The Ghana National Gas Company Limited has officially taken ownership of the Ghana Cylinder Manufacturing Company Limited (GCMC), following the latter’s financial difficulties, including a recorded loss of GH¢4 million in 2021. The acquisition is seen as a strategic move by the government to revitalize the cylinder manufacturing company and enhance its capacity to meet customer needs more effectively.
This significant development was announced at a ceremony held in Accra, where the Minister of State at the Ministry of Energy, Herbert Krapa, praised the acquisition as an important step forward for both companies. He emphasized that this move would play a crucial role in improving cylinder production in Ghana, while also aligning with the country’s broader energy goals.
In his remarks, Krapa highlighted the President’s instrumental role in approving the acquisition, stating that the decision to bring the Ghana Cylinder Manufacturing Company under the management of Ghana National Gas had been carefully considered. He acknowledged the collaborative efforts that led to this milestone.
“What we are celebrating here today, I believe, is the culmination of different milestones. Starting with the President approving the acquisition of cylinder manufacturing by the Ghana National Gas Company, and I think the President deserves all our applause for that,” Krapa said.
He also commended the leadership of the Ghana National Gas Company for their proactive approach in acquiring GCMC, stating that several other companies had expressed interest in the acquisition. However, Ghana National Gas presented a compelling case that made it the ideal partner for the cylinder manufacturing company’s future.
“I think we also need to acknowledge the Ghana National Gas Company for stepping up and taking the responsibility of acquiring the Ghana Cylinder Manufacturing Company. I joined the Ministry of Energy at a time when the conversation about the acquisition was ongoing,” Krapa explained.
“It was not only Ghana Gas who was interested in this acquisition, there were other interested parties, and Ghana Gas put on such a compelling case that it was just impossible to ignore the benefit and the future that cylinder manufacturing partnership with Ghana Gas holds,” he added.
This acquisition is expected to bolster the production capacity of the Ghana Cylinder Manufacturing Company, allowing it to increase the number of cylinders it produces and better serve the growing demands of its customers. The company has faced significant challenges in recent years, struggling to remain competitive in the market due to financial difficulties and operational inefficiencies.
With the support of Ghana National Gas, GCMC is expected to leverage its new resources and expertise to expand its operations and improve its manufacturing processes. This partnership is seen as a crucial step towards ensuring the company’s long-term sustainability and its ability to contribute to Ghana’s energy sector.
In addition to enhancing cylinder production, the acquisition is also aligned with Ghana’s broader environmental goals. Genevieve Sackey, the Managing Director of the Ghana Cylinder Manufacturing Company Limited, emphasized the importance of this acquisition in supporting the country’s transition to a low-carbon economy. She noted that GCMC is committed to adopting sustainable practices that will not only benefit the company but also contribute to Ghana’s environmental and energy targets.
“Launching the new GCMC represents not just a local change. It demonstrates Ghana’s dedication to upholding global environmental, social, and governance standards. By adopting sustainable production methods and advocating for clean energy, we are positioning Ghana as a pioneer in shaping a low-carbon economy,” Sackey said during the ceremony.
The acquisition marks a pivotal moment for the Ghana Cylinder Manufacturing Company, as it embarks on a new chapter under the management of Ghana National Gas. The collaboration between these two companies is expected to create synergies that will strengthen Ghana’s manufacturing capabilities and support its broader energy and environmental goals.
The government has emphasized that the acquisition is part of its efforts to modernize the energy sector and ensure that key industries, such as cylinder manufacturing, are well-positioned to meet the demands of the future. With the support of Ghana National Gas, GCMC is expected to play a critical role in the country’s energy transition, helping to provide clean and sustainable energy solutions to Ghanaians.
Looking ahead, both the Ghana National Gas Company and the Ghana Cylinder Manufacturing Company have expressed optimism about the future of the partnership. The acquisition is expected to bring significant benefits to both companies, as well as to the wider energy sector in Ghana.
As the Ghana Cylinder Manufacturing Company begins this new phase, it will continue to focus on innovation, sustainability, and growth, with the aim of becoming a leader in cylinder production both locally and internationally. Through this partnership, Ghana National Gas and GCMC are expected to contribute significantly to the country’s economic development and energy transformation.
In the long term, the acquisition is seen as a key step towards building a more resilient and sustainable energy sector in Ghana, with the potential to create jobs, boost local manufacturing, and support the country’s efforts to transition to a low-carbon economy.
