Ghana’s petroleum sector is under increasing strain after the country lost nearly $600 million in revenue in 2025, according to a new report by the Public Interest and Accountability Committee (PIAC).
The report indicates that total petroleum receipts fell sharply by 43.27 percent, dropping from $1.36 billion in 2024 to $770.27 million in 2025. The decline is largely attributed to a sustained fall in crude oil production, which has now decreased for six consecutive years.
Production dropped from 71.44 million barrels in 2019 to 37.3 million barrels in 2025—an average annual decline of about 9 percent. PIAC attributes this to ageing oil fields, natural reservoir depletion, technical challenges, and limited investment in upstream exploration.
Operational inefficiencies are also compounding the problem. The report highlights high gas reinjection levels, particularly in the TEN field, where reinjection reached 81 percent, alongside the absence of revenue inflows from the field in 2025.
Additionally, Ghana’s petroleum revenue remains heavily concentrated in just two fields—Jubilee and SGN—leaving the sector vulnerable to shocks in production and global oil prices.
The report also raises concerns about non-compliance with revenue allocation laws. Only 0.43 percent of the Annual Budget Funding Amount (ABFA) was transferred to the District Assemblies Common Fund (DACF), far below the statutory minimum of 5 percent, a situation PIAC describes as a breach of legal requirements.
Further concerns were raised over the non-utilisation of $434.55 million allocated for infrastructure under the government’s “Big Push” programme, which remained parked in a suspense account throughout the year.
On governance, the report flags transparency gaps, including limited stakeholder engagement and inadequate disclosure regarding amendments to the Petroleum Revenue Management Act (PRMA).
The Ghana National Petroleum Corporation (GNPC) also came under scrutiny, with receipts declining by 61.55 percent. PIAC further identified $561.65 million in petroleum revenue that remains unaccounted for by Explorco, a subsidiary of GNPC.
Meanwhile, the Ghana National Gas Company continues to pose financial risks, with its debt still standing at over $620 million despite a marginal reduction.
PIAC is urging urgent reforms, including measures to attract new investment, improve production efficiency, and ensure strict adherence to revenue management laws. It also called for enhanced transparency, stronger oversight of state-owned enterprises, and the development of a long-term strategy to guide the use of petroleum revenues.
