Ghana has signed a landmark $2 billion memorandum of understanding (MoU) with a consortium of international and local partners to extend production licenses for its flagship Jubilee and TEN oil fields until 2040, solidifying the country’s ambition to become a leading oil and gas hub in West Africa.
Announced by the Ministry of Energy and Green Transition, the agreement involves Tullow Oil plc, Kosmos Energy, PetroSA, the Ghana National Petroleum Corporation (GNPC), and GNPC’s subsidiary, Explorco. The 15-year extension covers the West Cape Three Points (WCTP) and Deepwater Tano (DWT) blocks, which house the Jubilee and TEN fields. As part of the deal, the consortium has committed up to $2 billion in investments, including the drilling of up to 20 new wells in the Jubilee field. The initiative is expected to increase Ghana’s proven and probable oil reserves, expand natural gas supply, and help reduce domestic energy costs.
Energy Minister John Abdulai Jinapor described the agreement as a “transformational moment” in Ghana’s energy strategy. Key components of the MoU include plans to increase gas supply to around 130 million standard cubic feet per day, lower gas prices from Jubilee, and implement a payment guarantee system for gas purchases. The agreement also emphasizes technological upgrades, regulatory enhancements, and capacity building for GNPC and the Petroleum Commission to ensure sustainable and efficient energy development.
Tullow Oil’s acting CEO Richard Miller and Kosmos Energy CEO Andrew G. Inglis praised the strengthened partnership and highlighted its long-term potential to create value across Ghana’s energy value chain.
Next steps under the MoU include submitting an amended Jubilee development plan, finalizing gas sales agreements, and seeking parliamentary approval, all of which are expected to conclude by Q3 2025.
