The Sale Of Valco, The Aftermath
The NPP led by its flag bearer who was a key minister in the NPP administration is shouting over the roof that the NDC is made up of thieves.
The NDC agrees with Former President Kufour that corruption began from Adam but unlike the NPP, the NDC has demonstrated its preparedness to fight corruption of all forms.
Volta Aluminum Company, known as VALCO, is an aluminium company based in Tema, Greater Accra Region founded by Kaiser Aluminum and now wholly owned by the government of Ghana was established under the leadership of Dr. Kwame Nkrumah in 1967 through a joint venture with Kaiser Aluminum and ALCOA, both based in the United States.
In May 2003 VALCO closed completely due to challenges with supply of electricity. Kaiser sold its 90% share in VALCO to the Government of Ghana in July 2004 for an amount of US$18 million. The Plant was reopened in early 2006. In June 2008, ALCOA sold its 10% stake in VALCO to the government of Ghana which assumed 100% ownership 42 years into the life of the Plant.
Sometime mid-2008, it was widely reported that the Parliament of Ghana ratified a Sale and Purchase Agreement (SPA) of 70% holdings of issued and fully paid shares of VALCO to International Aluminium Partners for US$175 million.
The terms of the SPA dictated the buyer to make an initial payment of US$25 million within 15 working days from the execution of the SPA and the outstanding amount of US$150.5 million is to be paid within 45 working days after VALCO has commenced production.
The reported consortium of the International Aluminium Partners was Brazilian Mining giant VALE and Norsk Hydro Aluminium Company of Norway.
Surprisingly, the Norwegian aluminium giant Norsk Hydro through its spokesman Stefan Solberg said in Oslo that they never entered into any agreement with the government of Ghana nor any company to acquire a 70% stake in VALCO.
The Reuters news agency also reported that both foreign companies mentioned in the deal document denied they had any plans to buy any stake in VALCO. A spokeswoman for Brazil’s VALE told Reuters in Sao Paolo that “there are no such plans to acquire any stake in VALCO’
Fellow Ghanaians after the NPP exited power in 2009, the supposed acquirer of stake in VALCO has not come forward and VALCO is still 100% owned by the Government of Ghana. The false acquisition of stake in VALCO by the so called International Aluminium partners is a clear case of thievery.
Our VALCO has just started scaling up its production level due to stable power situation, the NDC government is poised to keep VALCO and make it a lead part of our industrialization agenda.
A new NPP government would continue their unsuccessful plot for VALCO by selling its stake off to a ‘ghost’ company. VOTE NDC, SAVE VALCO for Ghana.
2016 Columnist: Ekpe, Naneta