Posted: Tuesday 10th June 2014 at 8:06 am

Imminent delay in completion of gas project as court stops Ghana Gas, others from working

eee5240x mg g40nfr5edy 5467611268421 418005948679 Imminent delay in completion of gas project as court stops Ghana Gas, others from working


Sekondi High Court has restrained the Ghana National Gas Company, SINOPEC, and three others from carrying on with any activity on the land on which they operate.

Ghana Gas and its partners are working to complete the  Ghana Gas Infrastructure Project at Atuabo in Western Region to enable the country produce its own gas by the end of the year.

The project, when completed is expected to process 150 million Standard Cubic Feet of raw gas per day from the Jubilee Oilfield.

The court slapped the firms with an interlocutory order restraining them from carrying on any activity on the land on which Ghana Gas operates until the company regularises its occupation with the Eastern Nzema Traditional Council in the next 14 days.

Justice Kofi Akrowia who presided over the case said he could not grant a permanent injunction applied by the Omanhene of the Eastern Nzema Traditional area, Awulae Amihere Kpanyinli III to restrain all work on the project until the case is determined.

The Omanhene strongly argues that the Ghana Gas company did not lawfully acquire land from the authority.

It’s unclear whether this new development will derail once more the completion of the gas project which government promised will be done by the end of the year.

Date for completion of the project has been shifted more than twice.

Other defendants in the case are Quantum Gas, the Ghana Oil Company (GOIL) and Ernest Nunoo, a private developer.

In view of this, the court restrained the defendants from carrying on all work on the project site for a period of 14 days, within which Ghana Gas should contact the chiefs and people of the traditional area to regularise its stay on the land.

Mr Justice Akrowia warned that should the defendants fail to take advantage of that leeway offered by the court, the injunction would then become permanent and the whole gas project would be brought to a resounding standstill.

In an affidavit in support of the suit, Awulae Kpanyinli said none of the companies had lawfully acquired the land from the traditional authority, adding that Ghana Gas initially approached the council and presented drinks indicating its preparedness to acquire the land.

It said regrettably the company never legally acquired the land and, in spite of various protests and petitions, it continued with the project.

Giving the order, the judge could not comprehend how a big national project such as the gas project could have been undertaken without due diligence on the acquisition of the land.

The very first thing the company was to have done, according to him, was to have legally acquired the land.

Ghana Gas is a mid-stream gas business company incorporated in July 2011 with the responsibility to build, own and operate infrastructure required for the gathering, processing, transporting and marketing of natural gas resources in the country.

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