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The government of Ghana is mobilising US$3.5 billion in new oil investments as part of efforts to reverse a significant decline in petroleum production and stabilise the country’s energy revenue outlook.
A joint KPMG–UNDP analysis, titled “2026 Budget Highlights,” reports that crude oil output has fallen by nearly 50% since its peak in 2019, posing risks to fiscal stability and long-term energy planning.
According to the report, production decreased from 71.4 million barrels in 2019 to an expected 36 million barrels in 2025. The decline is attributed to delayed investments, aging fields and the absence of major new discoveries in recent years.
To address the downturn, the government is pursuing a multi-layered plan involving fresh investment inflows, regulatory reforms and new exploration initiatives aimed at boosting both oil output and gas supply for power generation.
A major component of this plan is the commitment of US$3.5 billion through partnerships with international oil operators. Officials say the capital injection reflects renewed interest in Ghana’s upstream prospects.
The Ghana National Petroleum Corporation (GNPC) is also expected to commence onshore exploration in the Volta Basin in 2026. Major industry players, including Shell, have expressed interest in participating, introducing additional capital and advanced drilling technology.
Ghana’s commercial oil production began with the Jubilee Field in 2010 and reached a peak of approximately 195,000 barrels per day in 2019. Since then, production has trended downward, increasing pressure for reinvestment and updated regulatory measures.
The KPMG–UNDP report states that sustaining investor interest will depend on macroeconomic stability, transparent regulations and disciplined fiscal management. It recommends fast-tracking upstream regulatory reforms, including:
✓An open and competitive licensing system for new oil blocks
✓Strengthening local content requirements to expand participation of Ghanaian engineers, technicians and service providers
The report states that these measures would support investment attraction and improve transparency across the sector.
The government’s US$3.5 billion investment mobilisation is positioned as a central component of ongoing efforts to stabilise production levels and reinforce the country’s oil and gas development plans.
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