Thursday, February 11, 2016

$7b ENI OCTP deal inflated by $2bn for kickbacks

General News Thursday February 11, 2016      
 Source: Classfmonline.com

The $7 billion OCTP Sankafa gas deal between the Government of Ghana and Italian oil firm ENI is bloated by at least $2 billion, out of which some Ghanaian government officials will cut their kickbacks, the Minority in parliament has alleged.

“As has been stated earlier by the communications directorate of the NPP, it does appear that the contract is bloated by between 2 and 3 billion US dollars to the disadvantage of Ghana,” the Minority said at a press conference in Parliament on Thursday February 11 addressed by William Owuraku Aidoo, MP for Afigya Kwabre South and member of the Mines and Energy Committee of the House.

The Minority wondered why the Government of Ghana would bend backwards to “sprinkle such quantum of roses in the way of ENI and Vitol.”

“In doling two billion dollars out, God knows how much somebody in government will be taking as kickback… The agreement stinks, it is a rip off and cannot be allowed,” the Minority said.

The OCTP Integrated Oil and Gas Project includes the combined development of the Sankofa Main, Sankofa East, Gye Nyame, Sankofa East Cenomanian and Sankofa East Campanian fields. The former three are non-associated gas fields while the latter two are oil fields. The development of the fields started in January 2015.

The fields are located within the OCTP block in the Tano Basin, at water depths ranging from 600m to 1,000m and approximately 60km off the coast of Ghana. The area covered by the fields is approximately 694km².

Eni's subsidiary Eni Ghana Exploration and Production is the operator of the block and holds a majority stake of 47.22% in the same. Vitol Upstream Ghana holds a 37.78% interest in the block and state-owned Ghana National Petroleum Corporation holds a 15% interest, with an option to further increase its share by an additional 5%.

The overall investment on the project is estimated to reach $7bn. The World Bank is providing a partial risk guarantee for the project.

OCTP reserves and production

The offshore fields are estimated to hold approximately 1.5 trillion cubic feet (tcf) of gas and approximately 500 million barrels of oil. The reserves are expected to continuously feed Ghana's thermal power plants for more than 20 years.

Oil production from the project is expected to start in 2017 and peak at 80,000 barrels of oil a day in 2019, whereas gas production is expected to start in 2018, with a daily production capacity of 170 million cubic feet. This would be enough to generate an additional 1,100MW of power for Ghana.

Ghana's OCTP development details

The development plan calls for the installation of subsea production systems, in addition to flowlines and risers connected to a leased floating, production, storage and offloading (FPSO) vessel.

The contract for the chartering, operation and maintenance of the FPSO was awarded to Yinson Holdings in January 2015. The charter period is for a term of 15 years with an option to extend it by five more years. The contract value is currently estimated at $2.54bn, but will increase to $3.25bn if Eni opts for the additional five-year chartering extension.

OCTP FPSO details

The OCTP FPSO will be converted from the Yinson Genesis tanker (formerly Ulriken) which, Yinson Holdings acquired from Golden State Petro in October 2014. It will have a storage capacity of 1.7 million barrels, oil processing capacity of 58,000 barrels a day, gas injection capacity of 150 million standard cubic feet a day (Mmscfd), and maximum future gas-export capacity of 210Mmscfd.

OCTP gas and oil export facilities

Gas from the fields will be processed in the FPSO and transported via a pipeline to onshore gas-receiving facilities located near the village of Sanzule in the western region of Ghana. The gas will further be compressed and injected into the Western Corridor Gas Pipeline and supplied to domestic industrial customers. Crude oil will be stored in the FPSO and will be supplied to international markets by means of tankers.

Ghana's Ministry of Energy has further agreed to enhance the gas transmission system with compression stations and connections to industrial users, to complement the OCTP project.

Discovery and drilling of the Offshore Cape Three Points fields

The Sankofa field was discovered in September 2009, with the drilling of the Sankofa-1 well in a water depth of 866m and to a total depth of 3,704m. It encountered high-quality reservoir sands containing 36m of net oil and gas.

The well is situated approximately 35km east of the Jubilee fields.

