An agreement has been reached with global oil companies and state-owned entities to prolong two major offshore production licenses until 2040. This move is expected to attract an additional $2 billion in investments, which will be utilized to enhance crude oil extraction and increase natural gas supplies.
The accord was disclosed in an announcement on Wednesday, June 4, 2025, and includes participation from the government, Tullow Oil Plc, Kosmos Energy Ltd., PetroSA, Ghana National Petroleum Corporation (GNPC), along with its affiliate Explorco.
According to the memorandum, the joint venture partners plan to drill as many as 20 extra wells in the Jubilee field throughout the duration of the extended licenses. The agreement also seeks to almost double the amount of gas delivered from these two offshore fields to approximately 130 million standard cubic feet per day, apart from focusing on oil production.
The gas pricing terms will also see a reduction, which is expected to help alleviate the government’s growing financial burdens related to the energy sector.
Energy Minister John Abdulai Jinapor stated that this Memorandum of Understanding represents a substantial advancement for our country’s energy industry.
All currently existing terms within the present petroleum agreements for the WCTP and DWT areas will stay the same, according to the confirmation from both sides. As the operator of the Jubilee field, Tullow views this extension as crucial for its sustained expansion in Western Africa.
The partners are additionally pledging to invest in both GNPC and the Petroleum Commission to boost their capabilities, particularly emphasizing the use of cutting-edge technology to refine field operations and strengthen regulatory monitoring.
The government aims to derive greater benefits from its hydrocarbon resources as it simultaneously gears up for an extended energy transition period. These prolonged permits offer the nation new opportunities to capitalize on its upstream capabilities while investigating routes toward reducing carbon emissions.
As per this memorandum, the collaborating venture partners are anticipated to extract up to 20 extra wells within the Jubilee field throughout the duration of the extended licenses. This expansion is projected to notably increase the total proven and probable (2P) reserves, thereby bolstering the nation’s energy stability and financial gains.
Provided by Syndigate Media Inc. ( Syndigate.info ).
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