Volta Lake Transport in $35m cost tussle over purchase of oil barges – Report

Ghana’s Volta Lake Transport Company (VLTC) is said to be in talks to purchase oil barges, a push boat and a floating dry-dock owned by the Bulk Oil Storage and Transportation Company (BOST) at the cost of $35 million.

The purchase of the facilities is to facilitate transport movements on the Volta Lake which is offered by the VLTC.

The company is however, facing a tussle over the purchasing cost as the state-owned BOST wants a higher price for the facilities as against VLTC’s offer.

The Managing Director of the VLTC, Mr Martin Hiles, who confirmed the move, according to a Daily Graphic publication dated June 28, 2012, said currently there was a tussle between the VLTC and the BOST over the figure quoted.

Mr Hiles explained to the newspaper that while the former thought the cost of the machines should be less than what had been quoted, the latter was of the view that it was the right value.

A deputy Energy Minister, Mr Kofi Armah Buah is reported by the Daily Graphic as saying officials were working to ensure that an agreement was reached between the two parties.

An independent valuation of the fleet is said to be conducted soon to determine the actual value, officials have indicated.

By Ekow Quandzie