Ghanaian President John Atta Mills said Thursday his government will soon submit to parliament an oil and gas revenue management bill ahead of planned oil production in the last quarter of this year.
“Ghana is preparing an oil and gas revenue management bill to be submitted to the parliament for approval,” he told lawmakers while presenting his state of the nation address.
“The [Oil and Gas Revenue Management] bill will ensure transparency in management and will commit the bulk of the oil revenue to a shared growth fund to finance investments and infrastructure development,” he said.
Ghana plans to launch oil production from its Jubilee oil field in the last quarter of this year.
In June 2007, U.K. oil and gas company Tullow Oil PLC (TLW.LN) announced that it had discovered up to 600 million barrels of oil in the West Cape Three Points block off Ghana’s coast.
For foreign exchange income, Ghana’s oil is set to upstage the gold, cocoa and timber exports it previously relied on.
Industry sources say the crude found off Ghana is of a quality even easier to refine than the light, sweet crude found in Nigeria, one of the world’s largest oil producers.
Revenue derived from oil will be invested in the national power supply, with improvements to the road network and water supply, construction of a deep sea oil port and revamping railway lines, Atta-Mills said.
“These projects will not only create significant employment themselves but will also support the growth of other industries,” he told the parliamentarians.