BOST wishes to inform the General Public and our Partners that there are sufficient quantities of fuel in the country, for this reason there is no fuel shortage of petroleum products in the country. The challenge now is the delivery of the product to the various depots across the country to ensure the oil marketing companies serve their filling stations.
We advise the general public particularly the Northern part of the country not to engage in panic buying of petroleum products as every effort is being made to address the problem.
The current issue aroused because of technical challenges BOST encountered at its Buipe depot between BOST and Tanker drivers over the mode of discharging of fuel into the Buipe depot which serves the Northern sector of the country. The stabilization of the markets is on-going and by the close of business tomorrow, the situation should return to normal.
BOST as a company has a policy to install flow meters in all our depots to accurately record quantities of petroleum products discharged from bulk road vehicles (tankers) into storage tanks at the various depots. The use of T-Bar in physical petroleum measurement has been found to be inefficient as this depends entirely on discretion of persons involved in the measurement, which are sometimes manipulated to the disadvantage of BOST resulting in product losses.
In the light of the above, BOST installed flow meters at its Buipe depot, and since the operationalization of the depot in January, 2011 products have been discharged into storage tanks by the use of flow meters. The Ghana Standards Authority has authenticated flow meters as an efficient way of dispensing the right quantities to the consumer.
As a result efforts are currently underway to install flow meters in other depots which still use T-Bar in products measurements. To give assurance to the drivers and all concerned that the meters operate accurately, they are verified regularly by the use of “prover tanks” calibrated for a fixed volume of product and passed through the meter to check its accuracy. This is also done by the Ghana Standards Authority.
We need to control the losses on the products entrusted into our care at the depots and this can be achieved by the use of flow meters to eliminate or reduce the level of human involvement in petroleum measurement.
On January 28, 2013, the meters were found to register inconsistent readings and in order not to create product shortages in the Northern sector of the country, the depot temporarily used the T-bar pending the rectification of the fault. Repair and calibration of the meters were completed on February 1, 2013 and the following day BOST was ready to resume product discharge through flow meters and invited the drivers to resume work. However, the tanker drivers insisted on the continuous use of the T-bar and this created the back log.
However, a meeting was held on Monday February 18, 2013 between BOST and the Tanker Drivers Union and an agreement has been reached on the processes and procedure for the discharge of the backlog of BRV’s (tankers). Discharge of products into the storage tanks resumed yesterday afternoon and this process will continue until the situation up North is regularized.
Mr. Salifu Nat Acheampong
Corporate Communications Manager
Processes towards constructing a gas storage terminal for processed gas, including liquefied petroleum gas (LPG) by the Bulk Oil Storage and Transportation Company Limited (BOST) have began earnestly, even as the company awaits its natural gas transmission utility (NGTU) licensing by the Energy Commission.
The project includes integrating all of BOST’s depots and involves a petroleum terminal at Pumpuni, 25-kilometres west of Takoradi in the Western Region, where processed gas from the Jubilee Oil Field would be stored. Valued at $235million, the project, which includes a network of storage facilities, tanks and pipelines as well as export and re-export facilities is to be funded largely under the $3billion China Development Bank (CDB) loan, the Master Facility Agreement (MFA) of which Parliament approved early this year, after it was first presented to the House in August 2011. A subsidiary agreement covering $200million dollars of the CDB loan, representing 85% of the total project cost, is expected to be passed by Parliament as one of three outstanding agreements, following the passage of nine others under the current phase of the facility.
“With the CDB facility, the basic project will involve having a petroleum terminal, at Pumpuni with 150scm storage Petroleum products, 20,000 gas coming from the gas processing plant from Atuabo.
Already, preparatory works are ongoing on a 300-acre land acquired by government under an Executive Instrument, with compensation payment totaling about GHC4.5 million also ongoing and expected to be completed by end of June this year. The compensation is part of the project cost.
