Tullow gains green light from Ghana government

Tullow Oil has been granted government approval for a large development offshore Ghana.

Tullow Oil has been granted government approval for a large development offshore Ghana.

The Tweneboa-Enyenra-Ntomme (TEN) project is expected to produce its first oil in 2016 at an anticipated production rate of 80,000 barrels of oil per day (bopd).

The TEN development is located in the Deepwater Tano Contract Area, where Tullow is operator and holds an equity interest of 47.175%.

Located 60 kilometres off the coast of Ghana and close to Tullow's Jubilee Field, the TEN project's development will require the drilling and completion of up to 24 development wells connected to a floating, production, storage and offloading vessel.

Tullow, which earlier on Thursday revealed it had abandoned another project offshore Cote D'Ivoire, stated that major contracts will now be finalised and awarded to develop the infrastructure and the development wells.

The group's partners in the contract area include Kosmos Energy with 17%, Anadarko Petroleum with 17%, Petro SA's Sabre Oil & Gas subsidiary with 3.825%, and the Ghana National Petroleum Corporation with 15%.

Tullow's Chief Executive Officer Aidan Heavey said TEN was an important project that will give Ghana its second major offshore development.

"The Government of Ghana have shown faith in Tullow and its partners again and has set us a number of important targets around local content and supply chain.

"I have every confidence that we will meet these targets and look forward to working with the Government of Ghana and with our partners to deliver the TEN Project."

Shares in Tullow Oil were up 2.4% at 1,054p at 13:25 on Thursday.

OH

Recommended

Share tips of the week – 22 October
Share tips

Share tips of the week – 22 October

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
22 Oct 2021
Three dividend stocks from the dynamic Asia/Pacific region
Share tips

Three dividend stocks from the dynamic Asia/Pacific region

Professional investor Sat Duhra of the Henderson Far East Income investment trust highlights three of his favourite stocks.
18 Oct 2021
Share tips of the week – 15 October
Share tips

Share tips of the week – 15 October

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
15 Oct 2021
Trading: stash the family cash in this cheap wealth management firm
Trading

Trading: stash the family cash in this cheap wealth management firm

Wealth management is a growth market. Rathbone Brothers should be a prime beneficiary – and looks cheap. Matthew Partridge explains the best way to pl…
12 Oct 2021

Most Popular

How to invest as we move to a hydrogen economy
Energy

How to invest as we move to a hydrogen economy

The government has started to roll out its plans for switching us over from fossil fuels to hydrogen and renewable energy. Should investors buy in? St…
8 Oct 2021
Properties for sale for around £1m
Houses for sale

Properties for sale for around £1m

From a stone-built farmhouse in the Snowdonia National Park, to a Victorian terraced house close to London’s Regent’s Canal, eight of the best propert…
15 Oct 2021
How to invest in SMRs – the future of green energy
Energy

How to invest in SMRs – the future of green energy

The UK’s electricity supply needs to be more robust for days when the wind doesn’t blow. We need nuclear power, says Dominic Frisby. And the future of…
6 Oct 2021