Volta River Authority’s indebtedness to the Ghana National Gas Company has shot up to over $350m for the supply of lean gas for power generation.
Dr George Adjah-Sipa Yankey, the Chief Executive Officer (CEO) of the Ghana National Gas Company (GNGC) who revealed this during Nzema Excellence awards said, Ghana Gas has failed to service the Chinese Development Bank as result of this debt.
He, however, expressed optimism that if VRA redeemed its indebtedness, the gas company would pay the $1 billion loan within a period of five years.
The CEO said when Tullow Ghana had challenges with the turret bearing on the FPSO facility, it reduced its revenue generation because it could not process condensate and liquefy petroleum gas for sale.
“Now Ghana Gas has resumed processing 85 million Standard Cubic Feet (SCF) of gas a day, but it behoves the VRA to take all the processed gas for power generation since production will be sustained,” he said.
Dr Yankey was awarded the Nzema Personality of the Year for his immense contribution to the development of Nzemaland and the country at large.
Ghana National Gas Company, incorporated in July 2011 is a mid-stream gas business company with the responsibility to build, own and operate infrastructure required for the gathering, processing, transporting and marketing of natural gas resources in the country.