The Government of Ghana, the Ghana National Petroleum Corporation (GNPC), and GNPC Explorco have signed a non-binding memorandum of understanding with Shell Overseas Holdings and Chevron Sub-Saharan Africa Ventures for the South Deepwater Tano Cape Three Points block offshore Ghana’s Western Region.
The agreement sets out a framework for further technical and commercial discussions on exploration and production rights. The discussions will include the appraisal of an existing discovery and an assessment of the wider oil and gas potential of the block. The parties will still need to negotiate the final license terms and obtain the required regulatory approvals.
The 3,482-square-kilometer block sits in the deep to ultra-deep water Tano Basin, with water depths reaching about 3.5 kilometers. Ghanaian reports have estimated that the area could hold more than 3 billion barrels of hydrocarbons. In 2019, AGM Petroleum drilled the Nyankom-1X well and discovered oil in two reservoirs before relinquishing the block in 2023.
The agreement remains preliminary, and the parties have not yet committed to commercial development. Further appraisal, the final fiscal terms, regulatory approvals, and the economics of operating in ultra-deepwater will determine whether the project moves forward.
source: www.offshore-mag.com
African Energy Council