Ghana, has again discovered huge quantities of oil through the effort of international oil giant, LUKOIL, at the Cape Three Points Deep Waters (CTPDW).
“The Herald” sources in LUKOIL, tells the paper that the oil company will soon announce the huge find to the public.
Details on the discovery are sketchy, but insiders say the crude is in commercial quantities with claims that sooner or later the construction of another Floating Production Storage and Offloading (FPSO) will commence.
It follows other discoveries over the years, after Ghana’s first oil discovery in 2007 by a consortium made up of Kosmos Energy, Anadarko Petroleum and Tullow Ghana Limited.
Sources say both the Ministry of Energy and Petroleum and officials of the oil company, are tight-lipped over the discovery preferably because they want to ensure that everything concerning the discovery is finalized before going public.
LUKOIL, joined the project for exploration, appraisal, development and production of hydrocarbons on the CTPDW Block in July 2006. A new framework agreement on the project was, however, signed in June 2009.
Project participants: LUKOIL with 56.66 per cent (Operator), PanAtlantic (ex-Vanco) with 28.34 per cent and state-owned company Ghana National Petroleum Company (GNPC) with a 15 per cent share.
The exploration period was five years, while the development and production period will take 23 years (with extension possible if required). GNPC has an option to increase its ownership interest in the project by 5 percent from the commercial discovery date.
In 2010-2011, three deepwater exploration wells were drilled in CTPDW block (Dzata and Cheetah prospects) which discovered an oil and gas condensate field and confirmed the presence of a petroleum system with a thick series of high-quality sand reservoirs but failed to discover any commercial hydrocarbon reserves.
Wells were drilled from 6th generation dynamically-positioned drilling ship. Detailed study of the geological structure of the block, preparation and evaluation of prospects for further exploration were put in progress.
Meanwhile information gathered by this paper indicates that Ghana is in the process of building another Floating Production Storage and Offloading (FPSO) to augment the existing ones.
Credible information says there is an ongoing tender process to select what the government terms “the best” contractor to build the FPSO, and for it to be delivered in the last quarter of 2016. Actual oil and gas production will start in early 2017.
Ghana currently has one FPSO, named after the country’s first president, Osagyefo Dr Kwame Nkrumah. It was delivered to Ghana in 2010 and is currently producing an average of 120,000 barrels of crude oil daily.
A second FPSO named after late President John Mills – FPSO J.E.A. Mills – which is currently under construction in Singapore, is 30 per cent complete and would be delivered in the last quarter of 2015. Commercial production of oil would commence on it before the end of 2016.
Speaking with the media last week, after meeting officials in Singapore to promote investment in Ghana, the Minister of Energy and Petroleum, Emmanuel Armah Kofi Buah, said the third FPSO would produce more than 150 million cubic feet of gas daily.
“Our oil and gas industry is taking shape and Ghana is gradually expanding its production activities. That will really help strengthen our economy,” Mr. Buah stressed.
The minister was on a working visit to Singapore to inspect the progress of work on the second FPSO, which is being constructed at the Jurong Shipyard Limited (JSL).