Political interference, transparency issues major roadblocks for Ghana's oil sector - Report

A recent Oil and Gas Industry Analysis Survey by Deloitte Ghana has identified political interference and poor transparency as the most significant obstacles to oil exploration in Ghana, according to 45% of stakeholders in the upstream petroleum sector.

This report comes amidst a decline in exploration activities since 2018.

Despite these challenges, 73% of respondents view deep water basins as the most promising areas for future exploration.

The survey, commissioned by the Petroleum Commission and conducted by Deloitte, was presented at the ongoing Petroleum Commission LCCE Conference in Takoradi, Western Region.

Led by Yaw Appiah Lartey, Partner, Financial Advisory at Deloitte, the survey was divided into three sections: Financing and Investing in Oil and Gas, Regulatory Landscape for Doing Business, and Sustainability Considerations.

The survey highlighted the importance of establishing joint ventures for exploration projects, fostering collaboration between the government, international oil companies (IOCs), and indigenous Ghanaian companies.

Regarding financing and investing, 40% of respondents suggested that a collaboration between local and regional players will enhance financing in the oil and gas sector.

Additionally, 60% think that indigenous Exploration and Production (E&P) companies can secure funding from local capital markets and commercial banks.

About 38% of respondents suggest that the government could support independent oil and gas companies by offering tax exemptions.

The survey included top-level management, with 83% of respondents being Chief Executive Officers, Managing Directors, Chief Operating Officers, and General Managers.

ID/AE

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