Ghana’s oil production drops by 6% but revenue hits record high in 2022

Ghana’s petroleum industry generated a record revenue of US$1.43 billion in 2022, the highest since the inception of oil production in the country.

This was despite a dip in the number of oil barrels drilled in Ghana’s three oil fields –Jubilee, Tweneboa,
Enyera, and Ntomme (TEN) and Sankofa, Gye and Nyame (SGN).

This was contained in the Public Interest and Accountability Committee’s (PIAC) report on the field for the year 2022.

“Total petroleum revenue in 2022 is the highest for a single year since the inception of petroleum production in Ghana with a figure of US$1.43 billion”.

According to PIAC Ghana’s crude production plummeted consistently in the past three years.

While 2019 recorded 71,439,585 barrels, the figure decreased to 66,926,806 barrels in 2020 (6.32%) and went down further to 55,050,391 barrels in 2021 (17.75%) and then to 51,756,481 barrels in 2022 (5.98%).

“Crude oil production has been declining for three consecutive years. A volume of 71,439,585 barrels was produced in 2019, but declined to 66,926,806 barrels in 2020, representing 6.32 percent. It further declined to 55,050,391 barrels in 2021 (17.75%) and then to 51,756,481 barrels in 2022 (5.98%). The average decline over the three-year period stood at 10 percent”.

The committee noted that, Ghana made more from oil revenue because of high crude prices on the international market.

“The high crude oil prices on the international market led to the receipt of the highest petroleum revenues since inception. These revenues were subsequently allocated and distributed in line with provisions in Act 815”.

PIAC recommended that Ghana should speed up the sustainable development of its petroleum resources to reverse the decline in petroleum production.

The committee also suggested to Ghana to put measures in place to attract new investors and also complete ongoing projects early to achieve this goal.

Source: citifmonline