The Ghana National Petroleum Corporation (GNPC) held its first ever Annual General Meeting (AGM) on Wednesday, 21st December, 2016 at the Labadi Beach Hotel in Accra.
The Board of Directors of GNPC presented the Corporation’s 2015 Annual Report to its shareholder (Government of Ghana) represented by the Ministries of Finance and Petroleum. The Annual Report highlighted the operational performance as well as the consolidated financial statements of GNPC and the GNPC Group.
The Report contained also the Report of GNPC’s External Auditors, Ernst & Young and State Enterprises Audit Corporation.
In his statement, Mr. Felix Addo, Board Chairman of GNPC said a low oil price regime that characterized the year resulted in a 15% decline in the Corporation’s revenue. He said the 7th Board, which assumed office in the early part of the year under review was committed to pursuing GNPC’s Accelerated Growth Strategy.
Alexander Mould, Acting Chief Executive of GNPC, said GNPC’s asset base improved considerably during the year and added that despite the global slump in oil exploration, the Corporation leveraged strategic partnerships and signed four memoranda of understanding (MoUs) to enable the negotiation of Petroleum Agreements, pursuant to the Corporation’s strategic pillar of Replacing and Growing Reserves. He indicated that GNPC’s operations were impacted by the interim ruling of the International Tribunal for the Law of the Sea (ITLOS), which put a restriction on exploration drilling.
Enumerating the immense contribution of GNPC to national development, Mr. Mould said GNPC, in line with the Corporation’s gas aggregator role, assisted in resolving the chronic national energy crisis, by providing a US$100 million guarantee for two barges to add 450MW of power to the country’s installed capacity.
Accepting the report on behalf of Government, Hon. Emmanuel Armah-Kofi Buah, Minister for Petroleum expressed satisfaction with the performance of GNPC and its strategic direction. He applauded the Corporation for the important role it continues to play in the economy, especially in its new role as the National Gas Aggregator. He advised that GNPC should continue to engage its partners to ensure cost savings translate into lower gas prices.
He commended GNPC for being a strong organization but cautioned management to ensure that the Corporation did not go down on its knees like many state entities but continue to work efficiently to benefit the people of Ghana.
In his remarks, Dr. Camyntha Baezie, Executive Chairman of the State Enterprises Commission (SEC) commended GNPC for its unwavering commitment to the Commission's Performance Contract process. He noted that GNPC signed a voluntary contract with SEC for 2016 even though the Commission did not require that for the period. Dr. Camynta expressed pleasure at the growing transparency in the work of GNPC.
GNPC has embarked on a transformational agenda under the direction of its Board, and Management has rolled out a number of strategic initiatives to transform the Corporation into a high performance organisation, to ensure it achieves its goal of becoming a world-class oil and gas operator by 2027.
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