Ghana Pays 90% of $75m Gas Debt to Nigeria
Ghana has settled 90 percent of the $75 million gas supply debts owed to Nigeria within the last three months, a reliable source familiar with the matter has disclosed.
The source confirmed the payment of $65 million to N-Gas, a subsidiary of the Nigerian National Petroleum Company (NNPC) Limited.
“Ghana paid the instalments of $37.5 million, $15 million and another $15 million, respectively, between February and April, out of the $75 million owed,” the source said.
The payment, which is part of a broader bilateral gas supply arrangement, falls under the responsibility of Nigeria’s state-owned gas entity.
N-Gas Limited was incorporated in 2004 as a private limited liability Company. The Company is jointly owned by the NNPC (62.35 percent), Chevron N-Gas Limited (20.00 percent) and Shell Overseas Holdings Limited (17.65 percent).
The Company’s main activity is to buy and sell natural gas shipped through the Escravos-Lagos Pipeline System (ELPS – NGC) and the West African Gas Pipeline (WAGP) to its customers in the countries of Ghana, Togo and Benin.
According to the source, the majority of the outstanding amount has already been cleared, though a smaller portion remains in process.
The revelation comes amid heightened attention following a public statement by Ekperikpe Ekpo, Nigeria’s Minister of State for Petroleum Resources (Gas), who urged Ghana’s President to ensure relevant agencies fulfil their financial obligations.
The statement read: “Ekpo also called on the Ghanaian leader to ensure that relevant agencies in his country are prompt in their financial obligations for gas supplies.
“He appealed to President Mahama to direct relevant authorities to expedite action on the proposed fiscal amendments to the WAGP Act to align with evolving operational realities and maintain regional harmony as enshrined in the Treaty.”
The minister’s comments had prompted renewed scrutiny over the status of payments, particularly by the Ghana National Petroleum Corporation (GNPC) and the power distribution companies.
However, efforts to confirm the exact figures with N-Gas, which plays a key role in the transaction, were unsuccessful. Aliyu Aminu, Managing Director of the company, declined to provide comments when contacted.
Prior to this, John Abdulai Jinapor, Ghana’s Minister for Energy and Green Transition, had announced in February that the Ghanaian government was gearing up for negotiations with N-Gas Limited to settle a portion of the debts.
Jinapor confirmed that N-Gas sent a formal notice warning of a potential suspension of gas supplies due to a total accumulated debt of $75 million.
“The government is focusing on resolving the problem. We will do everything possible to ensure that after the pipeline is cleaned, the flow of gas will resume to keep the lights on, because the health and growth of the economy depend on access to stable energy,” he said.
