Gov’t signs three MOUs towards new petroleum agreements
Government has signed three memoranda of understanding covering key terms for prospective petroleum blocks as part of efforts to attract new investment and expand exploration in Ghana’s sedimentary basins.
President John Dramani Mahama announced this at the 2026 Local Content Conference and Exhibition organised by the Petroleum Commission in Takoradi on Tuesday.
He said government was engaging international oil companies over prospective acreages in the western and eastern sedimentary basins, with discussions at different stages towards securing new petroleum agreements.
“Government is engaging with ENI, Vitol, Shell, Chevron, and Petrobras on prospective acreages in our western and eastern sedimentary basins,” he said.
“Three memoranda of understanding have been signed on key terms for three blocks, and discussions on the terms of petroleum agreements for others are ongoing.”
The engagements form part of government’s efforts to attract investment into the upstream petroleum sector, increase exploration activity and replace the reserves being produced.
Ghana’s oil production peaked at approximately 195,000 barrels per day in 2019 but subsequently declined to about 88,000 barrels per day, a development the President attributed partly to reduced investment, poor governance and regulatory inconsistency.
President Mahama said the absence of new drilling activities and petroleum agreements contributed to the decline in production and revenues, while major industry players withdrew and redirected investments elsewhere.
He said his administration had prioritised restoring investor confidence by resolving outstanding disputes and engaging industry partners to encourage them to return to Ghana.
“When my administration took office, I asked the Minister for Energy and Green Transitions to resolve the outstanding upstream disputes, restore investor confidence, and work with our partners to reverse the decline in production,” he said.
The President added that he had personally chaired several meetings with industry partners and welcomed their positive response and renewed investment commitments.
He said crude oil production had now risen to more than 120,000 barrels per day, with existing operators committing capital to new projects.
Government is also seeking to improve the investment framework for the sector through amendments to the Petroleum Exploration and Production Act, 2016 (Act 919).
President Mahama said the proposed amendment, intended to provide better incentives for investment, had been signed by the Ministers of Energy and Finance and submitted to Cabinet.
He expressed government’s commitment to providing a stable and predictable environment for investors while ensuring that petroleum resources deliver benefits to the country.
Richard Aniagyei, ISD
