The Government has been urged to review and abrogate all oil contracts signed by former President John Mahama.
According to Member of Parliament for Adansi-Asokwa and a former deputy Energy Minister, KT Hammond, the oil exploration companies have not renewed an initial three year deal they signed with the country despite their continuous lifting of oil.
Mr. Hammond made this known in Parliament during the debate on the President’s State of the nation address on Wednesday.
“Abrogate all of these contracts, Mr. Speaker if you look at these contracts, they are given three years to do appraisals…and all of that, Mr. Speaker all of these companies have gone past the three years…Mr. Speaker…In conclusion I say to this House that they have been misled…every drop of oil in this country has come about as a result of the first NPP administration and second NPP administration.”
Aker Energy announced in December that its oil exploration works in the Deepwater Cape Three Points block has been successful as it shows oil quantities estimated between 450 and 550 million barrels.
For this year, the government is expecting to rake in daily oil revenue of about $11.6 million.
This is expected to translate into yearly revenue of $4.23 billion.
The projected price for a barrel of crude by the government is 66.76 dollars.