Energy ministry approves sale of Ghana’s assets to Total for $2.5 billion
- The ministry of energy has given the green light for the sale of the Ghana operations of Anadarko Petroleum Corporation to Total SA
- According to a deputy energy minister, Mohammed Amin Adam, the sale would be complete once all the requirements have been met
- Anadarko Petroleum Corporation's operations in Algeria, South Africa and Mozambique have already been transferred to Total
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The ministry of energy has begun the process of approving the sale of the Ghana operations of Anadarko Petroleum Corporation to Total SA, a French oil giant.
The sale of Anadarko Petroleum Corporation, one of Ghana’s oil production partners, comes at a time when its operations in three other African countries, Algeria, South Africa and Mozambique, have also been sold.
Per a report by graphic.com.gh, Total, an upstream exploration and production company, purchased the company for $8.8 billion in 2019.
Source: UGC
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Anadarko has been operational in Ghana since 2006 and until its sale, owned 24.077% of the Jubilee Field, Ghana’s first oil field.
It also owned 17% of the Tweneboah-Enyera-Ntomme (TEN) project, an integrated oil and gas project.
Unnamed officials from the ministry of finance and the Ghana Revenue Authority (GRA) disclosed that per an estimate which gave an overview of Anadarko’s operations, its gains in the Jubilee Field and the TEN project before the sale amounted to $4.4 billion.
It has also been confirmed that the $4.4 billion translated into a daily gain of about $1 million for the period Anadarko was active in Ghana.
The company is meanwhile expected to earn an estimated $2.5 billion from the transaction.
A deputy energy minister, Mohammed Amin Adam, has indicated that the approval from the government would come only after all requirements in the deal have been adhered to.
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In other news, Africa’s richest man, Aliko Dangote, has begun pre-tests on a $2 billion fertilizer plant in Lagos.
YEN.com.gh understands that his plant, Granulated Urea Fertiliser complex, is one of the biggest fertilizer projects in the world.
According to the group executive director of Dangote Industries Limited, Devakumar Edwin, Nigeria could save $500 million from import substitution and provide $400 million from exports of products from the fertilizer plant.
Per a report by Business Insider, the plant, which has a production capacity of 3 million tonnes per annum, is likely to be commissioned in the first quarter of 2020.
It has also been concluded that it is likely to create thousands of direct and indirect jobs after the start of full production.
At the moment, tests have been conducted in key areas of the plant such as the Central Control Room, Ammonia and Urea Bulk Storage, Cooling Tower, Power Generator Plant, and Granulation Plant.
The Nigerian Gas Company (NGC) and the Chevron Nigeria Limited (CNL) are already in the process of supplying 70 million standard cubic feet per day (scf/d) of natural gas to the factory.
READ ALSO: Ghana aims to reduce power bill as it restructures expensive energy contracts
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Source: YEN.com.gh
