Ghana to Launch First Exploration Licensing Round in Q4 2018Source: Reuters 4/11/2018, Location: Africa
Ghana will launch its first exploration licensing round in the last quarter of this year offering about six offshore blocks, deputy energy minister Mohamed Amin Adam said.
Ghana currently produces 200,000 barrels of oil per day (bpd), led by its flagship Jubilee field which produces about 100,000 bpd, he said.
The west African nation, which became a significant oil producer in 2010 when it began pumping from the offshore Jubilee field, is keen to unlock its vast oil and gas resources.
Adam said global oil majors like BP, Shell and some independent producers have shown interest in acquiring a stake in oil assets in Ghana.
“We have asked them to wait for our first bidding round which is scheduled for the last quarter of this year,” Adam told Reuters in New Delhi. He said Ghana would put up another six offshore blocks for auction next year.
Drawn to Ghana’s hydrocarbon potential, ExxonMobil Corp recently signed a deal with Ghana to explore for oil in the Deepwater Cape Three Point offshore (DWCTP) oilfield.
Exxon is doing due diligence to find a local partner to explore the block, a condition required to operate a field in Ghana, he said.
“Once they select the local partner, we are ready to go to parliament for ratification,” he said. He refused to elaborate on the timeline for completing the deal.
Aker Energy AS, controlled by Norwegian billionaire Kjell Inge Roekke, agreed in February to buy Hess Corporation’s Ghana unit in a $100 million deal, gaining access to a 50 percent stake in the deepwater Tano Cape Three Points block.
The block holds an estimated 550 million barrels of oil equivalent in contingent resources and potential for a further 400 million barrels.
Adam said Aker may not have to pay capital gains tax on its transaction with Hess as the block is covered by a stability clause.
Stability clauses guarantee that the terms of an oil contract stay the same throughout its life.
“Some of our contracts are covered by stability clauses the contract with Hess was covered under a stability agreement so any transfer of ownership may not require capital gains tax,” he added.
However, he cautioned, the question is subject to interpretation by Ghana revenue authorities.
He said Italy’s Eni which has stake in two blocks in Ghana wants more blocks in the nation.
Ghana wants to be a petroleum hub for west Africa. It has drawn up plans to build four refineries of about 150,000 bpd each in the next 12 years, he said.
Ghana’s only oil refinery, the Tema Oil Refinery, processes about 25,000 bpd of oil, far below its capacity.
“Very soon we will launch a programme to attract investment into refineries,” he added.
Exploration News in Ghana >>
United Kingdom >> 7/16/2018 - Andalas Energy and Power Plc, the AIM listed upstream oil and gas and energy company has provided an update following the completion of its acquisitio...
Indonesia >> 7/12/2018 - Premier Oil has provided an update on recent operational activities and guidance in respect of its half year financials to 30 June 2018. ...
United States >> 7/12/2018 - In support of President Donald J. Trump's America-First Offshore Energy Strategy, Deputy Secretary of the Interior David Bernhardt announced that the ...
Ireland >> 7/11/2018 - Providence Resources P.l.c., the Irish based Oil & Gas Exploration Company, provides an update on Frontier Exploration Licence (“FEL”) 6/14 that conta...
Niger >> 7/11/2018 - Savannah Petroleum PLC, the British independent oil and gas company focused around oil and gas activities in Niger and Nigeria, is pleased to announce...
Australia >> 7/10/2018 - Triangle Energy has announced that the recently completed Static Model reveals up to 29 million barrels (unrisked, best estimate, evaluation date 2 Ju...
Cleaning Equipment, Services
Land & Leasing
Oil & Gas Companies
Transportation, 4X4 Trucks
Water Supply Services
Related Articles: Camp Building Cleaning Equipment, Services Communication Corrosion Products/Services Development Exploration General Labor Services Land & Leasing Mine Clearance Oil & Gas Companies Production Service Companies Transportation, 4X4 Trucks Utility Systems Water Supply Services Welding Products/Services
|Ghana Oil & Gas 1 >> 2 | 3 | 4 | 5 ||