19 member committee
19 member committee

The Minister for Energy, Boakye Agyarko has inaugurated a 19 member committee to play an supervisory role for the Ministry in respect of the open competitive bidding of Ghana’s oil blocs to prospective oil exploration companies.

The Licensing Bid Evaluation and Negotiation Committee has been divided into three subcommittees with Mr. Lawrence Apaalse as the Chairman.

The committee is however mandated to assess investors who are seeking to start oil exploration and production in the country, and then advise the minister as to whether an agreement could be made or not.

According to the Minister, “In the past, oil blocs were awarded to investors for exploration without any open competitive bidding process. This time, the ministry is moving away from that practice, to the interest of the country.

Mr. Boakye Agyaako further explained that, this will enable government to enhance transparency and accountability in the petroleum industry.

At the Inaugural event at the Ministry today, the Minister said, “The terms of reference for the committee are; to prepare all the necessary documentation for a successful bid round. Assess and package all the data on the acreages. Set up an online data room where all the data can be accessed by prospective bidders, and embark on promotions and roadshows in collaboration with the Petroleum Commission.”

Adding that, “The committee will also carry out pre-qualification of applicants in line with applicable regulations, evaluate qualified bids and select winners in line with a transparent criteria. The committee will finally negotiate with the winners of the bids and provide recommendations to the minister for signing the petroleum agreement.”

With respect to local content in the bidding process, the Minister said both international and local companies that will meet all requirements outlined in the process will be considered.
In a break down, he revealed that, the six blocks range in size from 1,000 to 1,500 square kilometres in the Western Basin, where two of the blocks are ultra-deepwater at 3,000 – 4,500m.

Emphasising that, 2D and 3D seismic data was taken in the blocks between 2000 and 2013 with very promising interpretations indicating oil mostly, where Ghana is producing 200,000 barrels of oil per day, spearheaded by its flagship Jubilee field which produces about 100,000 barrels per day.

By:Sammy Adjei/Newsghana.com.gh

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