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Preparing For Oil Boom in Ghana – Any Lessons From Others?

Remember this simple but wise Ghanaian proverb that advises us: “If Sunday is going to be a great day, it is Saturday that will light the cone.”

Ghana is one of the most blessed countries in Africa. Ghana is very, very rich in mineral resources. Ghana is endowed with gold, diamonds, bauxite, manganese, etc. Ghana has cocoa, timber, arable land and rivers, rain forests, fed by alternating rains and lit by the tropical sun all year round.

However, Ghana has been politically mismanaged for too long by corrupt politicians and selfish military adventurers who could do with a cargo of cocoa to be free in the Atlantic Ocean. This explains why Ghana had to be christened a Heavily Indebted Poor Country (HIPC) in the country’s economic history.

In June 2007, just about three months after Ghana had celebrated its Golden Jubilee anniversary on March 6 of that year, an American oil exploration company called Kosmos Energy in collaboration with the Ghana National Petroleum Corporation (GNPC) went to Osu Castle in Accra to see the President of the Republic of Ghana, HE. John Agyekum Kufuor. In typical traditional Ghanaian fashion, President Kufuor and his elders sat down to listen to the scientific and technological visitors.

The leader of Kosmos Energy, Mr. James C. Musselman, who is also the Chairman and Chief Executive Officer of that oil exploration company, told the presidential linguist to inform the President that they had brought him good news. The President then replied: “In Ghanaian culture, news cannot be said to be good or bad until it is told. Therefore, I, the country’s first public servant and my presidential elders are all ears to hear the news that you brought. this dawn when we have not yet put a drop of water on our tongues.”

It was then that Mr Musselman told the presidential linguist to inform HE that he and his partners had come to inform the President that Kosmos Energy had discovered oil in commercial quantities offshore the Republic of Ghana in the Three Points Block of the Western Cape in the western part. region of the country. At first the President seemed not to have heard the message properly. So he adjusted himself in his royal/presidential armchair, cleared his throat and ordered the presidential linguist to order engineer Kosmos to repeat his message. Then Mr. Musselman, a little frightened, as if he had made some mistake, and in a nervous voice said, “Please, err—Okyeame, I say kindly inform His Excellency the President that our mission here this morning is to inform him that our company has discovered about 600 million barrels of light oil offshore his beloved country – Ghana.

One would expect the President to immediately jump to his feet and start cheering. Instead, President Kufuor probed further: “Okyeame, ask the Kosmos engineer what is the proof that Ghana has discovered oil as he claims.” Then Mr. Musselman reached into a leather goatskin bag and pulled out a bottle of a dark brown liquid. Part of the liquid was poured into a plate. To a layman like this author, said liquid looked a lot like pure honey. “Take this,” says Mr Musselman, “present to HE that this is proof that Ghana has oil flowing under the sea in the Western Region.”

It was only after President Kufuor, held the sample of oil in his hand and dipped his index finger into the honey-like liquid and sniffed it before nodding his head in approval that Ghana has actually discovered oil in commercial quantities. President Kufuor then reiterated what he said in his broadcast to the nation on the eve of Ghana’s Golden Jubilee anniversary: ​​”IT’S A GREAT TIME TO BE A GHANA.”

President Kufuor then expressed his personal gratitude and that of the people of Ghana to Kosmos and its partners for a wonderful job done. He was quick to warn that honesty, transparency and a spirit of goodwill should guide the operations of oil companies exploring for the “black gold” in Ghana. The President was speaking from experience in terms of the living conditions of the people and communities where Ghana’s red gold has been mined since ancient times and the environmental degradation bequeathed to generations yet unborn.

On Tuesday, June 10, 2008, the entire front page of the Daily Graphic was devoted solely to the business of oil discovery in Ghana. In fact, the banner headline for the day was: Well Test Returns Positive. OIL – 120,000 BARRELS PER DAY – Production expected to increase in 2012. This headline is illustrated by a key picture in which President JAKufuor was seen congratulating Mr. James Musselman, Chief Executive Officer of Kosmos Energy, after the latter had informed the President about the latest development in finding oil in the country. In the same photo were seen Mr.

The first paragraph of this lead story, written by Nehemia Owusu Achiaw read: “Commercial oil production is scheduled to begin locally in the first quarter of 2010 with an initial output of 120,000 barrels per day.”

The second most important story on the front page of the paper that day was also about oil exploration in Ghana. Above the headline: “…41 firms apply for exploration” The opening paragraph read: “The Ghana National Petroleum Corporation (GNPC) says it has been inundated with applications from foreign companies expressing interest in investing in oil exploration between January 2007 and June 2008.”

The purpose of this article is simply to remind the people of this country that whether we like it or not, Ghana is in transition from an Oil Importing Country (OIC) to an Oil Exporting Country (OEC). In other words, all things being equal, there will be an oil boom in Ghana sooner than anticipated, judging by what industry experts are saying. Of course, this requires joy. But it is important for us as a nation to tread carefully so that the oil found in Ghana is a blessing and not a curse.

For now, this author would only like to cite two oil producing countries in Africa, namely, Nigeria and Libya, and warn Ghanaians to take note of how those countries are managing their oil boom for the good of the people. theirs. It seems that something is not being done right in the management of the oil industry in Nigeria. As a result, the oil-rich delta region is being environmentally degraded. Media reports indicate that the poverty level of people living in that oil rich region of Nigeria is nothing to write home about. Why? There are no further comments at this time.

On the other hand, it seems that Libya is doing something that Ghana deserves to emulate. This writer has learned that there is no school-going child in Libya who is not in school. That no adult citizen of that country has an apartment of his own. In fact, Libya is a country located in the middle of a desert in the northern part of Africa. But Libya has been able to create an artificial river of thousands of kilometers and is in the process of transforming the desert into a virgin rain forest area through irrigation schemes. How are Ghanaians preparing for the oil boom in Ghana? Are they learning any lessons from others?

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