Shareholders of Goil have given approval for the company to own a five percent stake in the operations of Exxon Mobil in Ghana.
The decision was arrived at following majority acceptance of the arrangement at Goil’s Annual General Meeting on Thursday, May 23, 2019.
Addressing shareholders at the AGM, board of Directors which was very optimistic of the plan stressed that the move is a strategic one which should improve Goil’s position and subsequent performance financially.
The company’s Managing Director, Patrick Akorli in an interview with Citi Business News maintained that Goil will be expected to invest not more than twenty-five million dollars in the initial stages of the agreement.
“Now we are competing with about eight oil companies both multinationals and locals…What we are doing now is to take this 5 percent and begin to train our core staff so that the young ones will begin to know something about our upstream oil business. We know it is a risk but how we cannot train our young ones if we do not take the risk,” he explained.
Goil was selected as a local partner for Exxon Mobil to enable the oil giant complete the regulatory requirement to allow it access and explore on allocated oil blocks in Ghana.
The move followed intense scrutiny and after a thorough selection process.
As part of efforts to complete the process, Goil has incorporated a new company, ‘GOIL OFFSHORE LIMITED’.
It is expected to undertake the upstream activities for and on behalf of the group.
However, the group is expected to support the new company with its balance sheet but will cease when the new company has the financial muscle to play within the upstream space.
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