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TICO justifies decision not to take gas supply from Tullow

  • SOURCE: | qwesa2big
  • tullow-oil-plc

    Managers of the T2 thermal plant in Takoradi have justified decision not to take supplies from Atuabo Gas processing plant.

    Joy Business Friday reported that the Takoradi International Company has turned down a request by Tullow to supply natural gas to the plant.

    But speaking to Joy Business, Managing Director of TICO, Nana Osafo Adjei says they were forced to do so because it is difficult to move to gas while running on crude oil.

    “Even though light crude oil is relatively expensive our fuel supplier, the VRA, had not choice than to nominate light crude oil because at the time of the start of the commissioning process Ghana did not have adequate supply of natural gas.

    “That is the only reason why over the last four days TICO with the support of VRA selected light crude oil to perform this final commissioning tests,” he added.

    The Volta River Authority currently provides fuel to power the plants.

    According some energy experts, the decision not to take the gas, could affect crude oil production on the jubilee field. Tullow Oil may also be forced to flare the gas.

    TICO decision to use crude could increase its input cost, a development that might also utility tariffs.

    According sorces close to Tullow Oil, it was planning to increase gas supplies from the current 54 million standard Cubic feet of gas from the Jubilee field to about 120 million.

    The T2 plant currently generates a little over 300 mega watts of power .

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