Ghana JV signs MoU to extend production licences to 2040

ACCRA, June 5, 2025 – The government of Ghana and JV partners Tullow Oil, Kosmos Energy, PetroSA, GNPC and Explorco have signed an MoU to extend the Jubilee and TEN production licences to 2040, Tullow said on Wednesday.

The agreement includes approval to drill up to 20 new wells in the Jubilee field and up to USD 2 billion in investment. It commits to increasing gas supply from the fields to around 130 mcf (3.68 mcm) per day, reducing the price of Jubilee associated gas and implementing a guaranteed reimbursement mechanism for gas sales.

The partners will also support technology-led capacity building for GNPC and the Petroleum Commission.

“The memorandum of understanding… marks a significant step forward in our nation’s energy sector,” Minister for Energy and Green Transition John Abdulai Jinapor said.

Tullow’s interim CEO Richard Miller called the deal “a valuable step forward,” while Kosmos CEO Andy Inglis said it creates “an attractive environment for new investment.”

Next steps include a Jubilee PoD addendum, new gas sales agreements and parliamentary approval for the licence extensions and payment mechanisms before the end of Q3 2025.

The Jubilee oilfield, Ghana’s first offshore development, came onstream in 2010 and is located in the West Cape Three Points block. It is serviced by the FPSO Kwame Nkrumah. The field holds estimated recoverable reserves of more than 370 million barrels, with upside potential of 1.8 billion barrels. As of October 2024, production stood at around 89,000 bopd.

The TEN oilfield, comprising the Tweneboa, Enyenra and Ntomme discoveries, is situated in the Deep Water Tano block and began production in 2016 via the FPSO Prof. John Evans Atta Mills. The field holds estimated recoverable reserves of approximately 216 million barrels of oil. As of 2024, gross oil production from the TEN fields averaged around 18,500 bopd. Both fields are key contributors to Ghana’s oil and gas output.

Photo courtesy of Tullow Oil

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