GHANA OFFSHORE CAPE THREE POINTS OIL BLOCK DEVELOPMENT PHASE 1 FINAL ENVIRONMENTAL AND SOCIAL IMPACT ASSESSMENT DOC 000415_DV_CD.HSE.0208.000_00 Eni S.p.A. Exploration & Production Division JULY, 2015 Eni S.p.A. Exploration & Production Division Doc. 000415_DV_CD.HSE. 0208.000_00 GHANA OCTP BLOCK Phase 1 - ESHIA 1 of 279 Ghana OCTP Block Phase 1 ESHIA ABSTRACT This report outlines the conditions of the environment that will house the project, describing the identification of any potential significant and adverse environmental, social and health effects and identifying the environmental resources and social and health aspects that could be impacted. F. Cavanna 17/06/2015 05 Final Version E. Lago Revision Date Revision Prepared Checked Approved Description This document is a property of eni S.p.A. who will safeguard its rights according to the civil and penal provisions of the Law Eni S.p.A. Exploration & Production Division Doc. 000415_DV_CD.HSE. 0208.000_00 GHANA OCTP BLOCK Phase 1 - ESHIA 2 of 279 Summary of Revisions Date Rev. Revision Description Prepared Checked Approved J. Deffis Issued for submission to ESL-eni G. Nicotra F. Cavanna 16/06/2015 04 Authorities TEAM A.K. E. Lago Armah J. Deffis Issued for submission to ESL-eni G. Nicotra F. Cavanna 20/01/2015 03 Authorities TEAM A.K. E. Lago Armah J. Deffis Issued for submission to ESL-eni G. Nicotra F. Cavanna 02/10/2014 02 Authorities TEAM A.K. E. Lago Armah M. Issued for submission to ESL-eni J. Deffis 09/04/2014 01 Leonardi Authorities TEAM A.K. Armah T. Bentil M. ESL-eni J. Deffis 20/03/2014 00 Issued for comments Leonardi TEAM A.K. Armah T. Bentil Eni S.p.A. Exploration & Production Division Doc. 000415_DV_CD.HSE. 0208.000_00 GHANA OCTP BLOCK Phase 1 - ESHIA 3 of 279 TABLE OF CONTENTS 1 INTRODUCTION 7 1.1 BACKGROUND OF THE PROJECT 7 1.2 OVERVIEW OF OIL AND GAS INDUSTRY IN GHANA 9 1.3 PROJECT PROPONENT 10 1.4 PURPOSE OF E(SH)IA 10 1.5 THE ESHIS TEAM 11 1.6 ESHIS PROCEDURAL FRAMEWORK IN GHANA 12 1.6.1 Registration 13 1.6.2 Screening 14 1.6.3 Scoping / Terms of Reference 14 1.6.4 From E(SH)IA to E(SH)IS 15 1.6.5 Environmental Permitting Decision 17 1.7 REPORT STRUCTURE 17 2 PROJECT DESCRIPTION 19 2.1 INTRODUCTION 19 2.2 PROJECT JUSTIFICATION 19 2.2.1 The Need for the Project 19 2.2.2 Project Key Drivers and Benefits 19 2.2.3 Envisaged Project Sustainability 20 2.3 PROJECT OVERVIEW 21 2.3.1 Background 21 2.3.2 Overview 21 2.3.3 Project location 24 2.3.4 Project Execution Schedule 25 2.3.5 Project Options 26 2.4 CONSTRUCTION PHASE 26 2.4.1 Well Drilling and Completion 26 2.4.1..1 Sequence of operations 26 2.4.1..2 Drilling Activities 27 2.4.1..3 Production Tests 34 2.4.1..4 Completion Activities 34 2.4.1..5 Techniques to Prevent Environmental Risks during Drilling 37 2.4.1..6 Drilling Parameters Monitoring 39 2.4.1..7 Estimated Drilling