Onasis Kobby is the Deputy CEO in charge of operations at PHDC
So NPA has confirmed that we currently have approximately six weeks of fuel reserves (with petrol stocks lasting around 6.8 weeks and diesel over 5 weeks as of late last week). This is refreshing news because least for the next few week we are unlikely to see dramatic increases in domestic fuel prices.
We can only hope that the escalating conflict involving Israel, Iran, and the United States does not drag on beyond those five to six weeks because prolonged disruption would have severe consequences for Ghana and many other import-dependent nations.
The New York Times and other sources are reporting that global oil prices have surged by as much as 13% since Friday, when tensions dramatically intensified following U.S.-Israeli strikes on Iran and subsequent retaliatory actions.
Brent crude briefly exceeded $82 per barrel over the weekend before stabilising in the high $70s to low $80s (currently trading around $78–$80 per barrel amid ongoing volatility).
The Strait of Hormuz, which is a critical chokepoint through which roughly 15–21 million barrels per day (about 20–30% of global seaborne crude trade) flows from major producers like Saudi Arabia, the UAE, Kuwait, and Iraq ehas seen tanker traffic drop by approximately 70% since the conflict escalated.
Shipping companies have largely paused transits due to heightened risks, insurance concerns, and Iranian warnings, which will inevitably drive global oil prices higher. Ghana, as a net importer, is not immune to these shocks.
Adding to the pressure, Saudi Aramco’s Ras Tanura refinery, one of the world’s largest, with a capacity of 550,000 barrels per day, has been forced to shut down today after being targeted by the Iranians in a drone attack.
I’m sure by now you know where I am heading with this. Amid this recent turmoil, Ghana and the African continent cannot continue bearing the full brunt of decisions made by distant powers with little regard for our unique vulnerabilities.
The current happenings in Iran, Venezuela and the Middle East, more urgently than ever, drum home the need for Africa-tailored infrastructure projects like the Petroleum Hub.
Imagine if Ghana already had a strategic facility capable of storing refined petroleum products for three months or more. We would not be watching global superpowers clash with the same level of anxiety over immediate supply shortages and price spikes.
The proposed Petroleum Hub includes storage tanks with a total capacity of 10 million cubic meters, enough to buffer the country for at least three to four months.
This is the time for Ghana and Africa to act and the Petroleum Hub is the perfect platform for this.
