ABSTRACT
In discussing this chapter on Ghana’s current legal framework, a brief history of the country’s exploration exploits and a chronological analysis of the laws governing the upstream sector are presented. Also explored is the law governing petroleum discovery, the tenets of petroleum agreement and issues regarding associated and non-associated gas. Next is a discussion of the development of a work programme in which parties agree to the minimum work and expenditure obligations of the contractor during the initial exploration period and negotiation of these terms in each subsequent extension period. Moreover, the rights and obligations of contractors and subcontractors are spelt out. Other subjects highlighted include efforts at promoting local content, dealing with offences and penalties, and the significance of regulations. Thereafter, issues involving environmental protection, crude and natural gas production as well as decommissioning are addressed. Furthermore, petroleum income tax and the Petroleum Revenue Management Act (PRMA) are highlighted. The penultimate section sheds light on the legal mandate of the Ghana National Petroleum Corporation (GNPC), being mindful of the possible changes that would take place in the regulatory landscape when Ghana’s petroleum regulatory body is established. Finally, suggestions are made on how Government would gain optimal benefits in the petroleum sector through an effective legal regime.
