Khama Consulting Services

31/01/2024

What are the levels of investments made over the years into alternative energy sources such as solar in Ghana ? Is Africa ready to divestify from crude to alternative energy sources? Solor energy present a viable alternative

08/01/2024

Oil prices plunged by nearly 4% on Monday after Saudi Arabia signaled potentially weaker demand ahead by cutting the price of its oil across the board

19/09/2023

Falling crude inventories and the continuation of OPEC+ cuts have sparked an oil price contango, Brent trading above $94.74 per barrel

09/12/2022

Brent Crude futures stabilised and currently trading below $77/bb.
International benchmark dipped on an average by 10% this week amidst a potential recession next year

19/10/2019

Oil Marketing Company License (OMC) with Eight 8 Petroleum retail outlets and Two 2 Bulk Road Vehicles (Fuel tankers of 45,000 litres capacity each) are all going for sale. Interested buyers can contact me via 0243935882

26/10/2017

26/10/2017

The new website of Khama Consulting Services, kindly take a tour of our site and see what we have for your. Khama Consult, Innovative thinkers::: Regards

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21/10/2017

....... continued from 20th September post (Episode 2)

Alternatively, in 2005, the Parliament of Ghana passed the NPA Act 691 which mandated the National Petroleum Authority (NPA) to regulate, oversee and monitor activities in the petroleum downstream industry in Ghana (National Petroleum Authority Act, 2005).
The discovery of oil in commercial quantities in 2007 raised the expectations of stakeholders and consumers alike of the petroleum sector on its significant role and contribution to Ghana’s developmental efforts in accelerated economic growth, job creation, poverty reduction and general prosperity to the people of Ghana (National Energy Policy, 2010). Despite these expectations, energy supply in Ghana continues to be a bottleneck with countless instances of perennial petroleum product shortages. Reasons advanced for these shortages range from the delay of vessels supposed to discharge refined products and the inability of Oil Marketing Companies (OMCs) to obtain letters of credit from banks. Similarly, the shortages were blamed on limited nation-wide storage capacity and the inadequate revenues generated from sales of LPG due to cross-subsidization (Energy Outlook for Ghana, 2013). Government’s policy goal as outlined in the National Energy Policy document is to facilitate the universal access to adequate, reliable and cost-effective petroleum products such as Liquefied Petroleum Gas (LPG).

The linkages from upstream through mid-stream to downstream and vice versa are facilitated through various supply chain activities in the areas of logistics, aviation, marine, local content and vendor development strategy, and contracting and procurement.
Key Players in Ghana’s Downstream Petroleum Sector are;
Ministry of Energy and Petroleum. The Ministry of Energy and Petroleum plays a supervisory role of the sector. Its core duties are policy formulation, planning, monitoring and evaluating energy sector policies.
Ghana National Petroleum Corporation (GNPC). GNPC is the industry regulator for the Upstream Petroleum Sector of Ghana.
National Petroleum Authority (NPA). The NPA was established in 2005 by NPA Act 691 which mandated it to regulate, oversee and monitor activities in the petroleum downstream industry and where applicable do so in pursuance of the prescribed petroleum pricing formula.
Bulk Distribution Companies (BDCs) and Oil Trading Companies (OTCs). These companies have been licensed by the National Petroleum Authority (NPA) as bulk distributors. They also import crude oil, procure, store, distribute and sell petroleum products particularly to Bulk consumers. These entities also served as petroleum product suppliers in times of crisis. Additionally, the BDCs supply their products to Oil Marketing Companies who retail nationwide. The major BDCs in Ghana are Fuel trade, Cirrus, Chase, ECO, Vihama, Springfield, Ebony, Oil channel, Dominion, Alfa Petrol, Peace, Blue Ocean, TOR, PWSL, Hask and First deep water.

Oil Marketing Companies (OMC)/Liquefied Petroleum Gas Marketing Companies (LPGMC). These procure and sell refined petroleum products to bulk consumers and the general public through retail outlets like fuel stations and other reselling outlets. They also supply petroleum products in times of crises with the consent of the National Petroleum Authority....to be continued

20/09/2017

GHANA’S UPSTREAM AND DOWNSTREAM SUPPLY CHAIN ANALYSIS

Ghana’s petroleum industry, though relatively young has been touted as having the potential to moving the country from a developing country to a developed one. The country has a diverse and rich resource base that include gold, timber, cocoa, diamond, bauxite, and manganese. In 2007, an oilfield which may contain up to 3 billion barrels of light oil was discovered, and oil production at Ghana's offshore Jubilee field began in mid-December 2010. The growth of the industry is highly dependent on ensuring that petroleum products produced at the downstream sector of the industry are distributed consistently and timely to consumers through an effective and efficient supply chain system. Ghana’s oil and gas sector is emerging and very promising with strong legal and regulatory framework governing both the upstream and downstream petroleum operations. The total energy consumption in Africa is 41% of (Petroleum Industry, Wikipedia, 2013). In Ghana, petroleum products account for about 26% of total energy consumption (Ministry of Energy, 2010) and about 70% of Ghana’s commercial energy needs (Oil and Gas in Ghana - Overview, 2013). The Ministry of Energy estimates that the market for major petroleum products in Ghana will grow by 5.3% annually through 2015 and projects this figure is likely to increase if economic growth is sustained.
The petroleum industry includes the global processes of exploration, extracting, refining, transporting and marketing petroleum products. The industry is usually divided into three major sectors: upstream, midstream and downstream (Petroleum Industry, Wikipedia, 2013) see figure 1 below. The upstream is concerned with exploration and production, the midstream deals with storage, marketing and transportation of commodities like crude oil, natural gas, natural gas liquids (NGLs, mainly ethane, propane and butane) and Sulphur. The downstream sector involves oil refineries, petrochemical plants, petroleum products distributors, retail outlets and natural gas distribution companies. Midstream operations are considered a part of the downstream sector. In Ghana, the upstream sector is regulated by the Ghana National Petroleum Corporation (GNPC), whilst the downstream sector, the National Petroleum Authority (NPA). Ghana National Petroleum Corporation was established in 1983 by GNPC Law 1983 (PNDC Law 64) as a commercial strategic vehicle for state participation in the oil and gas industry. The Objects of GNPC asenshrinedinsection2(1) of PNDC Law 64 is: “to undertake the exploration, development, production and disposal of petroleum.” Alternatively, in 2005, the Parliament of Ghana passed ..
To be continued.

16/04/2017

A quick overview of the oil & gas industry explaining the differences between upstream, midstream, downstream & service .

The industry is composed of four main segments; upstream, midstream, downstream, and service. Upstream is actually getting the crude out of the ground. You often hear it called E&P or Exploration and Production. This is upstream.

The next segment is midstream. Midstream is basically moving that crude oil in natural gas. So midstream stuff such as pipelines, supertankers, rail cars.

Then, we move to downstream. Downstream is actually the refinery, the refining manufacturing and selling of the products from crude oil and natural gas. So downstream things such a refineries, retail loop stations, fertilizer which is big product of petrochemical refining, lubricants, motor oils, retail gas stations, and plastic which is another large product of crude oil.

Then, we move to the service companies. Service are companies that actually provide manpower and help in services the oil and gas industry, but they don’t produce any petroleum or petroleum products themselves. So you have everything from the guys that out there designing the rigs to the crew boats that move men and equipment back and forth to the actual roughnecks that do the drilling, to the manufacturer of drill stem, and things like subsea installations. Every bit of this is service.

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