Ghana’s oil production in 2024 has seen a heartening yet frustratingly narrow miss as the nation recorded a shortfall of just 0.01%, equating to merely 7,000 barrels, compared to its output in 2023. By the end of 2024, the total crude oil output reached an impressive 48,240,010 barrels, but just shy of the 48,247,037 barrels produced in the previous year. This slight decline raises a myriad of questions: What factors are contributing to this near miss? Is it a reflection of broader global trends or domestic challenges?
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Interestingly, this 2024 figure represents the closest Ghana has come to reversing its troubling downward trajectory in annual oil production, a trend that has persisted since 2019. Can we consider this a turning point? When contemplating the factors impacting production, one can’t help but ponder the intricate balance between investment, infrastructure, and government policy.
PIAC Releases 14th Annual Report on Petroleum Revenue Use
These insights were unveiled in the 2024 Annual Report on the Use and Management of Petroleum Revenue, brought forth by the Public Interest and Accountability Committee (PIAC). This report not only marks PIAC’s 14th annual submission, but is also the 27th statutory report, officially launched on Tuesday, April 29, 2025. It serves as a crucial tool to hold stakeholders accountable and ensure transparency in how oil revenues are managed.
While presenting the report’s highlights, PIAC Chairman Mr. Constantine Kudzedzi emphasized that the Jubilee Field remained the dominant player, contributing a staggering 66% of Ghana’s total oil output. Meanwhile, the Sankofa Gye-Nyame (SGN) field and the Tweneboa-Enyenra-Ntomme (TEN) fields accounted for 20% and 14% respectively. It’s a clear indication that although the Jubilee Field has been a beacon of hope, there’s a pressing need for a diversified approach to safeguarding the country’s oil future.
However, not all news is encouraging. PIAC has expressed deep concerns regarding the continued decline in production from the TEN Field, citing it as the lowest among Ghana’s producing sites. The committee has fervently urged the government to perform comprehensive technical and cost audits to unearth the root causes of this underperformance. “The TEN Field turned out the lowest production among the three producing fields,” the report states, highlighting the troubling trends of both production and development costs. This raises an important question: How can Ghana rejuvenate its underperforming oil fields while keeping operations economically viable?
Ghana Group Contributes $89.44 Million in Oil Lifting
Further delving into the fiscal implications, the report outlines that the Ghana Group contributed approximately $89.44 million in petroleum revenue through a total lifting valued at $73.91 million in 2024. This performance is a stark reminder of the ongoing challenges in optimizing returns from Ghana’s petroleum sector amid rising operational costs. It’s a puzzle that seems to require an innovative solution—what strategies might be adopted to enhance productivity while mitigating costs?
Despite the Ministry of Energy’s consistent efforts to attract fresh investments into the upstream petroleum sector, the report sadly notes that no new petroleum agreements were signed in 2024. This marks a disheartening sixth consecutive year without new exploration or production contracts. One can’t help but wonder: What will it take for Ghana to attract the investment it desperately needs? The prospects may appear dim, but history often teaches us that resilience can pave the way to recovery.
As we reflect on these intricacies of Ghana’s oil production landscape, it’s clear that while we’ve made strides, significant challenges remain. The issues of declining production, rising operational costs, and a lack of new agreements paint a complex picture. What’s needed is a concerted effort from all stakeholders, one that champions strategic innovations and sustainable practices. After all, the oil sector is not just a vital economic component; it holds the potential to impact the lives of ordinary citizens across the nation.
In conclusion, Ghana’s oil industry stands at a crossroads. The statistics may tell one story, but the underlying reality is one of cautious optimism mixed with an urgent call for proactive measures. Will Ghana rise to the occasion and embrace a new chapter in its oil narrative? Only time will tell.
Edited By Ali Musa
Axadle Times International – Monitoring.
