GOGSPA applauds progress of Atuabo Free Port project
The Oil and Gas Service Providers Association, (GOGSPA), has applauded the progress made in the realization of Atuabo Freeport project to ease the congestion that has overwhelmed the Twin-City of Sekondi/Takoradi.
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Aside decongesting the cities, the Atuabo Freeport project also offers other ‘enormous benefits’ for the country, according to GOGSPA.
Describing it as strategic, the Executive Director of GOGSPA, Nuertey Adzeman, said the project was a significant public-private partnership aimed at creating a dedicated oil and gas port along the coast of Ghana to serve the emerging oil and gas industry for the entire West Africa.
Long overdue
“To those of us in the industry, a dedicated port facility should have been in place even before the oil and gas commenced since the activities of the industry are unique and must not intertwine with other commercial port services,” he said.
Mr Adzeman said the failure to set a dedicated port after of oil production had led to the current situation where every small space in the Sekondi/Takoradi Metropolis, including strategic military installations, had been overwhelmed by oil and gas activities.
He said court actions against the Atuabo port was making it difficult for members of GOGSPA to have an organised and dedicated port environment to work in order to improve service delivery and rake in revenue for the state.
The Jurong Example
Mr Adzeman said the Jurong Shipyard in Singapore - where the FPSO Kwame Nkrumah and others were built -started as a joint-venture between the government of Singapore and Ishikawajima Harima Heavy Industries, but has today emerged as a world class facility with more than four decades of experience in the marine engineering business and supporting the industry across the globe while also employing thousands of Singaporeans.
“I must say that today, Jurong Shipyard is a one-stop total shipyard offering a comprehensive range of services in ship-repair, shipbuilding, ship conversion, rig building and offshore engineering.
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“Therefore any action to hold back its development approved by Parliament of Ghana will be detrimental to the many service providers the industry requires and rob the country of the many job opportunities, skill transfer and sustainable development even after the oil resources runs out, he said.
To the service providers, the GOPSA Executive Director said the new port would provide it with the opportunity to develop its capacity to service the industry not only in Ghana but also in the wider regional market.
“With the Atuabo Freeport, local content can be given a major impetus with an increase in the country’s participation in the percentage of locally produced materials, the number of local personnel, and the amount of goods and services rendered in the petroleum industry value chain,” he added.
GPHA’s neighbouring competitors
Mr Adzeman urged Members of Parliament who went to court in defense of Takoradi Ports to rather lend their support for the Atuabo project.
“I must say that, indeed, the Atuabo Freeport project is complementary to that of Takoradi and will not displace any workers as suggested. The focus should be how Ghana Ports and Harbors Authority can position Takoradi and Tema Ports to withstand the competition from neighbouring countries.
“On the contrary, the new port will rather create more new job opportunities for Ghanaians, the fact is that there are several reserves in place from our projection, what is heading our direction is huge that it could not be handled by only one entity, and we foresee that even the free port would need support in future therefore there is no need for any interruption once the due processes were followed,” he said.
More FPSOs
Mr Adzeman expressed regret that the FPSO TEN project was being executed in Singapore with very limited Ghanaian participation.
He said: “Given the oil discovery of our West Coast, Ghana is expected to have at least six FPSOs in operation offshore Ghana.
“Fabrication work holds immense potential for service providers and the existence of a fabrication yard at the Atuabo Freeport will serve us well.
“The local content and participation provisions within our Petroleum Laws seek to promote the maximization of value addition through the use of local expertise, goods, services and materials in petroleum activities and the retention in country of as much activity as possible.”
At present he said, the manufacturing and industrial base of Ghana was, at this point in time, not sufficiently mature to take advantage of the growing opportunities in the oil and gas industry.
“As such, most goods utilized in the petroleum values chain are imported. GOGSPA therefore believe the Atuabo Free Port project would maximize in-country spending, build local capacity and help ensure technology and know ledge transfer,” he said.
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Bold Step
The GOPSA Executive Director commended government for its bold step in supporting the project, saying it would go a long way not only to strengthen the country’s technical expertise, but also export that manpower even to the global market place.
“It is a fact that, oil and gas is not a resource that last forever, therefore, there is the need to ensure more sustainable approach, by way of purposive investment in the development of the needed human resource to take over in the shortest possible time,” he said.
Mr Adzeman said whereas benchmark revenue from the oil and gas operations were defined, the country had an opportunity through the Atuabo Free Port to create another growth pole by exporting labour.