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The GNPC is currently undertaking a recon-naisance survey of the 104,000-square kilometre

Voltaian Basin, covering about 40 per cent of the country¶s land mass, to acquire requisite data
to demonstrate its oil prospects.

The survey, estimated to cost S30 million, involves geological expeditions and the acquisition of
Two Dimensional (2D) Seismic data to ascertain the oil potential of the basin for the purposes of
attracting investors into its exploration.

It is expected to be completed within the next three years and, according to GNPC officials,
some major international oil companies were watching events in the Voltaian Basin with keen
interest.

When proven viable, the oil prospects in the basin will add up to the country¶s enormous oil
endowment, only discovered lately, and analysts believe that will make Ghana one of the leading
oil producers in the world.

Currently, the offshore Jubilee Fields,in the Western Region have a proven oil reserve estimate
of 800 million barrels, with 90 per cent chance of recovery. Other discoveries at the Mahogany,
Sankofa and Tweneboah fields are yet to be developed.

The Director of Exploration and Production at the GNPC, Mr Thomas Manu, throwing more
light on the survey, told journalists at a news briefing in Accra that there were indications that
the oil prospects in the Voltaian Basin were very bright.

"The press briefing was organised by the GNPC to share with the media recent developments in
the country¶s oil industry for better appreciation of the issues.

Taking the media through petroleum exploration and production in Ghana, Mr Manu said at the
moment there were 10 petroleum exploration companies operating in the country, in
collaboration with the GNPC, adding¶that 110 wells had so far been drilled.

The Managing Director of the GNPC, Nana Boakye Asafu-Adjaye, said so far about $4.5 billion
had been invested in the development of the first phase of the Jubilee Fields, with two other
phases yet to be developed

He said initially the Jubilee Fields would produce 60,000 barrels of oil per day, which would be
increased to 500,000 barrels after three years and then to one million barrels by 2020.

He stressed the need for Ghanaians to take full advantage of the benefits accruing from that
investment.
Mr Asafu-Adjaye said the GNPC was collaborating with the Kwame Nkmmah University of
Science and Technology (KNUST) for GNPC staff to teach at the university.

The Board Chairman of the GNPC, Mr Ato Ahwoi, stressed the need for Ghanaians and
Ghanaian institutions to be at the forefront of research to improve the oil sector, adding that there
was the need for Ghanaians and Ghanaian financial institutions to take the lead in financing the
sector, so that the profit from the huge revenue to be generated from the industry was retained in
the country.

He said it was the intention of the government to link the oil industry with other sectors of the
economy, pointing out that oil must not become an" enclave or an island.

The Chief Economic Evaluation Officer at the GNPC, Mr Kwame Ntow Amoah, said it was not
true that the total financial benefit that would
accrue to Ghana from the oil industry was just 10 per cent carried interest.

According to him, the financial benefit that would accrue to the nation was the sum of royalty to
be paid to the state (five per cent in the case of the Jubilee Fields), the GNPC interest, tax paid to
the government and other oil entitlements.

In that regard, he said, there could be as high as 50 per cent of oil revenue coming to the state,
including what would go to the GNPC, adding that savings made on the importation of oil would
also bring financial benefit to the state.

Mr Amoah stressed the need for the state to invest in key sectors of the oil industry in order to
increase local content, noting that one way of increasing local content was to bring natural gas to
land so that it would have a better impact on the people.

Daily Graphic/DS