The Chickens always come home to roost-The Daily Graphic is reporting today that government has asked the Jubilee Oil Field Partners to review their costs for the expansion/development of the Tweneboa field as it believes the costs are abnormal. If you will remember, IMANI questioned the absurd development costs of the Jubilee phase 1a operations in July 2012 and guess what, the Ghana National Petroleum Corporation literally lampooned us with unflattering adjectives as “uninformed”, “unscientific”, “wrong” and "superficial".
In our preliminary article, titled "IMANI: How Overpriced is Ghana's Jubilee Oil Field Expansion Project?" (@ http://www.africanliberty.org/content/imani-how-overpriced-ghanas-jubilee-oil-field-expansion-project ) we justified our belief that the Jubilee development program was uncompetitive by comparing the cost/output ratio with similar projects elsewhere. In simple words, we looked at how much money had been spent on Jubilee and how much oil was being produced, compared those figures with the case elsewhere, and concluded that the project strategy was not giving Ghana value for money.
It is important to note that the more money that is spent on the project the longer it takes for the field to be profitable, the lower the taxes Ghana can collect, and the longer it takes for even those meagre taxes to show up.
Below are the time line facts.
IMANI: How Overpriced is Ghana's Jubilee Oil Field Expansion Project? http://www.africanliberty.org/content/imani-how-overpriced-ghanas-jubilee-oil-field-expansion-project .
GNPC came up with this "Jubilee Field Costs: IMANI's figures are superficial and unscientific" http://ghanaweb.com/mobile/wap.small/news.article.php? ID=245204
IMANI countered:
IMANI: GNPC confuses Ghanaians about abnormal jubilee costs @ http://business.myjoyonline.com/pages/news/201207/90656.php
