News:
February 29, 2012
Parliament on Wednesday approved an off taker agreement between Ghana National Petroleum Company (GNPC) and UNIPEC Asia of China.
This will allow GNPC to sell Jubilee crude oil to UNIPEC Asia and to also lift from GNPC 13, 000 barrels of oil a day at a standard cargo size of 950,000 net US barrels.
The quality of the crude to be delivered is the normal export quality grade of Jubilee crude oil as available at the time of lifting at the Jubilee terminal.
The tenure of the agreement is fifteen and a half years but shall be terminated automatically at anytime prior to the expiration of the Master Facility Agreement (MFA).
All outstanding amounts under MFA are repaid in full and any commitments to provide financial accommodation are cancelled.
Whiles contributing to the debate, a section of the minority expressed concern that the agreement implies that government was using the state’s entire share of oil from the jubilee field to support the loan facility under the MFA.
However, the majority in response to the concern indicated that proceeds from the sale of the crude were to be paid into the Petroleum Holding Fund in accordance with section 3 (1) of the Petroleum Revenue Management Act 2011, Act 815.
After a heated debate between the 2 sides, majority voted in favour of the agreement, whiles the minority abstained.
Kwadwo Anim/Ghanamps.gov.gh