Continental Focus, International Reach

Construction at Ghana Gas Plant Hits Snag

Thursday, June 26, 2014

Ghana’s High Court in the western region has ordered a halt to the construction of state-run firm Ghana National Gas Co.’s (Ghana Gas) gas plant until the government pays land compensation to local chiefs. Ghana Gas’ $650 million plant is designed to process gas from the offshore Jubilee Field but completion has been delayed, curbing oil production capacity in the meantime.

“The (traditional) chiefs went to court and obtained a 14-day interim restraining order against Ghana Gas. This means we will have to stop work at the site and resolve this issue quickly,” Ghana Gas spokesman Alfred Ogbamey said.

“We are in talks with the chiefs and we will be going back to court quickly to have the restraining order lifted so that work can continue while we also sort out the compensation issues amicably,” he said.

The company still has to tie deepwater pipes to offshore production to make its September completion target, he said.


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