Fuseini Iddrisu
The General Transport, Petroleum and Chemical Workers Union has formally petitioned the Ministry of Energy over the unitisation directives concerning the Afina discovery in the West Cape Three Points Block 2 area (WCTP2) and the Sankofa field in the Offshore Cape Three Points area (OCTP).
This move comes in light of ongoing legal disputes initiated by Springfield Exploration and Production Limited against Eni Ghana and its partner, Vitol Upstream Ghana Limited.
In a press statement signed by it General Secretary, Fuseini Iddrisu, the union expressed support for the concept of unitisation, aimed at optimising petroleum resource recovery.
Mr. Iddrisu, however, raised concerns that the government’s failure to resolve the matter has adversely affected the investment climate for the OCTP Project, potentially leading to job losses among union members.
“We have observed with grave concern that the state’s failure to resolve this issue and bring a decisive conclusion to the matter has significantly impacted the investment climate of the OCTP Project, including the general upstream business environment, resulting in potential job losses for our members,” part of the statement read.
The union also referenced a recent Final Arbitration Award from an international tribunal, rendered on July 8, 2024, which underscores the need for the government to act swiftly to retract the directive.
In their petition, the union urged immediate intervention to withdraw the unitisation directives until all necessary parameters are addressed.
They believe that such action would restore confidence among OCTP partners and encourage continued investment in both the OCTP and CTP Block 4.
“We are confident that withdrawing these directives will help restore the OCTP Partners’ confidence, encouraging them to maintain their investments in OCTP and the CTP Block 4.
“This action will further help prevent decisions that could lead to job losses and negatively affect the state and the livelihoods of numerous families,” he said.
“It would further also boost investor confidence in the upstream sector considering that most upstream investors are interested in how this matter is being handled to its conclusion,” the statement added.
The union has, therefore, requested a meeting with government officials on August 26, 2024, to further discuss their petition and outline their concerns regarding the unitisation directives.
By Prince Fiifi Yorke