Ghana is on the cusp of becoming an onshore oil producer as the Ghana National Petroleum Corporation (GNPC) advances exploration in the Voltaian Basin, positioning the country as a potential onshore petroleum hub.
The move forms part of a broader effort to shore up the country’s oil output with the imminent launch of the Pecan Oil Field.
The Chief Executive of the Petroleum Commission, Egbert Faibille, disclosed that the GNPC has completed data acquisition in the Voltaian Basin, with exploratory drilling set to commence.
‘This represents a major breakthrough for Ghana’s oil and gas industry, potentially transforming the sector,’ Faibille stated during the Ghana Oil and Gas Conference 2024 in Accra.
The Pecan Oil Field, Ghana’s fourth oil field, is expected to peak at 80,000 barrels per day (bpd), providing much-needed relief as the country grapples with declining output.
Crude production has dropped for four consecutive years, falling to 48.25 million barrels in 2023 from 71.44 million barrels in 2019, according to a report by the Public Interest and Accountability Committee (PIAC). The trend highlights a pressing need for new developments to reverse this decline.
With Jubilee, Tweneboa-Enyenra-Ntomme (TEN), and Sankofa Gye Nyame (SGN) fields currently driving the nation’s oil output, Mr. Faibille emphasized the significance of ongoing and future projects.
‘The development of existing discoveries, such as the Pecan field, alongside appraisals of Akoma, Eban, and Afina fields, will be key in increasing production volumes and local content,’ he said.
The GNPC’s onshore ambitions are part of a larger strategy to diversify Ghana’s oil sources. The Voltaian Basin, which covers over 103,000 square kilometres, has long been seen as a potential oil-bearing region.
Mr. Faibille stressed that onshore production would diversify the country’s petroleum portfolio and stimulate job creation and infrastructure development.
“This exploration effort is a game-changer for the local oil and gas industry,” Faibille added, referring to the significant investment made in data acquisition and preparation for drilling.
Ghana’s efforts to become an onshore producer come at a time when the global energy sector is undergoing a shift toward cleaner energy sources.
U.S. Ambassador to Ghana, Virginia Palmer, highlighted how this transition has led to reduced oil export revenues, affecting the country’s fiscal stability.
The CEO of the Ghana Upstream Petroleum Chamber, David Ampofo, called for increased exploration to reverse the declining output.
“We need to expedite new exploration licenses and promote infrastructure-led projects that can unlock further development,” Mr. Ampofo said.
The conference, themed “Stimulating the Growth of Ghana’s Oil and Gas Industry,” saw calls for collaboration between the government and international oil companies to streamline regulations and restore investor confidence.
