Ghana Seeks to Maximise Oil and Gas Resources Amid Global Energy Transition
Ghana is positioning its oil and gas resources to support national development while preparing for the global shift towards renewable energy and electric mobility, President John Dramani Mahama has said.
He said the country would continue to take advantage of its petroleum resources to support economic growth and energy security while putting in place measures to prepare the economy for changes in the global energy landscape.
President Mahama made this known at a Presidential Townhall Meeting with Ghanaians in the Diaspora held in New York on the sidelines of the 81st Session of the United Nations General Assembly.
He said renewed investment in Ghana’s oil and gas industry was already contributing to increased production, with output from the Jubilee Field expected to rise from about 60,000 barrels per day to approximately 85,000 barrels per day.
The President said partners operating in the Jubilee Field were investing in the sector, including about US$1.5 billion to bring additional Sankofa production into operation.
He also disclosed that the country had attracted renewed interest from international energy companies, with combined investment commitments and planned drilling and field development activities amounting to about US$3.5 billion.
According to him, the renewed investments would provide additional production capacity and help Ghana derive greater economic value from its petroleum resources.
President Mahama said the developments in the oil and gas sector formed part of broader efforts to strengthen Ghana’s energy security and create the conditions for sustained economic activity.
He said the Government was also working to expand electricity generation capacity, with plans to sign an agreement for 1,200 megawatts of gas-fired thermal generation capacity before the end of 2026.
The additional generation capacity, he explained, would complement ongoing investments in the oil and gas sector and help address the country’s electricity needs.
The President said Ghana must, however, prepare for a changing global energy environment as countries increasingly invest in renewable energy and electric mobility.
He said the country’s energy strategy would therefore involve maximising the value of its oil and gas resources while simultaneously preparing for the transition towards cleaner sources of energy.
President Mahama said Ghana had an opportunity to use revenues and investments generated from its existing energy resources to support the country’s broader development and prepare for emerging technologies in the energy sector.
He also pointed to the need to strengthen the financial sustainability of the power sector, particularly through measures to address outstanding obligations to Independent Power Producers and reforms at the Electricity Company of Ghana.
According to him, the Government was reorganising the operations of the ECG to improve its financial position and ensure that payments to power generators were prioritised.
The President said a financially sustainable energy sector was necessary to maintain reliable power supply and create a conducive environment for businesses and investors.
He further encouraged Ghanaians in the diaspora to take advantage of emerging opportunities in the country’s energy and other productive sectors by investing in Ghana.
President Mahama said Government was working on a framework to enable Ghanaians abroad to invest through structured investment portfolios, with clearly defined returns.
He said the diaspora could play an important role in Ghana’s economic transformation by bringing capital, skills, experience and expertise into the country.
The President’s engagement with the diaspora formed part of efforts to provide Ghanaians living abroad with updates on developments under the Government’s Reset Agenda and opportunities to participate in the country’s economic transformation.
He encouraged Ghanaians considering a permanent return to the country to approach the process gradually, including investing and establishing an economic base before making the move.
President Mahama said Ghana’s energy sector, particularly oil and gas, would continue to provide opportunities for investment even as the country prepared for changes in the global energy system.
He said the objective was to ensure that Ghana benefited from its existing natural resources while positioning the economy to participate effectively in the emerging renewable energy and electric mobility sectors.
Mrs Ethel Cudjoe Amissah
Washington, DC
