Ghana Targets Six New Petroleum Agreements by Q1 2027 – Jinapor

Ghana is targeting at least six new petroleum agreements with international oil companies by the first quarter of 2027 as government steps up efforts to attract investment and reverse years of declining crude oil production.

The Minister for Energy and Green Transition, Dr John Abdulai Jinapor, said negotiations with major industry players are progressing as part of a broader programme to revitalise the upstream petroleum sector.

Speaking at the Petroleum Commission's 2026 Local Content Conference and Exhibition in Takoradi on Tuesday, November 10, Dr Jinapor named Eni, Vitol, Shell, Chevron, Petrobras and ExxonMobil among the companies engaged in discussions with Ghana.

He said the government was working to restore investor confidence through improved policy certainty, regulatory predictability and a more attractive investment environment.

Reversing a Six-Year Decline

The renewed push comes as Ghana seeks to reverse a prolonged decline in crude oil production. Dr Jinapor said annual output had fallen from a peak of about 71 million barrels to approximately 37 million barrels, with the decline affecting economic activity in Takoradi and the wider Western Region.

He, however, announced that daily crude oil production had increased from about 90,000 barrels to 122,000 barrels, marking what he described as the first reversal of the declining trend in six years.

The Minister said government was determined to move beyond stabilising production to securing sustained growth through increased exploration, reserve replacement and long-term investment.

He identified the Ebano-Afoma field, the Pecan field and the deepwater Keta prospects among the discoveries being prioritised for development.

Dr Jinapor also announced plans to begin construction of Ghana's third gas processing plant, with a groundbreaking ceremony expected next month. This follows President Mahama's announcement that work has started on the second gas processing facility, GPP II, at Anochi in the Western Region, expected to save the country up to $1 billion annually by reducing reliance on imported liquid fuels for power generation.

Local Content Gains

On local content, the Minister said the government was seeking to deepen Ghanaian participation in the upstream petroleum industry beyond regulatory compliance.

He disclosed that Ghanaians currently account for approximately 90 per cent of the upstream petroleum workforce, while the value of local content had increased from about $227 million in 2024 to $450 million.

He said sustaining these gains would require stronger partnerships, technology transfer, skills development and greater opportunities for indigenous businesses.

Dr Jinapor also welcomed a Memorandum of Understanding between the Ghana National Petroleum Corporation (GNPC) and Eni, describing the associated gas sales agreement as an important development for the energy sector.

Competition for Capital

He cautioned, however, that Ghana was competing with other African petroleum-producing countries for limited global exploration capital and could no longer rely on its petroleum potential alone to attract investors.

"There is fierce competition for exploration capital across Africa," Dr Jinapor said. "We must offer predictability, transparency and competitive terms, or investors will go elsewhere."

The conference, which coincides with the Petroleum Commission's 15th anniversary, is being held under the theme: "Enriching Local Content for Sustainable Growth: Building a Resilient Upstream Sector Through Reform and Partnership to Spur Competitiveness and Investment."

The Petroleum Commission, established under the Petroleum Commission Act, 2011 (Act 821), regulates and manages the utilisation of petroleum resources and coordinates local content and participation in the upstream petroleum industry. The Commission's Local Content Conference has become an annual platform for dialogue between regulators, operators, service companies and government on strategies to deepen Ghanaian involvement in the sector.