Ghana has secured a significant upstream energy boost with the signing of a US$1.5 billion Memorandum of Intent between the Government of Ghana, ENI, Vitol, and the Ghana National Petroleum Corporation (GNPC). The agreement, signed during the Africa Oil Week, is expected to expand the country’s oil and gas production capacity and reposition the energy sector for sustained growth.

Speaking on behalf of government, the Minister of Energy and Green Transition, John Jinapor, described the deal as a major vote of confidence in Ghana’s economy and its energy sector.

“This is not just a figure on paper; it is a vote of confidence in Ghana’s upstream petroleum sector, in our economy, and in our future. It is a commitment to job creation and a catalyst for the infrastructure that will power our nation forward,” Jinapor stated.

The agreement forms part of a broader integrated investment plan designed to optimise oil operations, strengthen collaboration with international partners, and drive Ghana’s transition toward sustainable energy. Jinapor stressed that the initiative is fully aligned with President John Dramani Mahama’s vision of building a business-friendly environment that fosters investor confidence while safeguarding Ghana’s national interest.

A key component of this strategy is the government’s Gas-to-Power Policy, which seeks to maximise the use of domestic natural gas for electricity generation. According to Jinapor, the policy will help improve energy security, reduce reliance on imported fuels, and ensure affordable, reliable power for households and industries.

He also assured that government is determined to reset the upstream petroleum sector by reversing recent declines in production and unlocking new opportunities for growth.

“We will continue to take bold steps to address the dwindling oil production witnessed in the last couple of years. This partnership with ENI, Vitol, and GNPC marks the beginning of a new phase of resilience and growth in our energy sector,” he said.

The $1.5 billion investment is projected to create thousands of direct and indirect jobs, support infrastructure development, and reinforce Ghana’s position as a competitive oil and gas hub in West Africa.

Industry analysts view the agreement as a timely boost, coming at a period when energy security and sustainable growth remain critical to Ghana’s industrialisation drive.