Home | Goldstreet Business
Wednesday, January 20, 2021
  • Home
  • General News
    • Extractives
    • Auto
  • Business
    • Banking and Finance
    • AgriBusiness
    • Insurance
    • Mining
    • Oil and Gas
    • Real Estate/Housing
  • News
    • Top Stories
    • Agriculture
    • Maritime/Aviation
    • Energy
    • Education
    • Construction
  • Technology
    • ICT
    • Telecom
  • World
    • Africa
    • International
  • Editorial/Features
  • GSB Data Services
No Result
View All Result
  • Home
  • General News
    • Extractives
    • Auto
  • Business
    • Banking and Finance
    • AgriBusiness
    • Insurance
    • Mining
    • Oil and Gas
    • Real Estate/Housing
  • News
    • Top Stories
    • Agriculture
    • Maritime/Aviation
    • Energy
    • Education
    • Construction
  • Technology
    • ICT
    • Telecom
  • World
    • Africa
    • International
  • Editorial/Features
  • GSB Data Services
No Result
View All Result
Gold Business Logo
No Result
View All Result

Upstream oil investment slumps to near zero in 2018

March 8, 2019
in Uncategorized
0
Share on FacebookShare on Twitter
  • Insignificant oil sector investment dampened growth in 2018
  • Pecan oilfield investment to generate rebound

Data made available to Goldstreet Business this week suggests that the slow down in Ghana’s economic growth rate in 2018 was caused, in part by a dramatic fall in foreign investment into the upstream oil and gas sector during the first nine months of the year.

This is making the planned fast tracking of the impending Pecan Oilfield, to be developed over the next two years by Aker Energy essential to Ghana’s growth plans for both this year and 2020.

RELATED POSTS

Analysis: What will survive of U.S.-Middle East policy under Biden?

Joe Biden Takes Over

During the first nine months of last year, foreign investment inflows into the upstream oil and gas sector, as registered by the Petroleum commission slumped sharply down to US$1.34 million, its lowest level since Ghana first discovered oil in commercial quantities in 2007. Economists are now positing that this was a significant factor behind the slowdown in Ghana’s economic growth rate to 5.9 percent last year from a near half decade high of 8.1 percent in 2017, a year in which the Petroleum Commission recorded foreign investment inflows of US$493.86 million.  Instructively, non-oil growth for 2017 was 4.6 percent indicating that the oil sector accounted for 3.5 percent out of the overall 8.1 percent growth rate for the year.

Although a quantitative econometric correlation between investment into Ghana’s upstream oil and gas industry and the country’s economic growth rate has not been firmly established it is the conventional wisdom among economists that such a relationship does exist. Indeed, heavy investment into the Jubilee oil field at the turn of the decade is unanimously believed to be responsible for Ghana’s world beating growth rate of 14.4 percent achieved in 2011. In fact the political opposition, unsurprisingly argues that the dramatic improvement in Ghana’s economic growth in 2017, the first year in office of the incumbent President Nana Akufo Addo administration was largely the result of investment in the TEN cluster and Sankofa Gye Nyame oil and gas fields over the preceding couple of years although that assertion has not been confirmed by quantitative economic analyses.

It is still unclear why the level of registered investment into the country’s upstream oil and gas sector slumped so sharply in 2018, more so when the year came on the back of a landmark ruling by the International Tribunal on the Law of the Sea (ITLOS) on the maritime boundary dispute between Ghana and neighbouring Cote d’Ivoire which effectively opened the doors for new exploration and production activities to resume in Ghana’s territorial waters after a near 18 month suspension.

However, with economists positing that new investment is at least as important as actual production in Ghana’s oil and gas industry, the country is now looking up to the planned development of its fourth – and possibly largest – oilfield to boost growth back to its 2017 levels this year. Government is targeting 7.6 percent growth for 2019 of which 6.2 percent is projected as non-oil growth and thus only 1.4 percent is expected to come from the oil sector. However, experience over the past decade indicates that if Ghana is to achieve its overall growth target for 2019 the upstream oil sector will have to make a much heavier contribution than that.

By Toma Imirhe

60

SHARES
facebook Share on Facebook
Twitter Tweet
Follow Follow us
custom Share
custom Share
custom Share
custom Share
custom Share
ShareTweetShare

Related Posts

Analysis: What will survive of U.S.-Middle East policy under Biden?

Analysis: What will survive of U.S.-Middle East policy under Biden?

