Gov't to renegotiate Sankofa-Gye Nyame Oil and Gas deal with ENI, partners

Government has hinted of plans to call for a renegotiation of the Sankofa- Gye Nyame Oil and Gas deal signed early this year to commence production of oil and gas at the Offshore Cape Three Points.

This according to the Deputy Minister for Petroleum Benjamin Dagadu has become crucial to ensure the country derives the maximum benefit from the project.

The $7 billion project was signed in spite of calls by some watchers for a re-look at the financial terms in respect of Return on Investment, and the negotiated gas price of $9.80 per million British Thermal Units (MMBtu) for gas from the Sankofa fields.

It would be recalled that the GNPC just last week secured a $700 million guarantee from the World Bank paving the way for production to start.

But Mr. Dagadu tells JOY BUSINESS the conditions that informed the earlier signing has changed significantly

Story by Ghana | Myjoyonline.com | Abubakar Ibrahim | Email: [email protected]