3 minute read

No more ‘dumsor’: Ghana Gas secures US$700m deal for second gas

(GPP Train 2), aimed at scaling up the country’s gas resources in line with government’s industrialisation agenda. Integrated Logistics Bureau Limited (intels), Jonmoore International, Phoenix Park Limited, and African Finance Corporation make up the consortium for the project. The gas plant which would be sited at Atuabo in the Ellembele District of the Western Region will have a nominal capacity of 150 million standard cubic feet per day (MMscfd), expandable to 200 MMscfd.

The project, expected to be completed within 24 months, will generate 1,500 direct and indirect jobs within the Atuabo power enclave.

Advertisement

The Chief Executive O cer of the GNGC, Dr. Benjamin K. D. Asante, and Dr. Hilton John Mitchell, a representative of the Consortium signed the agreement on Friday, in Accra. No ‘dumsor’

Addressing the gathering before the signing, Dr. Ben Asante, said the project would enable his out t to become a fully integrated gas services company and provide a reliable supply of gas and gas derivatives in Ghana and the West African Sub-region.

He said it would further ful l Ghana Gas’ vision of supplying gas in a cost-e ective and environmentally friendly manner.

Explaining the signi cance of the project, the Ghana Gas boss said, the new plant, upon coming on stream, would improve the output of liquids processed from natural gas to 80 percent, compared to the existing facility, which produced between 40 and 50 percent of gas liquids.

The plant will help the nation processed gas, he explained, could be used to manufacture fertilizer, which would boost the agriculture industry and ultimately reduce the country’s fertilizer import.

“The key di erence between the rst processing plant in terms of its output and processing, and this project is that now we have the capability to extract even more liquids from the raw gas train that is coming to us. We are doubling the amount of LPGs, condensing, and things,” he said.

“Currently we use about 90 percent of the gas we process or reproduce for power generation. With this consistent supply from our upstream partners and reliable delivery from our midstream partners, the incidence of ‘dumsor’ has essentially disappeared. This is an e ort from the fact our upstream supply of gas and midstream partners and us (Ghana Gas) have been reliable in ensuring that gas supply and delivery reaches the intended consumers, and ‘dumsor’ will continue to be a thing of the past,” Dr. Ben Asante pointed out.

Boosting supply

In his remarks, the Board Chair of Ghana Gas, Mr Kennedy Ohene Agyapong, said the project, upon completion, would enhance the operations of the company and further boost the utilisation of the country’s gas resources for the government’s industrialisation agenda.

He said the facility will play a critical role to help Ghana achieve its energy transition objectives of using renewable energy sources for industrial purposes and reducing global carbon emissions.

“In this era of the global discourse on transition fuels, it is socio-economic development of the country,” he said.

On his part, a Deputy Minister of Energy, Egyapa Mercer, said the project would be a useful additional infrastructure in the country’s power generation system.

It would also support the government’s e orts in providing an alternative power supply to drive socio-economic development, he added.

Dr. Hilton John Mitchell, who spoke on behalf of the joint venture partners, expressed the Consortium’s commitment to work collaboratively with the GNGC to deliver the gas processing plant on schedule and in a cost-e ective manner.

The project

The construction of a second train gas processing plant with a nominal capacity of 150 million standard cubic feet per day (MMscfd), expandable to 200 MMscfd, to process incremental raw gas volumes from the Greater Jubilee and TEN elds.

The project formed part of the GNGC’s strategic development plan and is expected to increase the national gas processing capacity to 450 MMscfd.

The new gas processing facility will process raw gas with natural gas liquids (NGLs) being fractionated into pure components like propane, butane, pentane, and stabilised condensate components from the Jubilee and TEN Fields.

The lean gas containing methane and ethane shall be tied into the lean gas export from existing GPP Train 1 and delivered into the onshore export pipes.

Some of the components of the GPP Train 2 are a storage facility, an additional compressor package at Atuabo Mainline Compressor Station, and the provision of utilities and a liquid waste treatment system.

This article is from: