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Ghana: The government takes action to resolve N-Gas's $75 million debt

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Ghana: The government takes action to resolve N-Gas's $75 million debt

The Ghanaian government is preparing to enter into crucial negotiations with Nigeria's N-Gas Limited next week. The aim is to pay 37.5 million dollars, part of the accumulated debt for the supply of gas to the country's power stations. The aim is to ensure uninterrupted gas supplies once the ongoing maintenance work on the pipelines is completed, scheduled for March 2, 2025.

John Abdulai Jinapor, Minister of Energy and Green Transition, underlined the importance of this commitment during a visit to the West Africa Gas Pipeline Company Limited (WAPCo) in Tema on Friday. He was keen to learn about the progress of the work and reaffirmed the government's commitment to resolving this critical situation.

The West Africa Gas Pipeline Company Limited (WAPCo), operator of the 569-kilometre gas pipeline linking Nigeria to Takoradi in Ghana via Tema, has temporarily interrupted gas transport since 5 February 2025. This interruption is to allow maintenance work to be carried out, including cleaning and inspection of the line.

Mr Jinapor revealed that N-Gas had recently issued a letter threatening to cut off Ghana's gas supply due to a total debt of $75 million accumulated over the years. "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.

The Minister also congratulated WAPCo and its partners on their commitment to meeting maintenance deadlines.

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Dr Isaac Adjei Doku, WAPCo's Managing Director of Corporate Affairs, assured that the current maintenance work would be completed by 2 March 2025, barring unforeseen circumstances. He explained that the temporary shutdown of the pipeline was necessary to allow a pipeline inspection gauge (PIG) to be launched to clean and inspect the interior of the pipeline, in accordance with current regulations.

To date, three PIGs have been successfully launched between Tema and Takoradi. The fourth PIG is underway and is due to be handed over in the early hours of Saturday 22 February. When it arrives, the final PIG, known as the "intelligent PIG", will be launched to finalise the process. This tool collects detailed data on the condition of the pipeline's interior.

As part of this work, WAPCo is also replacing two subsea valves located off Tema and Cotonou. The vessel in charge of these operations has been in position since Monday, around 18 kilometres offshore from the Tema regulation and metering station.

Thanks to these combined efforts, Ghana hopes not only to ensure the resumption of gas supplies, but also to strengthen the reliability of its energy network, a key issue for the country's economic and social development.

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