04 June 2025, In a significant boost to Ghana’s energy sector, a consortium comprising Tullow Oil, Kosmos Energy, PetroSA, Ghana National Petroleum Corporation (GNPC), and Explorco has signed a Memorandum of Understanding (MoU) with the Government of Ghana, securing the extension of production licenses for the West Cape Three Points (WCTP) and Deep Water Tano (DWT) blocks until 2040. These licenses cover the flagship Jubilee and TEN offshore oil fields.

The extension paves the way for the drilling of up to 20 additional wells in the Jubilee field alone, representing a long-term investment of approximately USD 2 billion. The Jubilee field, Ghana’s first commercial deepwater oil discovery, commenced production in 2010 via the Kwame Nkrumah MV21 floating production, storage, and offloading (FPSO) vessel. The TEN field followed in 2016, utilizing the FPSO TEN facility.

Tullow Ghana, a subsidiary of Tullow Oil and the operator of both fields, has mobilized the Noble Venturer drillship to support an ongoing development campaign, which includes six firm wells.

Ghana’s Minister for Energy and Green Transition, Hon. John Abdulai Jinapor, emphasized the strategic importance of the agreement, stating, “This MoU marks a significant step forward in our nation’s energy sector. Extending the licenses to 2040 demonstrates our commitment to fostering a stable and attractive investment climate. This will support economic growth, infrastructure development, and job creation.”

The extension is expected to significantly increase the consortium’s gross 2P (proven and probable) reserves, reinforcing Ghana’s long-term production capabilities. To enhance energy security and domestic gas supply, the joint venture also committed to raising gas production from the Jubilee and TEN fields to approximately 130 million standard cubic feet per day (mmscf/day).

Further, the agreement includes key measures to support the national economy and strengthen local institutions. These include a reduced price for associated gas from the Jubilee field, a guaranteed reimbursement framework for gas sales, and enhanced capacity-building investments for GNPC and the Petroleum Commission. These efforts will leverage advanced technologies to ensure the sustainable management of Ghana’s hydrocarbon resources.

This development underlines Ghana's focus on maximizing value from existing oil and gas assets while aligning with broader energy transition objectives. The strategic cooperation between the government and international oil partners sets the stage for long-term energy reliability, economic resilience, and inclusive growth.