BOST has selected Petrochem Engineering Services as Consultants for the front end engineering and design (FEED) works and they are currently carrying out the basic engineering work, including confirmation of hydrological surveys. “We have already done the feasibility studies; we’ have already done the environmental impact assessment; report is ready and we are working with the Environmental Protection Agency (EPA) for the necessary permits,” Dr. Akoto told The Business Analyst.
With government policy hinging on the gas component as the pivot on which a new growth pole to drive the economy rests, BOST, which currently manages a network of seven storage depots, ensures strategic stock reserves of 6 to 12 weeks products, is expanding its infrastructure.
Even though the entire project is estimated to take 18 to 24 months to complete, aspects of it such as the LPG storage facility construction is projected to be fast-tracked to coincide with the completion of the gas processing plant and pipelines by the Ghana National Gas Company (Ghana Gas), to terminate at Pumpuni, the site for the BOST storage facility.
Ghana Gas is scheduled to start taking delivery of the pipes to be laid from the shallow water, 14 kilometres from the Jubilee Field, as well as onshore transmission pipes covering over 100-kilometers to terminate at Pumpuni. The gas infrastructure project represents BOST’s flagship under a new mandate it is seeking to become the natural gas transmission utility.
BOST is seeking, under the expanded mandate, to transport the natural gas associated with the off-shore oil and gas production once the gas is piped on-shore. It already manages a network of 360-kilometres of pipeline. “BOST’s new mandate is to become the natural gas transporter, which means we would develop, build and manage the network of transmission pipelines we would need to move natural gas from its source to destinations such as markets and end users,” Dr. Akoto had told The Business Analyst.
Besides the gas infrastructure, BOST is going to construct both tanker and rail loading facility, a common berthing mechanism (CBM), to serve as an alternative distribution point to the only one at Tema.
First processed gas from the Jubilee Field, is earmarked to be wheeled from Atuabo, where the gas processing plant is to be located, to the Pumpuni facility for storage, from where it would be piped to fuel the Aboadze Thermal plant in Takoradi, to reduce the cost of generating electricity.
Besides Aboadze, the target markets for the processed gas includes power plants for cheaper electricity to process minerals such as bauxite, manganese and iron ore and the mining areas in the Western region.
Government has targeted also to boost domestic LPG requirements as well as natural gas liquids gas liquids for petrochemical industries, including fertilizer production. BOST’s original role has involved developing, owning, managing and maintaining a national network of storage depots and petroleum pipelines to facilitate the smooth bulk transportation, storage and distribution of petroleum products The company, which was established in 1993, distributing refined petroleum products from its depots that are strategically located around the country and has since built significant capacity, with some of its technical personnel currently involved in the Ghana Gas project.
The Bulk Oil Storage and Transportation Company Limited (BOST) is in the final laps of preparations to construct the largest petroleum terminal and strategic depot in the country that will create 500 new permanent jobs.
The US$200-million BOST Petroleum Terminal to be sited at the coast of Atwereboanda in the Pumpuni Traditional Area of the Ahanta West District, Western Region, will be linked with rail wagons, offshore pipelines and other transmission devices to receive and transmit processed natural gas from the Jubilee Field.
The Managing Director of BOST, Dr YawAkoto, said the Pumpuni Terminal would be the biggest strategic petroleum depot in the country and was intended to be the petroleum hub for West African.
DrAkoto disclosed this on March 15 when he led a delegation to pay a courtesy call on the Ahanta West District Coordinating Council as well as the chiefs and people of Pumpuni, the people who have willingly given their land for the project.
BOST said it would work closely with the community to design programmes to develop the skills of the people of the area for some of the high-end jobs such as oil terminal management and logistics, adding that the company would also support schools in the area to improve on the quality of education of that area.
“We want to be the hub and provider of oil and gas services in West Africa and we will want to partner the Western Region and the Ahanta West District in our quest to provide these services. Site preparations will start in the third quarter of this year and the project should take two years to complete,” DrAkoto explained.