and Completion Duration 39 2.4.2 Laying of Risers And Flowlines (R&F) 39 2.4.3 FPSO AND MOORING SYSTEM INSTALLATION 44 2.5 COMMISSIONING PHASE 56 2.6 OPERATIONS PHASE 58 2.6.1 FPSO Operational Components 58 2.6.2 FPSO Control & Safeguarding Systems 60 2.7 DECOMMISSIONING AND ABANDONMENT PHASE 65 2.8 NATURAL RESOURCES CONSUMPTION, WASTE GENERATION, AIR AND NOISE EMISSIONS DURING FPSO OPERATION 66 2.9 PROPOSED PROJECT CONTINGENCY PLAN 66 3 LEGAL REQUIREMENTS AND POLICY FRAMEWORK 67 3.1 NATIONAL LEGISLATION 67 3.1.1 The Ghanaian Constitution 67 Eni S.p.A. Exploration & Production Division Doc. 000415_DV_CD.HSE. 0208.000_00 GHANA OCTP BLOCK Phase 1 - ESHIA 4 of 279 3.1.2 Environmental Protection Act 68 3.1.3 Environmental Assessment Regulations 68 3.1.4 Environmental Guidelines 69 3.1.5 Petroleum Legislation 69 3.1.6 Maritime Legislation 70 3.1.7 Water Resources Legislation 72 3.1.8 Pollution Control 72 3.1.9 Radiation Protection Instrument 74 3.1.10 Protection of Coastal and Marine Areas 74 3.1.11 Labour and other Social Responsibility Laws 74 3.1.12 The Local Content Policy 76 3.1.13 Summary of main applicable laws 77 3.2 INTERNATIONAL CONVENTIONS, INDUSTRY BEST PRACTICES AND STANDARDS 78 3.2.1 International Environmental and Social Performance Standards 78 3.2.2 International Protocols & Conventions 79 3.2.3 Industry Best Practices, Standards and Guidelines 80 3.3 ENI HSE POLICIES AND STANDARDS 81 4 BIOPHYSICAL BASELINE 84 4.1 GEOPHYSICAL AND ENVIRONMENTAL SURVEY 84 4.2 CLIMATE AND METEOROLOGY 88 4.2.1 Rainfall 89 4.2.2 Temperature 90 4.2.3 Relative Humidity 91 4.2.4 Barometric pressure at MSL 93 4.2.5 Wind 94 4.3 MARINE ENVIRONMENT (OCEANOGRAPHY) 94 4.3.1 Currents 94 4.3.2 Wind 96 4.3.3 Squall 97 4.3.4 Wave 97 4.3.5 Tides 99 4.4 BATHYMETRY, SEABED TOPOGRAPHY 100 4.4.1 Bathymetry 100 4.4.2 Seabed morphology 101 4.4.3 Shallow Geology 113 4.5 SEDIMENT AND WATER QUALITY 115 4.5.1 Sediment quality 115 4.5.2 Water quality 116 4.6 ATMOSPHERIC AIR QUALITY AND NOISE 125 4.7 PLANKTON 125 4.7.1 Phytoplankton Analysis 125 4.7.2 Zooplankton 129 4.8 BENTHIC ORGANISMS 131 4.9 CORAL REEF 132 4.10 CHEMOSYNTHETIC ORGANISMS 133 4.11 MARINE MAMMALS 136 4.12 SEA BIRDS 139 4.13 FISH ECOLOGY 142 4.13.1 Small pelagic species 142 4.13.2 Large Pelagic Species 142 4.13.3 Demersal Species 142 Eni S.p.A. Exploration & Production Division Doc. 000415_DV_CD.HSE. 0208.000_00 GHANA OCTP BLOCK Phase 1 - ESHIA 5 of 279 4.13.4 Deep Sea Species 143 4.13.5 Protected or Endangered Species 144 4.14 MARINE HABITATS AND PROTECTED AREAS 145 5 SOCIO-CULTURAL BASELINE 146 5.1 SOURCE CENSUS 2010, USAID 2010ADMINISTRATIVE STRUCTURE 146 5.2 HISTORY AND CULTURE 148 5.3 MACRO-ECONOMIC CONTEXT 149 5.4 DEMOGRAPHICS AND GEOPOLITICS 152 5.5 LOCAL ECONOMY AND LIVELIHOOD RESOURCES 155 5.5.1 Regional Economic Activities 156 5.5.2 Economic Activities