The field was further appraised in April 2011 by drilling the Sankofa-2 well at a water depth of 864m. It flowed 29.5Mmscfd of high-quality gas and 1,000boepd of 52° API condensate during test. It confirmed the presence of 35m net gas and condensate sands of the Cretaceous age.

The Gye Nyame field was discovered in July 2011 by drilling the Gye Nyame 1 well. The well was drilled to a total depth of 3,349m at a water depth of 519m and encountered significantly thick gas and condensate sands. The field is located 16km east of the Sankofa field.

The Sankofa East field was discovered by drilling the Sankofa East-1X well in September 2012. The well was drilled to a total depth of 3,650m in 825m of water, and encountered 28m of gas and condensate and 76m of gross oil pay in cretaceous sandstones. It produced about 5,000 barrels of high-quality oil a day during test.

The Sankofa East 2A well, the first appraisal well of the Sankofa East, was drilled in January 2013 to confirm the extension of the oil accumulation in the Cenomanian sequence. It was drilled to a total depth of 4,050m in water depth of 990m and encountered 23m of gas and 17m of net gas, as well as 32m of net oil in cretaceous sands.

 

Friday, February 21, 2014

Writing about Komla Dumor : a village boy's fantasies




“When we come to understand that, survival doesn’t mean having food to eat-it means consistently being at least 10 years ahead of the competition” Charles Kofi Fekpe

For me just like many Ghanaians I have not had the opportunity of meeting Komla Dumor in person neither did I have the chance of listening to him for long before his departure to the BBC.

I said so because growing up in Kadjebi, a small town supposed to be a district capital in the northern part of the Volta Region at the time, radios were the privilege of elite few.

One voice on morning talk show radio that couldn’t elude my ears the morning after my Senior High School days at St Mary’s Seminary Senior High School located in Hohoe in the Volta Region of Ghana was that of a man for me at the time was not a celebrity in my eyes.

Don’t get it twisted, where I went to school, the word celebrity was a rare mentioning and was not to be abused anyhow.

Naturally, I am a lover of current affairs programmes and I will put on hold any trivial assignments to listen to any form of discussions ranging from politics, social, business, entertainment etc.

After an attempt to apply to the University of Ghana to do political science programme which was unsuccessful, I decided to apply to the Ghana Institute of Journalism and got admission after successfully going through an entrance exams and admission interview.

My only resolve to succeed at the Ghana Institute of Journalism was because I believed that after successfully completing my course and gaining some experience in the media in Ghana I could end up at the British Broadcasting Corporation (BBC) not because it was impossible but because Komla Dumor “is there”.

I quickly researched about Komla Dumor, and the following facts popped up: He is a Ghanaian, educated in Ghana, started broadcasting in Ghana, was determined, and the trivial one he is a tribe’s man- ewe

Komla Dumor continued to be my only point of reference in my determination to get to the apex of my career until I heard about Akwasi Sarpong and then I again decided to find out more about any other Ghanaian who is or has been to the BBC then names like Yaw Sakyi- Addo, Yaw Ampofo etc came up.

But the difference between Komla and the rest is the fact that he represents a generation I can obviously identify.

He exudes more beyond just confidence and passion for his work.

Well just as destiny may have it I find my path in the field of communications not exactly in the media but Corporate Communications within the energy sector while Komla soldiers on.

He may no more be someone I look up to or still hope to be mentored by, but the place he goes never requires neither looking up to nor being mentored for. It’s a place called home and we shall all end up there.

In the words of William Shakespeare, Komla came, he saw and he conquered. You were the Boss Player, KD. Rest in Peace!

Sunday, January 5, 2014

GOOD BYE 2013, WELCOME 2014!



2013 just like any other year is history. For some it was a year they wish they would never have an encounter with but while others would continue to cherish the memories it brought them.

What is it that you would have loved to accomplish that you could not in 2013? Write a book, cook a delicious meal, get a job, get married or better still do something crazy.

I know you might have heard the saying “once there is life there is hope”.

 Absolutely; if you have ever failed at something before, a task or an examination then the above saying should make a lot of sense to you.

