The Marketing Department of GNPC was established in October 2009 to market the expected crude oil and gas production from the Jubilee Oil Field in 2010 and to manage on behalf of the Ghana Government, the Government-to-Government (G2G) crude oil allocation contracts executed with some countries. The marketing department is also called on by the Government to support the domestic market to avoid the shortage in petroleum products i.e. Gasoline and Gasoil. The main goal of the Department is the disposal of petroleum resources available to it in such a way as to maximize benefits to the Corporation and Ghana. It has the mission to source for petroleum resources at competitive prices, brand and market them in an environmentally safe, efficient and cost effective manner so as to increase shareholder value largely using Ghanaian expertise. The Marketing Department has a vision to become a major petroleum trader in the next decade.

The Marketing Department on behalf of GNPC works closely with the other equity partners of the Jubilee oil field (Tullow, Kosmos, Anadarko and PetroSA) to ensure smooth lifting operations and marketing of oil production, applying the Petroleum Agreement and the Crude Oil Lifting Agreement. The State of Ghana and GNPC (Ghana Group) have a total entitlement of 17.9588 percent in the Jubilee field. Since production commenced on 28th November 2010, there has been a total lifting of 161,084,916 million barrels of Jubilee Crude with Ghana Group's share as 29,065,882 million barrels, which represents 18.0 percent as at 31st December 2015. Details of Lifting’s are shown in Crude Oil Lifting’s link. The delivery of Gas to Ghana National Gas Corporation (GNGC) commenced on 8th November 2014. Since delivery commenced a total of about 26,117.44 million standard cubic feet (mmscf) of gas has been delivered to the Atuabo Gas Processing Plant as at 31st December 2015. Details of Delivered Gas are shown in Gas Deliveries link.

The Marketing Department is looking forward to the availability of more petroleum in the near future:

1. Up to 80,000 barrels of oil per day (bopd) in 2016 from the TEN (Tweneboa-Enyenra-Ntomme) project
2. Up to 30,000 barrels of oil per day (bopd) and 180 million standard cubic feet (mmscf) of gas daily in 2018 from the Sankofa project.

The Department gives support to other departments of GNPC as well as Management in matters of crude oil lifting and marketing. Similar support is given to MDAs (State ministries, Departments and Agencies). To become a major petroleum trader in the next decade, aggressive efforts are being made to improve human capacity, extend the scope of activities, provide the required infrastructure and establish a first class working environment that will put the Department in the same bracket as its peers.  The aim is to develop, create and institutionalize expertise in petroleum trading and marketing in Ghana that can be procured by the international community.
A successful Marketing Department will ensure maximum benefit of national petroleum resources to Ghanaians; it will contribute to national economic growth by way of revenue and job creation and above all will be a source pride to all.

ROLE OF THE MARKETING DEPARTMENT

1. The disposal of domestic produced crude oil and gas available to the state of Ghana and GNPC (eg. Jubilee crude oil)
2. Managing the Government-to-Government (G2G) Crude Oil Contracts e.g. Nigeria, Equatorial Guinea, Libya etc.
3. Importation of products
4. Supporting other departments of GNPC as well as Government ministries, departments and agencies with marketing information so that they can perform at optimum levels.

 CORPORATION’S MARKETING HISTORY
The major oil marketing companies in Ghana, which were entirely foreign owned imported crude oil on CIF basis for the GHAIP Oil Refinery (now known as the Tema Oil Refinery, TOR) to process for a tolling fee when the refinery was set up in 1963.
The oil marketing companies, which included Mobil, Shell, Texaco and BP obtained the foreign exchange from the Ghana Government. The huge demand of foreign exchange for the importation of crude oil prompted the Government of Ghana to take over the responsibility. The crude oil importation function was therefore transferred to the Ghana Supply Commission, which set up a Petroleum Department for that purpose. The Supply Commission then functioned under the Ministry of Finance. Subsequently, the Petroleum Department occasionally imported refined petroleum products to supplement production from the GHAIP refinery. There was a barter arrangement in place between Ghana and the erstwhile Soviet Union for the supply of cocoa in exchange for various products. Crude oil supply was then included in the deal. In 1981, the Petroleum Department was further transferred as an autonomous body to the Ministry of Fuel and Power.
In 1983/1984, two laws were established: (1) Ghana National Petroleum Corporation (GNPC) Law, 1983, PNDC law 64 and (2) PNDC Law 84 for Exploration and Production. Thus the functions of the Petroleum Department were extended to include petroleum exploration and production and it formed the nucleus of the Ghana National Petroleum Corporation (GNPC).

A marketing division was created in GNPC, whose budget had an allocation for exploration and production expenses supplemented by an exploration levy from the Ministry of Energy. The Marketing Division therefore once upon a time carried GNPC. The Marketing Division had three departments as follows: Export/Import (EXIM), Research and Domestic Operations. The Division was headed by an Executive Director and each faction by Managers. The era of the marketing Division was characterised by continuous, adequate and reliable supply of refined products at stable prices to the domestic market. The Ministry of Energy in September 1996 under the influence of the World Bank directed GNPC to transfer its marketing function to the Tema Oil Refinery. No staff member of the Marketing Department was joined in the transfer. The ‘cash cow’ of GNPC was therefore carried away leaving the Corporation of over six hundred workers with little source of revenue. The Marketing Division was dismembered as a result.

In 2009, TOR was adjudged to be reeling under heavy debts and could therefore not finance crude oil importation. The GNPC which had been streamlined, had achieved a sound financial health and was also on the verge of producing its own crude oil thus was directed to take over the supply of crude oil to TOR until the latter also achieved a clean and healthy financial balance sheet. Consequently, a Marketing Department was re-established in October 2009. The Marketing Department is headed by two Managers, with a backroom staff of nine. Between October 2009 and May 2012, GNPC imported 18.446 million barrels of crude oil out of which 9.765 million barrels were delivered to TOR for processing and the balance sold on the international market.


JUBILEE UNIT CRUDE OIL LIFTINGS BY GHANA GROUP (1ST JANUARY, 2014 - 31ST DECEMBER, 2014)