Renewed interest builds in upstream oil, gas sector

The country’s upstream oil and gas production is set for a major boost as two independent intranational oil and gas companies are busy offshore the Tano Basin  in the Western Region carrying out activities to boost production. 

The move by some operators Offshore Cape Three Point (OCTP) is coming on the back of the government's positive posture that has brought back the needed investor confidence after major international oil companies (IOCs) exited the country’s upstream oil and gas sector.

The restart of drilling activities and the renewed phase of investment demonstrates confidence in the new direction taken by the government and the country’s energy future and commitment to the oil and gas industry.
 

OTCP 

Currently, Eni Ghana together with its OCTP partners, Vitol Upstream Ghana Ltd (Vitol) and Ghana National Petroleum Corporation (GNPC), have launched a drilling operation around 60 nautical miles off the coast in close proximity to the John Agyekum Kufuor FPSO.

Eni Ghana and its partners have brought in a state-of-the-art drillship, Deep Value Driller (DVD), which has started drilling activities offshore, following completion of operations in Cote d'Ivoire.

Equipped with advanced automated technology, the rig ranks among the most advanced in the world in terms of operational performance and safety.

The move is part of the broader Sankofa field’s development plan.

At present, offshore hydrocarbon exploration and production activities estimated at the about 34,000 barrels of oil equivalent per day.

The current campaign is expected to see a major increase in oil output and followed by another campaign that will boost gas production.

Jubilee lead operator, Tullow, contracted Noble Venturer Drillship, which is currently in Ghana’s waters, to undertake drilling of the well JBE-P as a Jubilee Full Field Development oil producer well in the Jubilee South-East area of Jubilee Field.

Drilling and completion of the well is expected to span 60 days with initial production averaging 2,800 bopd in Q3 2025 and ramping up to 4,500 bopd in 2026.

A statement signed by the Spokesperson and Head of Communications at the Ministry of Energy and Green Transition, Richmond Rockson, said Eni Ghana and its OCTP partners, as well as Tullow Ghana and the Jubilee partners were restarting drilling operations in the Jubilee Field and OCTP fields respectively, all in the Tano Basin. 
 

Investor confidence 

That, he said, followed approval of the two drilling programmes by the Ministry of Energy and Green Transition and the industry regulator, Petroleum Commission

“These signal renewed investor confidence in Ghana’s upstream petroleum sector as government implements measures to revitalise the industry following a long period of low activity,” he said.

He pointed out that the new campaign by Eni together with the recently commenced drilling activity by Jubilee partners would sustain oil production and enhance operational efficiencies in the two fields.

“Eni’s new drilling involves drilling of SNKE-1X ST2 well, a side-track of the existing SNKE-1X ST well which will target an area of the Cenomanian reservoir of Sankofa field is expected to positively impact the Cenomanian oil production over several years, commencing in Q4 2025,” he said.

The rig sailed to location in Ghana last Wednesday, from its last location in Cote d'Ivoire and commenced operations almost immediately, confirming government and contractor’s efforts to optimise the drilling activities and minimise costs.

The new drilling programmes, Mr Rockson said, were built on the achievements of the previous campaigns by Tullow and Eni, and saw the drilling of 50 and 21 wells respectively, delivered ahead of schedule and generally on budget.

He said the exercises had the potential to unlock further value and increase the cumulative recovery of oil.

Mr Rockson said the ministry and the Petroleum Commission would ensure the wells were delivered at excellent environmental and safety records, cost discipline, and operational excellence.
 

Stakeholder engagement 

Ahead of the campaign, both Tullow and Eni in collaboration with the Petroleum Commission and other relevant agencies have carried out comprehensive stakeholder engagement programmes along Ghana’s coastline to ensure open communication and promote collaboration with communities.