However 2013 was without a challenge hence the good, the bad and the ugly side of it but 2014 promises to be far too better.

The 2012 presidential election petition by the main opposition New Patriotic Party (NPP) which took more than three quarters of 2013 to be successfully adjudicated over and many other happenings both local and abroad have also pencilled their names in history.

Well, while others vehemently opposed the rationale behind the petition, I personally believed and still do that it was never Ghana’s day of shame but of fame.

The 2012 election petition did not only consolidate our democratic gains over the years but it also help in proving a point or two to the outside world that yes indeed the black man is capable of managing his own affairs.

There were notable deaths of some prominent personalities of the African continent: Chenua Achebe, Prof. Kofi Awoonor, and Nelson Mandela among others just to mention a few.

As a country we have had our challenges politically, economically and socially.

Many admissions by our political leaders on various platforms point to the fact that they were not oblivion of the complaints of the masses.

Personally what were your won setbacks during the year under review? I am quite sure you won’t allow them to override you into 2014 but you would utilize every setback as a stepping stone.

Well, I had my portion of setbacks; they were in actual fact challenges that I derived scriptural strength to surmount.

By now I know it’s clear that there is nothing within our reach unless we make God the pivotal aspect of it.

Whatever your heart desire is for this year, it is my wish that you make God the centre of it so as to succeed.

2014 is here, live it or live it to live you.

Wednesday, September 4, 2013

JUDGEMENT DAY WAHALA: THE TURN OF EVENTS



The much anticipated judgement day has come and gone. But wait not the biblical one but Ghana’s 2012 election petition.

Guess who was in court on judgement day, the nine member panel of judges, the petitioners and their lawyers and the respondents and their lawyers. Is that all? No. some of their loyalists also made it to court.

But I’m quite sure you are disappointed the president John Mahama whose legitimacy is being challenge was not present, well, it could be because he was glued to his LED television set sipping his favourite drink .The contrast however, is that Nana Addo Dankwa Akuffo Addo the leader of the main opposition party was in court but couldn’t have a sip of a drink.

On a more serious note, since the beginning of the historic hearing of the election petition, I have personally made a pledge not to comment on the procedure of the court mainly perhaps due to the sanctions that accompany comments that are seen to be contemptuous.

Alas our airwaves will be relieved of pertinence tribal discussions that do not  address the bread and butter issue but only serve as a catalyst to divide us and worsen our already polarized nation.

Lives that could have been at various emergency centres across the country are busily about their normal duties and properties that have been acquired over the years are safe for their owners. 

You might as well disagree with how some contempt cases were handled especially at the crucial end of the case and how some sections of the media almost use it in their favour to paint their political opponents black.

You might not like the verdict, but let me ask you:  what else were you expecting?
Sorry to learn that your political party didn’t win but at least Ghana won. 

The verdict did not only relieve us of the seemingly strain situation across the country but it has also strengthened our judicial system. Believe it or not for the judiciary, hearing the election petition was a golden opportunity to prove all of us wrong about the increasing impression of corruption within that arm of government.

Hugely, I believe Nana Addo Dankwa Akuffo have exhibited maturity and statesmanship in handling the verdict of the nine member panel of the Supreme Court. Surprisingly his reaction to the verdict was contrary to most popular opinions gathered that he may not accept the verdict hence throwing the nation into catastrophe. 

Well I don’t know if you are impressed about the handling of the case by the nine member panel of judges but I am. I am, because a lot of tact, wisdom and humour have been woven to drive home the sanctity of the legal system in Ghana.

But will the end of eight months long political court battle restore investor confidence in the Ghanaian economy? Perhaps time will tell.

Thursday, May 23, 2013

ACHEBE HAS GONE A PLACE OF ALL MEN




Today mother earth will receive another illustrious son of Africa. A son who spoke louder than the chiming of a bird in the wilderness for repentance. The bowel of the earth is full of many genre of a kind but you are an exception. The Achebe of Things Fall Apart has indeed fallen. 

If works do speak may they speak in your favor as you embark on a journey of all men.  Greet Okonkwo, Ezeulu , Odili and the rest of the people you envisioned when you birth the dawn of literature in Africa. 

