The Government of Ghana has secured a $3.5 billion investment aimed at revitalizing the country’s oil and gas industry, following the signing of a Memorandum of Understanding (MoU) with partners of the Jubilee/TEN and Offshore Cape Three Points (OCTP) projects.

Under the agreement, the Jubilee/TEN partners will inject $2 billion, while the OCTP partners are set to contribute $1.5 billion to boost production and expand reserves.

The announcement was made in Accra by Dr. John Abdulai Jinapor, Minister of Energy and Green Transition, during the launch of the 2023 Ghana Extractive Industries Transparency Initiative (GHEITI) Mining and Oil and Gas Reports.

Dr. Jinapor attributed the renewed investment interest from major international oil companies to ongoing policy and legislative reforms, including the resolution of challenges surrounding gas aggregatorship and the enhancement of regulatory certainty. He noted that these interventions are expected to sustain the sector’s contribution to the national economy while longer-term reforms are implemented.

Transparency and Accountability in Resource Management

The launch also underscored the importance of transparency and accountability in managing Ghana’s natural resources. Dr. Steve Manteaw, Co-Chair of the GHEITI Multi-Stakeholder Group, emphasized that the initiative empowers citizens to hold government institutions accountable for the management of extractive resources.

Sector Contributions to the Economy

Patrick Nomo, Chief Director of the Ministry of Finance, reported that the extractive sector contributed about GH¢16.7 billion to domestic revenue in 2023, representing roughly 7% of total government receipts. He further revealed that transfers from extractive activities to sub-national authorities reached GH¢1.8 billion, supporting infrastructure and local development in mining and petroleum-producing areas.

The sector also generated net foreign exchange inflows of $3.9 billion, helping stabilize Ghana’s balance of payments and exchange rate.

Mr. Nomo stressed that GHEITI reports remain critical tools for fiscal forecasting, national planning, and policy formulation, providing independently verified data to guide decision-making and ensure prudent management of Ghana’s natural resource wealth.