Ghana to become fourth-biggest oil producer in Africa by 2020

Ghana to become fourth-biggest oil producer in Africa by 2020

The bank of the Economic Community of West Africa, Ecobank has revealed in a recent analysis that Ghana could become the fourth-biggest oil producing country in sub-Saharan Africa by 2020. The bank disclosed this revelation on Wednesday, stating an addition of two new offshore fields will increase the output above 240,000 barrels (bpd) per day.

Ghana to become fourth-biggest oil producer in Africa by 2020

Ghana currently produces just about 103,000 bpd put it at the ninth position behind Nigeria and Angola which produce an average of 1.867 million bpd and 1.754 million bpd respectively. In August this year, Ghana's TEN field came on stream with an expected output of about 80,000 bpd. The Jubilee field managed by Tullow Ghana, which currently has technical issues with its production vessel is expected to bounce back with an expected output of 115,000 bpd.

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ENI, an Italian company running the Sankofa field set to come on stream in 2017 is also set to produce 30,000 bpd. The report also said that based on existing fields and field development plans, Ghana's crude oil output is expected to reach over 240,000 which could place the country as the fourth-biggest oil producing country in sub-Saharan Africa.

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While production costs are still unclear, the crude oil remains a viable investment even if global prices fall to $40 per barrel, as it such it will still be an attractive investment irrelevant of the fluctuation prices.

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