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Ghana’s Cabinet has approved plans by the Ministry of Energy and Green Transition to develop a second gas processing plant, strengthening the country’s energy security and industrial growth. This initiative aims to maximise Ghana’s 2.1 trillion cubic feet of gas resources, supporting both electrification and economic development.
The African Energy Chamber (AEC), representing Africa’s energy sector, commends the government’s commitment to unlocking the full potential of its gas reserves. With gas seen as the fuel of the future in Africa, Ghana’s investment in infrastructure is a major step toward enhanced fuel security and industrial expansion. The addition of a second gas processing plant will significantly boost power generation and domestic gas utilisation, contributing to a more prosperous West Africa.
Ghana’s existing gas processing plant, the Atuabo Plant in the Ellembelle district, produces lean gas, liquefied petroleum gas (LPG) and condensate, supplying 150 million standard cubic feet per day (mmscf/d) of gas to power generation facilities. The new plant, located at the same site, will double processing capacity to 300 mmscf/d, improving energy supply for industries and reducing reliance on imported fuel.
This expansion is key to monetising gas from offshore oil projects, including the Jubilee and TEN fields, where Tullow Oil is ramping up production. With the Jubilee South East Project online since 2023, output has reached 95,000 barrels per day.
Plans to enhance gas handling on the TEN field’s FPSO and upcoming drilling programmes in 2025-2026 will generate significant associated gas volumes. The new processing plant will support domestic utilisation, minimise flaring and enhance overall energy efficiency.Ghana’s broader energy strategy includes 17 oil and gas projects planned for development by 2027.
Expanding gas processing capacity lays the groundwork for meeting rising industrial and power demands while positioning the country as a regional energy hub. At a recent press conference, Ghana’s Minister of Energy and Green Transition noted the plant’s crucial role in securing affordable energy, noting that the country requires $700 million worth of fuel to meet local demand.
AEC Executive Chairman, NJ Ayuk said, “By prioritising gas infrastructure, Ghana is not just expanding production capacity but paving the way for future growth in the oil and gas sector. The country is setting a model for how African nations can harness energy resources for economic growth. With this second plant, Ghana is on track to become a regional petroleum hub in West Africa.”
