Accra: The Petroleum Commission has announced a significant achievement, revealing that it has saved Ghana approximately $2 billion through the review of Plans of Development (PoDs) and related petroleum projects since its inception 15 years ago. This announcement was made by the Commission's Chief Executive Officer, Emeafa Hardcastle, during the launch of the Commission's 15th anniversary celebrations in Accra.
According to Ghana Web, Hardcastle detailed that the savings included $210 million from the Jubilee Plan of Development Phase 1A, $510 million from the TEN Plan of Development, $200 million from the review of OCTP SURF and T and I, and $1 billion from the Greater Jubilee Full Field Development Plan. She emphasized the Commission's role in maintaining efficient stewardship of Ghana's hydrocarbon resources, which has resulted in substantial savings and enhanced revenue for the state.
Hardcastle also highlighted the findings of a recent petroleum cost audit, which uncovered infractions amounting to $229 million. This amount has been excluded from allowable petroleum costs, promising potential gains for the state through future Corporate Income Tax and Additional Oil Entitlement. She underscored the Commission's strengthened oversight of contractors' expenditure, ensuring petroleum operations are executed at optimized costs.
The Commission's contribution to indigenous participation in the upstream petroleum industry was another significant milestone. Hardcastle noted that contracts worth $4.9 billion have been awarded to indigenous Ghanaian companies, representing 22% of total contracts. Additionally, $7.9 billion in contracts have been awarded to joint ventures involving Ghanaian businesses, accounting for 35% of total contracts. The implementation of the Petroleum (Local Content and Local Participation) Regulations, 2013 (L.I. 2204), has been pivotal in driving local participation and in-country value addition.
Looking forward, Hardcastle announced that Ghana is expected to sign at least five new petroleum agreements by early 2027, pending parliamentary approval of proposed legislative and fiscal reforms. She indicated that the frontier offshore Accra-Keta Basin is likely to attract major oil companies for exploration. The Commission is collaborating with the Ministry of Energy and Green Transition to review Ghana's upstream legislative, regulatory, and fiscal framework to enhance sector competitiveness.
Addressing production decline, Hardcastle disclosed that the Commission is taking steps to improve Ghana's reserve replacement ratio and is working with operators in the Jubilee, TEN, and Sankofa-Gye Nyame fields. The Commission is facilitating the development of the Eban-Akoma and Afina discoveries and ensuring the Pecan Field development commences promptly upon resolving outstanding challenges.
The development of a strategy for petroleum exploration and exploitation in the Voltaian Basin is also underway. Hardcastle emphasized the importance of this strategy due to the different technical and operational dynamics of onshore petroleum operations compared to offshore activities. The strategy document will be submitted to the Minister of Energy and Green Transition for consideration.
Reflecting on the Commission's 15-year journey, Hardcastle acknowledged its establishment as a strong regulatory body, maintaining Ghana's position as an attractive investment destination. She highlighted the Commission's role in developing upstream petroleum regulations, providing technical advice to the Energy Minister, and establishing a National Data Repository that houses seismic, well, and geotechnical data from Ghana's sedimentary basins.
The Commission has also strengthened regulatory cooperation with countries such as Uganda, Liberia, Nigeria, and The Gambia, while providing technical support to countries including Guyana and Suriname.