Ghana is developing West Africa’s first integrated petroleum hub, with the aim of enhancing regional fuel security and reducing petroleum costs. The hub is being developed in three phases between 2024 and 2036. The first phase, which broke ground in 2024, includes a 300,000-barrel-per-day (bpd) refinery, a 90,000-bpd petrochemical plant, storage tanks and marine port infrastructure.
During the Invest in African Energies: Accra Investor Briefing on April 14, Dr. Toni Aubynn, CEO of the Petroleum Hub Development Corporation, shared details on the investment opportunities tied to the hub. He remarked: “Our responsibility is to ensure that we bring the ideas of the state into reality: that is to build three refineries and five petrochemical plants. Ghana will be the first to establish a facility such as this. We are going to rely on investors to develop these important industries. Our target is local investors.”
Ghana’s sole operating refinery, the Tema Oil Refinery, already plays a key role in reducing refined petroleum imports. Although the refinery has been operational since 1963, modernization efforts are underway to improve its units and increase productivity. Dr. Yussif Sulemana, Managing Director of Tema Oil Refinery, explained that the refinery’s success is driven by efficient work processes. “Short-term, our strategy is to maximize existing assets. Medium- to long-term, we are looking at a partnership and strategic investment. We have a lot of investors interested and are looking for capital injection and expertise.”
On the storage side, Ghana is investing in infrastructure to boost capacity and enhance its inter-depot pipeline networks. Bulk Oil Storage and Transportation (BOST), responsible for the country’s strategic fuel reserves, is working to strengthen industry infrastructure. Nana Amoasi VII, Technical Advisor of BOST, stated, “Going forward, we plan to double our fleet of barges and introduce a pipeline from Tema to the Accra Plains Depot. We want to develop another storage facility and ensure that we use alternative fuels.”
In line with this surge in downstream investment, Ghana is also prioritizing local content and human capital development to unlock greater value for the local population. Kwaku Boateng, Director of Economics and Local Content at Ghana’s Petroleum Commission, emphasized, “We need to maximize the oil and gas industry, and to achieve the stability of the hydrocarbon industry, we need local content. At the Petroleum Commission, we have a strategy to ensure that across every petroleum activity, there is a Ghanaian possibility. Ghanaian companies are strong partners to the international oil companies.”
However, further work is needed to strengthen Ghana’s workforce capacity. David Pappoe, President of the African Energy Chamber in Ghana, pointed out that both the government and private companies have roles to play. “Ghanaian companies have to build capacity… Without human capacity, technology and knowledge, you cannot compete. We want to drive collaboration across the African continent. Through collaboration, we will be on our way to ending energy poverty.”
The Invest in African Energies: Accra Investor Briefing served as a prelude to the African Energy Week: Invest in African Energies conference, taking place from September 29 to October 3 in Cape Town. The event highlighted commercial oil and gas opportunities in Ghana, setting the stage for further discussions and deal-making in Cape Town.
