The West African Gas Pipeline (WAGP) reverse flow project is progressing steadily and on course to be ready by the second quarter of 2018, before first gas flows from the Sankofa-Gye Nyame field, according to Ghanaian Energy Minister Boakye Agyarko.
Answering questions in parliament on November 17, Agyarko said that gas from Sankofa-Gye Nyame, which is situated approximately 57 km off Ghana’s coast in the Offshore Cape Three Points (OCTP) block, is expected to be running by the end of the second quarter next year.
At present, gas piped from fields in Western Ghana terminates at Aboadze in the Western Region. The reverse flow project will allow excess gas from the Eni-operated OCTP fields to flow further east to gas-fired power plants at Tema.
Agyarko updated lawmakers on a number of relevant agreements now in place, including a key tie-in agreement with the West African Pipeline Company (WAPCo) to transfer the gas to Tema. Also concluded is a gas transportation agreement (GTA) between WAPCo and the Ghana National Gas Co. (GNGC), Agyarko said. Cited by GhanaWeb, he said all other agreements are at their final stages. These include a construction management agreement (CMA) between Eni Ghana and WAPCo, a CMA between Eni Ghana and GNGC and a tie-in and interconnection agreement between WAPCo and both GNGC and Eni Ghana.
“All these agreements are being negotiated concurrently, since they are independent of each other. The most critical activities [signing of the GTA Term Sheet] and the award of the EPC contract have been undertaken and the project is on schedule to meet its completion date,” the minister said.
The ministry has tasked the parties with conducting a detailed hydraulic flow modelling study in order to ascertain the operational need for a second lateral pipeline at Tema. The parties involved include Eni Ghana, WAPCo, GNGC and Ghana National Petroleum Corp. (GNPC), with technical assistance being provided by the World Bank.
Owned by private investors and state backers, the existing 678-km WAGP takes Nigerian gas westwards across Benin and Togo to Ghana. Its challenges have included erratic supplies from Nigeria and payment problems for supplies received.