NPA Warns Glencore Energy

Alhassan Tampuli

The National Petroleum Authority (NPA) has cautioned Glencore Energy UK Limited to halt its alleged illegal operations in Ghana’s downstream petroleum industry.

NPA issued the warning to the ‘international’ petroleum products supplier in a letter signed by its Acting Chief Executive, Alhassan S. Tampuli.

Glencore Energy, which claims to be an international oil supplier, has been accused by the Authority of engaging in downstream petroleum activities by importing (petroleum) products for storage and subsequent sale to Bulk Distribution Companies (BDCs), Oil Marketing Companies (OMCs) and bulk customers in the power subsector in Ghana without licence.

“On the basis of the above, you are hereby advised to suspend any such activities with immediate effect, failing which the Authority will have no choice but to take necessary legal action against your company,” NPA said in the warning letter.

It added, “Our records indicated that Glencore has not been licensed by the Authority to operate in Ghana’s petroleum downstream industry.”

However, Glencore Energy, in response to the allegations, said probably the Chief Executive of NPA might have been misinformed about its operations.

“Regrettably, it seems as though you have been provided with inaccurate information regarding our involvement in the Ghanaian petroleum industry,” Glencore said in a statement issued by its director, Andrew Gibson.

It said, “Our role is strictly limited to being international supplier of petroleum products.

“We do not (and have not at any time) undertaken any ‘business’ or commercial activity in the downstream industry in Ghana for the purpose of Section 11(I) of the Ghana National Petroleum Act 2005,” the energy company explained.

Mr Gibson told the NPA that “contrary to the information you have received, we do not sell (and have not sold) petroleum products directly to Oil Marketing Companies or Bulk Customers in the power sector in Ghana. We only sell to BDCs in Ghana.”

BY Melvin Tarlue

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