Oando said it has been selected as a Strategic Partner to the Ghana National Petroleum Corporation (GNPC) to develop assets and infrastructure to harness the gas that will be produced from the offshore Jubilee oilfield.

The oil field is rated as West Africa's current largest offshore deepwater discovery in over a decade, with proven reserves in excess of 300 million barrels of recoverable oil and a potential for 1.8 billion barrels. The project is valued at $1 billion.

Oando, in a statement said GNPC had shortlisted companies following a highly competitive bid process involving over fifty reputable local, regional and international corporations. From the initial fifty, five companies made the final selection from which Oando (Lead Developer) and Saipem (a globally renowned Oil & Gas engineering, procurement and construction firm) and Modec-Itochu (a Japanese oil & gas consortium) were chosen to form a joint consortium with GNPC.

The scope of the project includes the development of offshore and onshore high pressure gas transmission pipelines, Processing Facility, Liquefied Petroleum Gas and Condensate storage tanks, as well as other ancillary structures. The US$1 billion ultra-modern facility is planned to commence operations in the near future.

The Ghanaian Government has expressed its commitment to develop a world-class infrastructure that will process natural gas as fuel for existing power plants at Effasu and Takoradi both in the Western Region of the country.

The development is also planned to enable the sale of natural gas and derivatives to both domestic and international markets. In a proactive step to eliminate gas flaring from the Jubilee Field, the completion date of the project has been scheduled to coincide with the planned First Oil for Jubilee. This will form a model for the development of future oil and gas fields in the country.

Commenting, Mr. Bolaji Osunsanya, Chief Executive Officer, Oando Gas & Power, states, "This is a testament of Oando's high competence in the execution of gas projects and operations. With 100 km of gas pipeline infrastructure already built in Lagos, another 128 km under construction in the South East of Nigeria and a planned 100 km yearly expansion, this new partnership with GNPC to develop Ghana's first gas infrastructure, broadens our leadership frontiers in the gas transportation and distribution business within the West African sub-region."

Also commenting, Mr. Wale Tinubu said, "We are very proud to be part of this historic milestone in Ghana's oil and gas exploration. The Jubilee oilfield is set to further transform the Ghanaian economy and position the country as a key player in the Gulf of Guinea.

The choice of Oando is an affirmation of our track record at project delivery and creates an opportunity for us to extend the success recorded in building Nigeria's gas distribution pipeline system to other parts of West Africa. This is a fillip toward our drive to become the foremost energy company in sub-Saharan Africa, leveraging our tradition for execution excellence, capacity to undertake technical-intensive ventures and access to long-term financing."