The Petroleum Hub Development Corporation, the agency spearheading the establishment of petroleum hub in the western part of Ghana, has signed a $12 billion agreement with a consortium comprising Touchstone Capital Group Holdings Ltd., UIC Energy Ghana Ltd., China Wuhan Engineering Co. Ltd., and China Construction Third Engineering Bureau Co. Ltd for the development of the first phase of the project.
This project aims at positioning Ghana as the destination for energy trading in the West Africa sub-region.
This agreement is a critical step towards President Akufo-Addo’s vision of Ghana becoming a regional hub for petroleum refining, storage and distribution.
The Petroleum Hub project is expected to accelerate the growth of Ghana’s petroleum downstream sub-sector and make it a major player in the economy, creating jobs, attracting foreign direct investment, and enhancing energy security.
The hub, which is a private sector led, will have three (3) refineries, five (5) petrochemical plants, 10 million cubic metre storage facilities, and two (2) jetties with multiple berths.
The ancillary infrastructure and services include a power plant, rail and road network, Liquefied Natural Gas (LNG) terminals, pipelines, water treatment facilities, repairs & maintenance services, nautical services, waste treatment facilities, logistics, security & emergency response centre, residential & commercial facilities, light to medium industrial area and recreational centres.
Other services and infrastructure, such as a state-of-the-art laboratory for petroleum products, fabrication workshop, metering and calibration services, equipment supplies, logistics services, remote monitoring & diagnostics, lubricant storage & supply, and inspection & certification services, will also be available.
The project is estimated to cost about US$60 billion.
The development of the Petroleum Hub project will be executed in three phases, between 2024 and 2036, with the first phase focusing on developing a 300,000 barrel per day (bpd) refinery, 90,000 bpd petrochemical plant, 3 million m3 storage facility, jetty and port infrastructure.
The project is expected to transform Ghana’s economy and create over 780,000 direct and indirect jobs by 2036.
The signing of the agreement was witnessed by Ghana’s Minister for Energy Dr Matthew Opoku Prempeh and some Members of Parliament in the Western Region.
Commenting, Dr Prempeh emphasised the relevance of the hub to develop Ghana’s potential and revenue drive.
“This hub has been long time coming, and I am excited that today, we can do the signing for work to begin in earnest.
“We are hopeful that all the hard work we put in will yield the results that we desire. We are determined to achieve this goal, and we will continue working to see this materialise,” he said.
He also gave an assurance about adding value to Ghana’s natural resources for the benefit of all.
The Paramount Chief of Western Nzema Traditional Council, Awulea Annor Adjaye III, who doubles as Chair of the Petroleum Hub Development Corporation, charged the corporation to ensure wealth creation for the people of Jomoro and Ghana at large.
“We as leaders hold in trust these natural resources for our people, so every time we have to use them, we must ensure our people are the main beneficiaries of them,” he stressed.
Source: https://energynewsafrica.com
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