Ministry of Energy and Petroleum has confirmed the takeover of Ghana National Gas Company by Ghana National Petroleum Corporation (GNPC).
Head of Communications of the Ministry of Energy and Petroleum, Edward Bawa said in a signed statement, “GoG has executed the legal instrument assigning its entire shareholding in GNGC to GNPC. GNPC is thus now the sole shareholder of GNGC and now has full control over GNGC.
The consolidation of the two entities which is aimed at integrating the management of the two oil and gas establishments was announced by the Finance Minister Seth Terkper during the 2015 budget presentation on the floor of parliament last month.
The consolidation of GNPC and GNGC according to the Finance Minister, “will make it possible to enhance a more integrated management and continue financing of projects in the oil and gas enclave immediately.”
Mr. Terkper added that the consolidation of the two entities will also “make it possible to ease the conditions that investors impose on the national gas aggregator and start financing projects in the oil and gas enclave immediately.
Read below the full statement from the Ministry of Petroleum and Energy on the GNGC-GNPC consolidation:
In its 2015 Budget and Financial Policy Statement, Government of Ghana (GoG) announced its policy commitment to consolidate the petroleum sector to reduce costs and transaction time and to improve value, efficiency, and sustainability of outcomes for the Ghanaian public. Specifically, GoG announced the impending takeover of Ghana National Gas Company Limited (GNGC) by the Ghana National Petroleum Corporation (GNPC).
Pursuant to this policy GoG on 3rd December, 2014 appointed PricewaterhouseCoopers (PwC) Ghana Limited as Transaction Advisor with respect to the GNGC take-over and has since commenced its work in earnest. PwC will also assist with the successful integration of GNGC into GNPC post acquisition.
GoG has executed the legal instrument assigning its entire shareholding in GNGC to GNPC. GNPC is thus now the sole shareholder of GNGC and now has full control over GNGC.
Signed
Edward A Bawa
Head of Communications