The Committee tasked by the Ministry of Energy to supervise Ghana’s maiden licensing bid rounds for oil blocks has engaged with the Civil Society Groups in the oil and gas sector to solicit their views and also explain to them on how the government intends to make the process transparent when Tender will open in September this year.
Ghana will in the first week of September 2018 announce a licensing bid round for 9 oil blocks in the Western Basin.
Energy Minister Boakye Agyarko at the inauguration of the committee recently explained that three of the blocks shall be allocated through open public competitive tender, whilst two of the blocks shall be allocated through direct negotiations, whereas one of the blocks will be reserved for GNPC to explore in partnership with its chosen strategic partner with the view to develop its technical capacity.
He added that the remaining three of the will not be allocated this year, but will form the basis of our second bidding rounds next year.
Speaking to MyNewsGh.com at Peduase in the Eastern Region after a three-day workshop, Director in charge of Government Relations at the Ministry of Energy, Madam Patricia Asaam noted that the engagement with the CSO’s was very fruitful and successful.
She indicated that the CSOs were taken through key areas including discussing “Policy for the Upstream Sector (Blueprint),
Policy goal & objectives of the licensing rounds, Licensing Rounds from Mexico & Lebanon as well as Market Analysis of global exploration activity.
Madam Asaam who said the workshop provided the platform for the ministry to respond to some issues raised by the CSOs took MyNewsGh.com through some of the concerns they raised.
“The major concern they raised was on the Indigenous Ghanaian Companies (IGCs). You know under the Local Content law (LI 2204, 2013) Ghanaian companies should have 5% equity in every petroleum agreement. So the civil society groups said we should find an innovative way to get Ghanaian companies to take part in the exploration activities.
“They also raised concern about the various allocation methods in the law. The law provides direct negotiations, competitive tendering and GNPC also going solo,” She explained.
Giving explanations to the concerns of the civil society groups, Madam Patricia Asaam said “our response was that it is the law and the essence of this licensing round is to test the law.