ben Asante, emphasised the historic nature of this milestone agreement and its overarching importance to all the countries involved.

She commended the NNPC and ONHYM for their leadership and partnership in the project and affirmed the commitment of Ghana Gas Company to ensuring the success of this endeavor.

Mr. Mele Kyari, group chief executive officer (GGCEO) of NNPC said Africa stands to benefit immensely from the execution of the project which extends beyond the supply of gas to energize the countries along the route.

Mr. Baboucarr Njie, the Managing Director of Gambia’s National Petroleum Company (GNPC), highlighted the fact that his country’s prospecting for hydrocarbons has been encouraged by recent similar discoveries in neighboring Senegal and Mauritania. He added that the opportunity presented by the NMGP project will tremendously boost their chances to discover natural gas in the Gambia.

Once completed, the pipeline is expected to transport about three billion cubic feet of gas per day from Nigeria to Morocco, and eventually onward to Europe.