A minority worried about the renegotiation of the AGM petroleum deal

Company News of Thursday, May 2, 2019

Source: starrfm.com.gh

2019-05-02

The parliamentary minority has expressed strong concerns about the measures taken by the government to renegotiate the oil deal reached at the AGM concluded by the Mahama administration.

Speaking to the media on Thursday, as the government presented an amended agreement to Parliament, former energy minister, Emmanuel Kofi Armah Buah, warned that the amended agreement would go a long way. forget the Ghanaians.

If the amendment is approved by Parliament, the AGM oil block covering the South Deepwater Tano contract area will be handed over to Aker Energy.

According to Buah, the new agreement will reduce Ghana's participation in the block from 48 percent to 18 percent.

"It's a model of this government that is one way or another … always on the side of big business against ordinary Ghanaians and this is a model that should worry us.

This government is developing a tendency to be on the side of big business against ordinary Ghanaians, "Buah said.

"Why am I saying that?", He questioned, pointing out that under the old agreement the Ghanaian royalty was 10% and that because of the change in the law under the NDC, the minimum trading point was 15%, which showed renegotiation of the amended agreement.

But that was not the case, Buah observed, noting: "It's the places that worry me. The extra interest we had was 15% for Ghana. The extra interest that you do not make is the agreement that when you discover the oil and we badure you that you have the oil, we will buy 15% of the capital.

"In this deal, they reduce the 15% to 3%, then 24% of the GNPC subsidiary under the old agreement. In this agreement, they take all that 24% and make it zero.

"According to my initial calculation, this means that they reduce Ghana's participation in the amendment from 48% to 18%."

"Now, someone has to come and explain to the Ghanaian people how our participation, a country struggling so much for money, will reduce its stake from 48% to 18%. We must understand, "he asked.