President John Dramani Mahama has terminated all contracts between the Government of Ghana and Strategic Mobilisation Ghana Limited. The decision follows an investigation conducted by the Office of the Special Prosecutor into the multimillion dollar agreements.
The cancellation nullifies deals spanning the downstream and upstream petroleum sectors as well as the mining sector. The arrangement, reportedly valued at over 500 million dollars for an initial five year term, was renewable for a second term. It would have guaranteed SML fixed revenues across the three sectors.
Investigative journalist Manasseh Azure Awuni, who first reported the development, acknowledged the President’s action. He stated it fulfills a commitment Mahama made before taking office. The journalist collaborated with Adwoa Adobea Owusu and Evans Aziamor Mensah on the investigation.
In his report, Manasseh alleged the contract was masterminded by former Finance Minister Ken Ofori Atta, who is currently outside the country. The directive is expected to fully dismantle the controversial arrangement, which had been a significant subject of public debate and media scrutiny.
