It is unconstitutional for GNPC to use TEN oil field as collateral for a $431 million loan facility from LITASCO


The Minority in Parliament has asked the government to halt plans to utilize proceeds from the TEN oil field as collateral for a $431 million loan facility from LITASCO.

It is the argument of the Minority that the arrangement is illegal.

According to the Ranking Member on the Mines and Energy Committee, John Jinapor, the TEN oil field would be required to produce a minimum of 3.8 million barrels of crude oil each year for LITASCO as part of the loan agreement.


Addressing a press conference on Wednesday, September 20, 2023 he said although Parliament had rejected Ghana National Petroleum Corporation’s (GNPC) request to secure the loan until the terms and conditions of the agreement were provided, the presidency has directed GNPC to seek board approval for the loan without parliamentary consent.

“To our utmost shock, the minority side has become aware that the presidency is using coercive force to compel the GNPC to proceed and execute this loan agreement without parliamentary approval,” Jinapor said, adding “This is unconstitutional, this is unlawful and this is a blatant disregard to the directive and resolution of Parliament.”

He added some board members of GNPC have kicked against the loan agreement.

He commended them for their opposition to what is happening.

The lawmaker emphasized that the current situation is considered unconstitutional if GNPC proceeds with the loan agreement without parliamentary agreement.

By: Rainbowradioonline.com/Ghana

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