January 20, 2021
Joe Biden Takes Over

Joe Biden Takes Over

January 20, 2021
5 Cybersecurity Trends to Watch in 2021

5 Cybersecurity Trends to Watch in 2021

January 20, 2021
Telegram Reaches 500 Million User Milestone

WhatsApp is Behind the “Largest Digital Migration in History”, says Telegram Founder

January 20, 2021
Acer Unveils Two New Convertible Chromebooks

Acer Unveils Two New Convertible Chromebooks

January 20, 2021
Next Post

Controversy erupts over GACL loan

The Pitch 2.0 holds today… at ongoing Trade Fair

Archives

<
January 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • February 2020
  • January 2020
  • December 2019
  • November 2019
  • October 2019
  • September 2019
  • August 2019
  • July 2019
  • June 2019
  • May 2019
  • April 2019
  • March 2019
  • February 2019
  • January 2019
  • December 2018
  • November 2018
  • October 2018
  • September 2018
  • August 2018
  • July 2018
  • June 2018
  • May 2018
  • April 2018
  • March 2018
▼
>
MonTueWedThuFriSatSun
    123
45678910
11121314151617
18192021222324
25262728293031
       
 123456
78910111213
14151617181920
21222324252627
28293031   
       
      1
2345678
9101112131415
16171819202122
23242526272829
30      
   1234
567891011
12131415161718
19202122232425
262728293031 
       
 123456
78910111213
14151617181920
21222324252627
282930    
       
     12
3456789
10111213141516
17181920212223
24252627282930
31      
  12345
6789101112
13141516171819
20212223242526
2728293031  
       
1234567
891011121314
15161718192021
22232425262728
2930     
       
    123
45678910
11121314151617
18192021222324
25262728293031
       
  12345
6789101112
13141516171819
20212223242526
27282930   
       
      1
2345678
9101112131415
16171819202122
23242526272829
3031     
     12
3456789
10111213141516
17181920212223
242526272829 
       
  12345
6789101112
13141516171819
20212223242526
2728293031  
       
      1
2345678
9101112131415
16171819202122
23242526272829
3031     
    123
45678910
11121314151617
18192021222324
252627282930 
       
 123456
78910111213
14151617181920
21222324252627
28293031   
       
      1
2345678
9101112131415
16171819202122
23242526272829
30      
   1234
567891011
12131415161718
19202122232425
262728293031 
       
1234567
891011121314
15161718192021
22232425262728
293031    
       
     12
3456789
10111213141516
17181920212223
24252627282930
       
  12345
6789101112
13141516171819
20212223242526
2728293031  
       
1234567
891011121314
15161718192021
22232425262728
2930     
       
    123
45678910
11121314151617
18192021222324
25262728293031
       
    123
45678910
11121314151617
18192021222324
25262728   
       
 123456
78910111213
14151617181920
21222324252627
28293031   
       
     12
3456789
10111213141516
17181920212223
24252627282930
31      
   1234
567891011
12131415161718
19202122232425
2627282930  
       
1234567
891011121314
15161718192021
22232425262728
293031    
       
     12
3456789
10111213141516
17181920212223
24252627282930
       
  12345
6789101112
13141516171819
20212223242526
2728293031  
       
      1
2345678
9101112131415
16171819202122
23242526272829
3031     
    123
45678910
11121314151617
18192021222324
252627282930 
       
 123456
78910111213
14151617181920
21222324252627
28293031   
       
      1
2345678
9101112131415
16171819202122
23242526272829
30      
   1234
567891011
12131415161718
19202122232425
262728293031 
       

RECOMMENDED

Analysis: What will survive of U.S.-Middle East policy under Biden?

Analysis: What will survive of U.S.-Middle East policy under Biden?

January 20, 2021
Joe Biden Takes Over

Joe Biden Takes Over

January 20, 2021

MOST VIEWED

Plugin Install : Popular Post Widget need JNews - View Counter to be installed
  • Energy
  • Health
  • Auto
  • International
  • Subscription Form
  • Staff Webmail
  • About Us
  • Contact Us
Call us: +233 24 432 0902 | info@goldstreetbusiness.com

© Copyright © 2020 goldstreetbusiness.com. All Rights Reserved.

No Result
View All Result
  • Homepages
    • Homepage Layout 1
    • Homepage Layout 2
  • World
  • Business
  • Technology
  • Health

© Copyright © 2020 goldstreetbusiness.com. All Rights Reserved.

Login to your account below

Forgotten Password?

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.