The BOST officials taking deliveries of the pipes
AFTER A twelve-year delay, the Bulk Oil Storage and Transportation Company (BOST) Limited has taken delivery of some pipelines from the United States of America (USA).
The pipes arrived in Ghana on Saturday at the Tema Port and is expected to increase the Tema-Akosombo capacity in three folds from its current six inches to 12, thereby improving delivery of petroleum products within the country.
Unfortunately, 100 of the 5,400 of have been damaged. And an additional $8 million had to be used to repair these.
The equipment cost the country a total of $63 million. The company also spent additional $2.1 million for the shipment thereby increasing the total cost to $73.78 million.
Managing Director of BOST, Edwin Provencal, said that his outfit started the procurement of the pipelines somewhere in 2009 with an EXIM facility.
He mentioned the pipelines were stuck in Houston, USA due to contractual disagreement and payment challenges. He, however, said Government stepped in to resolve the issue.
Mr. Provencal explained further that the reactivation of the Bolgatanga Depot for export has made it necessary for high volumes of petroleum products to be transferred between
Tema and Akosombo for onward transmission to Buipe through the river barges.
“The loan was to support the expansion of oil storage capability of the pipelines between Tema and Akosombo from 6 inches to 12 inches and also to enhance the storage capacities of Accra Plains, Kumasi, Build and Bolgatanga depots,” he said.
He said the company looked forward to improving the proportion of product volumes carried through the cheapest transportation channel-barges and pipelines.
According to him, “With an initial refurbishment of the existing 6 inches line between Tema and Akosombo and the Buipe-Bolgatanga pipeline which stretches more than 270 kilometres, we are confident that this new pipeline will increase the volumes from Tema to Akosombo by three folds to increase turnaround time of the barges.”
He continued that it will tremendously improve on the utilisation and turnover of the company’s marine assets, adding that “the installation of this new line is expected to increase the utilisation of the Mami Water depot which is also serves as a booster station between Tema and Akosombo.”
He noted that BOST will attain its target of meeting the ever-increasing demand of the landlocked countries in the Sahelian Region at the lowest possible transmission cost.
Board Chairman of BOST, Ekow Hackman, noted that the pipes were seized by the manufacturers as a result of outstanding payment.
BY Vincent Kubi