at Coastal Districts 156 5.5.3 Economic Activities by District 158 5.6 LAND TENURE 160 5.7 WELFARE 161 5.7.1 Poverty 161 5.7.2 Education 162 5.8 SOCIAL INFRASTRUCTURE AND SERVICES 163 5.8.1 Water 163 5.8.2 Electricity 166 5.8.3 Telecommunications 167 5.8.4 Police Services 167 5.8.5 Fire Services 168 5.9 TRANSPORT INFRASTRUCTURE 168 5.9.1 Roads 168 5.9.2 Ports and Harbours 168 5.9.3 Airports 169 5.10 WASTE AND SANITATION 169 5.11 COOPERATION AND DEVELOPMENT 169 6 HEALTH BASELINE 171 6.1 REGIONAL HEALTH STATUS 171 6.1.1 Morbidity 171 6.1.2 Mortality 173 6.2 HEALTH STATUS IAT THE DISTRICT AND LOCAL LEVEL 174 6.2.1 Morbidity 174 6.2.2 Mortality 176 6.2.3 HIV/AIDS and Tuberculosis 177 6.3 HEALTH FACILITIES 180 6.3.1 Health Care Facilities 180 6.3.2 Traditional Medicine 180 6.4 HEALTH INFRASTRUCTURE 181 6.4.1 Health facilities in the Area of Influence 182 7 IMPACT IDENTIFICATION AND ASSESSMENT 187 7.1 ASSESSMENT METHODOLOGY 187 7.1.1 Potential Impacts Identification and Characterisation 187 7.1.2 Potential Impacts Indicator Parameters 188 7.1.3 Impacts Evaluation 188 7.2 EVALUATION OF IMPACTS ON THE BIOPHYSICAL ENVIRONMENT 190 7.2.1 Impact on Air Quality 190 7.2.2 Impact on Water Quality 191 Eni S.p.A. Exploration & Production Division Doc. 000415_DV_CD.HSE. 0208.000_00 GHANA OCTP BLOCK Phase 1 - ESHIA 6 of 279 7.2.3 Impact on Seabed and Marine Subsoil 207 7.2.4 Impacts on vegetation, flora, fauna and ecosystems 209 7.2.5 Underwater noise-generated impacts 216 7.3 IMPACTS ON THE SOCIO-ECONOMIC ENVIRONMENT 234 7.3.1 Disruption of Economic Livelihood Activities 235 7.3.2 Increased Government Revenue 235 7.3.3 Employment Opportunities Generation 236 7.3.4 Procurement of Goods and Services 237 7.3.5 Increase in Marine Traffic 237 7.3.6 Perceptions and Expectations of Local Communities 239 7.4 IMPACTS ON HEALTH 240 7.5 SUMMARY OF IMPACTS 240 7.6 CUMULATIVE IMPACTS 242 7.6.1 Seawater quality 242 7.6.2 Seabed 243 7.6.3 Air Quality 243 7.6.4 Underwater Noise 244 7.6.5 Marine Fauna and Flora 245 7.6.6 Economy and Employment 245 7.6.7 Livelihoods 246 8 MITIGATION AND MANAGEMENT MEASURES 248 8.1 IMPACT ASSESSMENT RECOMMENDED MITIGATION MEASURES 251 8.1.1 Mitigation of Impacts on the Biophysical Environment 251 8.1.2 Mitigation of Impacts on the Socio-economic Environment 252 8.1.3 Mitigation of Impacts on Health 254 9 ENVIRONMENTAL MANAGEMENT PLAN 255 9.1 EMP APPROACH 255 9.2 EMP OBJECTIVES 255 9.3 STRUCTURE AND RESPONSIBILITY 256 9.4 EMP IMPLEMENTATION FRAMEWORK 256 9.5 CORE ELEMENTS OF EMP 257 9.6 GUIDELINES FOR MITIGATION MEASURES 257 10 DECOMMISSIONING 258 SUMMARY AND CONCLUSIONS 259 REFERENCES 260 ANNEX 1 COPY OF SCOPING APPROVAL LETTER 276 ANNEX 2 EVIDENCE OF RESPONSE TO GHANA EPA SCOPING REPORT REVIEW COMMENTS 277 ANNEX 3 LIST OF ATTACHMENTS TO GHANA OCTP BLOCK PHASE 1 E(SH)IA REPORT 279 Eni S.p.A.