BOST has already received an Executive Instrument from the government to acquire a 300-acre plot located on the Pumpuni reef for the state-of-the-art petroleum terminal which will include a dispatch centre to link to a transmission network for the distribution of processed natural gas from the Jubilee field and other newly discovered fields.
BOST has already completed the payment of compensation for economic crops on the land three years ago.
“The company is committed to ensuring that it offers fair compensation for the land that it has acquired and we will also continue with our corporate social responsibilities which we have done in other communities where we have depots,” the BOST managing director assured the chiefs and people.
The District Chief Executive for Ahanta West, Mr Joseph Dofoyena, said the district coordinating Council was aware of the project and had already started sensitising the people of the area to be respectful, law abiding and not ferment trouble.
He said in view of the rush for land in the area, the district had gone ahead to map the area and generated designs which it wanted developers to fit in.
MrDofoyena said his team would work with that of BOST to make the project fit into the design for the District and would also support the entire process to ensure that the project came into fruition.
Elders of the community took turns to thank BOST for selecting the area to site the project, dding that they would support it wholeheartedy.
They, however, appealed to the government, particularly to BOST to keep its pledge to develop the skills of the people so that they could easily be integrated in upcoming turn-key projects of the kind BOST was embarking upon.
Some youth in the community indicated to the GRAPHIC BUSINESS in an interview that they were readying themselves in anticipation of getting jobs in the oil and gas sector which was fast opening up the Western Region to investors.
One young man, Mohammed Yankey, already had skills in sand blasting, sand writing and spraying and had gone ahead to register a formal company to start business.
Another young man, Solomon Cudjoe, was an apprentice driver who was learning to drive and operate trucks and earthmoving machines.
BOST presented some food items to the community as a token to cement their already cordial relationship.
BOST’s new security plan saves millions of cediS; THE Bulk Oil Storage and Transportation Company (BOST) has rolled out a high level security control plan for all of its depots and transmission lines to protect life and property.
The measures, which is being implemented on pilot basis at its Kumasi depot, has helped the national transmitter of petroleum products to save a minimum of 10,000 litres of fuel a week through the banning of ‘jerry cans’ into BOST depots alone, while siphoning on the Tema-Akosombo Petroleum Line and other forms of pilferage are virtually nil.
The security breakthrough also arms BOST, which has been assigned the responsibility to transmit natural and processed gas from the Jubilee field, with the necessary institutional knowledge and capacity to ensure the security of the country’s natural gas resource.
The Managing Director of BOST, Dr Yaw Akoto, told the Daily Graphic in Accra today that in addition to the measures, the Office of the National Security Co-ordinator, has deployed an all-day, all week round high optimum security presence on the Tema-Akosombo Petroleum Pipeline, where BOST had experienced some losses.
He said the security measures were taken to reduce product losses and protect the lives of tanker drivers, BOST workers as well as the general public.
He said the Kumasi Depot was currently being used as a pilot and the success chalked so far had necessitated expansion to other control rooms of the company.
The up-scaled security measures include the development of security checklists and handbooks for staff, tanker drivers observe security measures right from entry into the depot until they left loaded with products, a 24/7 security presence operated by a private security company. Also mobile phones are not allowed in the depots by customers and tanker drivers.
Dr Akoto said the security patrol on the transmission lines would be expanded to the Accra Plains Depot would come on stream by the second quarter of this year.
“The rate of theft at the Kumasi depot is virtually nil and we will duly replicate this system across all our operational areas,” he stressed, adding that “I am happy that security consciousness is heightened to the extent that staff and visitors to the premises are now mindful of things they do at the depots and how they do them.”
He added with the kind of awareness created for all BOST stakeholders “our personnel don’t also compromise on security measures and all tanker drivers subject themselves to all the security procedures to ensure their own safety.”
The BOST managing director said repair works were currently on-going along the Tema-Akosombo transmission line where about four punctures had been detected.
Dr Akoto was grateful to the national security apparatus, particularly the National Security Co-ordinator, Col (retd) Larry Gbevlo-Lartey, for his personal role in ensuring security along the lines.