I am a firm believer in life after death but those who share in that life is not for me to decide. But if you do qualify, which i pray you do i will not hesitate to put my desire to master the art to write to your mentorship.

 Many of your writings particularly Things Fall Apart (Which I have read) depict the challenges posed to African societies by modernism and Western influence. It details the plight of three educated upper-class Africans attempting to survive in an atmosphere of political oppression and cultural confusion. Set in the fictional African country of Kangan, it is clearly patterned after your native Nigeria, though one can also see elements of Liberia and Ghana which clearly show how cross boundary your thinking was.

 “A man who calls his kinsmen to a feast does not do so to save them from starving. They all have food in their own homes. When we gather together in the moonlit village ground it is not because of the moon. Every man can see it in his own compound. We come together because it is good for kinsmen to do so.”

Sleep well Chinua Achebe or better still Albert Chinualumogu Achebe RIP

Monday, May 13, 2013

THE PLIGHT OF AN ILLITERATE VOTER





Just about the best thing that can happen to any developing nation troubled with several coup d’état is to had few successful democratic elections devoid of violence. That happened over a decade ago.

But the most amazing thing about this thriving democracy is not about the continuous effort of the iterate voter not to commit electoral crime but the conscious effort of the illiterate voter to avoid electoral crime.

Madam. Akua Koranteng’s story began when she was still in her hay days in a remote Ghanaian village unreachable by road.

Amedeka one of the few villages resettled by the Volta River Authority during the construction of the Kpong Hydro Electric Dam in the 1970s is the village that Akua and her family were born without any fault of theirs.

A town whose future does not seem bright but bleak: not even the existent of the Kpong dam for the past three decades could rewrite their folk tale.

But the linkage of Ms. Koranteng’s present status and her village is the huge deficit in her development as compared to those who live in the township.
Her contemporaries boasts of good drinking water, motorable roads, and descent accommodations.

For her, where she live is where she could afford but what she drink and the education of her children are what her elected officials afforded her.

On my way to conduct this interview, I was greeted by a thin stretched pathway which you may decide to call a road with numerous potholes that could dislocate ones joint after traveling on it.

Upon arriving in Amedeka, I decided to tour the whole village and it took me less than an hour to finish my tour, what I saw ignited tears down my chins.

While standing under a tree believed to be the rallying point of the whole village where arbitration and issues affecting the village is resolved, I chanced on Akua Koranteng a mother of ten.

Our conversation centered mainly on what I saw within the one hour I have been in the town.

One thing I noticed from the conversation with Akua was bitterness. Bitterness not against her husband or kinsmen but against the state.

Her dilemma until she met me was whether it is the government’s responsibility to develop their area or the Volta River Authority.
After nearly thirty minutes of explanation to Akua she realized that they have been denied their share of development.

To Akua since the VRA operates in their locality and has relocated them it was their responsibility to fix their roads and provide them with the needed amenities which would make life easier for them.

She narrated her ordeal to me prior to the election:
“On the day of election I had to wake up very early to cast my vote in order to have time to go to the farm” she indicated.

We were told lives will improve for us the moment the elections were over.
Hopes against hope we queued to vote for a leader who will turn our mourning into laughter. She said.

So I asked ‘has your story changed after the elections?”
She nodded her head and then burst into tears. Then she whispered we have been deceived.

Akua just like many of her contemporaries in rural Ghana believes politicians whether past or present have thrown dust into their eyes. 

Their sorry nature have become a gold mine for people who pretend to have their developmental plight at heart, they come to them in a sheep’s cloth only for them to find out that they are wolfs after all.

The main road through Akuse to Amedeka has been washed away by rain in the past and nothing seems to be done about it. 

The worry of the village folks however is how bad the road will further deteriorate since the rains just started pouring in.

They have no idea where help would come from. After nearly over an hour and half chat with Akua, it was clear the only thing that matter to her is the future of her village. She wants to see the children in her village have access to quality education; farmers just like her have access to good road. 


In a later write up i will talk about my personal advice to village folks who may be going through the same trauma. The myriad complexities of Amedeka may not necessarily defer from other remote and remotest areas in this country.