Goil To Invest Over GH¢50m In Cylinder Re-Circulation Module

Oil Marketing Company, Goil says it is expected to invest about GH¢50 million in the new cylinder distribution programme expected this year.

The fund will be used to establish more distribution centres and LPG bottling plants across the country to undertake the policy.

“It is an investment that is being appraised but we are looking at over GH¢50 million for the entire programme” Managing Director of GoiL, Patrick Akorli told JoyBusiness during the company’s 49th Annual General Meeting in Accra.

"We want to minimize the risk of accidents at the various gas filling stations in the country and as an indigenous marketing company, we find the opportunity to support the agenda” Mr Akorli added.

The indigenous Petroleum distribution company has been selected as one of the indigenous companies to lead in the implementation of the Gas and Cylinder Re-circulation Program.

To this end, Goil has been mandated to build three gas filling plants in the country.

Chairman of the board of directors of Goil, Kwamena Bartels announced that the Gas filling stations will be built in Tema, Kumasi and Tamale.

Mr Bartels assured shareholders that the company will be paying high dividends soon when it starts realizing proceeds from other investments.

Shareholders approved an amount of almost GH¢11 million as dividend for the year ending 2017.

Goil’s share price rose from Gh¢1.1 as at December 2016 to an average of GH¢1.8 in 2017 and the share price continues to rise on the market.

However, the company failed to register any growth in the sale of fuel especially in the retail sector during the year 2017.

Sale of aviation fuel and bunkering were very impressive which compensated for the fall in the volume of sales of diesel and gasoline.

President Akuffo Addo after a cabinet meeting in October last year directed that the Cylinder Re-circulation Module be implemented to reduce the risk of an accident at the various gas filling stations in the country.

This means that LPG Bottling Plants will be sited away from congested commercial and population centres.

As part of the mandate for the Oil Marketing giant, Goil will procure, brand, maintain and fill empty cylinders to be distributed to consumers and households through retail outlets.