Eni Ghana Exploration and Production and Vitol Upstream Ghana have received a positive decision from an international arbitral tribunal regarding their unitisation dispute with the Republic of Ghana, ruling in favour of their long-standing opposition to the Ministry of Energy’s unitisation directives.
The international arbitral tribunal has concluded that the unitisation directives were wrong and unlawful and that Republic of Ghana's actions breached Ghanaian law and the terms of the OCTP Petroleum Agreement.
The ruling is also without prejudice to Eni and Vitol’s right to claim damages if the wrongful directives are henceforth enforced. Eni Ghana and Vitol remain committed to Ghana and to the OCTP project, a flagship project backed by the World Bank, which supplies Ghana a significant share of its gas for domestic use.
Eni and Vitol have consistently maintained their willingness to assess the case for and against unitisation if the process were conducted fairly, transparently and in line with best international practices and Ghanaian law.
However, they oppose the process adopted by the Republic of Ghana because of its failure to meet the applicable legal and industry requirements. Eni and Vitol value their relationship with the Republic of Ghana and hope this award will help bring this dispute to a close, thereby allowing all parties to focus on the continued development of Ghana's oil and gas sector.
Background
Eni and Vitol contested the actions of the Republic of Ghana, which had sought to compel a unitisation of the producing Sankofa oil field in OCTP with an adjacent discovery in WCTP2, the Afina discovery, which has not been appraised or tested.
Latest Stories
-
FirstBank Ghana expands footprint with new Nhyiaeso branch
18 seconds -
FirstBank Ghana pays courtesy call on Asantehene ahead of Nhyiaeso branch commissioning
6 mins -
CAF President blasts Ghana over Baba Yara stadium ban
10 mins -
GUTA calls for de-politicization of fight against galamsey
11 mins -
Police outlines guidelines for NDC’s nationwide demonstration against EC
26 mins -
Demystifying the claims of rip-offs and arbitrary charges in Ghana’s port sector—from the shipping lines perspective
37 mins -
EducationUSA: Ghanaian students in US benefit from $9 million Investment
50 mins -
Elections not about insults; be decent in your speech – Bawumia to Mahama
55 mins -
Reverse osmosis the most reliable way to filter water – Association of Packaged Water Producers
1 hour -
UG SRC Presidential Race: Court ruling has taught me a lot about life – Guru
1 hour -
Voazok Tours to hold Canada Agricultural Tour
2 hours -
Peace Council implements measures to ensure peaceful 2024 elections
2 hours -
Staff of banks involved in fraud increases by 46% in 2023; BoG expresses worry
2 hours -
NDC calls for public support for upcoming protest – W/R NDC Secretary
2 hours -
2024/25 GPL: Vision FC secure 2-0 maiden GPL win against Accra Lions
2 hours