ACEP welcomes GNPC-GNGC merger

Energy think-tank, the African Centre for Energy Policy (ACEP) has welcomed the announcement of the takeover of the Ghana National Gas Company by the Ghana National Petroleum Corporation (GNPC).

According to the finance minister Seth Tekper, the move is expected to enhance a more integrated management and continued financing of projects in the oil and gas.

Speaking to Citi Business news, Director of Research and Evidence at ACEP, John Peter Amewu said a separate and independent gas company should not have been established in the first place.

“Within the framework of our exploration and production law, the ownership of the gas title rest solely within the structure of the GNPC.”

According to John Peter Amewu, “creating another structure which is the Ghana National Gas company is just not cost-effect and so government’s decision now to let Ghana Gas come under GNPC is a good direction.”

To buttress his point, the ACEP Director of Research said “because GNPC has already, over the period acquired the technical expertise of similar products. Most of the staff that commenced operations of Ghana Gas were from GNPC and so the rationale for coming out with Ghana Gas was uncalled for”.

John Peter Amewu added that “so I think that it is good news and this will put GNPC in a good strategic direction. This will also broaden its capitalisation because some of the gas revenue will soon be coming and GNPC needs to raise capital”
“And so some of these can be used as security for GNPC to establish itself as a major player in the industry”
By: Anim Kwaku Boadu/citifmonline.com/Ghana