BP Plc, Europe’s second-biggest oil company, scrapped plans to bid for Kosmos Energy LLC’s stake in Ghana’s Jubilee field, two people familiar with the matter said.
Talks between BP and Ghana National Petroleum Corp. over a joint offer for Kosmos’s Ghanaian assets broke down in recent weeks, according to the people who declined to be identified because the negotiations were confidential. BP wants to focus on other projects, such as the Gulf of Mexico, one said.
BP’s withdrawal may pave the way for Exxon Mobil Corp.’s planned purchase of Kosmos’s Jubilee stake for at least $4 billion. With potential resources of 1.8 billion barrels, Jubilee has attracted attention from Chinese producers as well as BP as Ghana prepares to become one of Africa’s newest oil exporters this year.
Robert Wine, a spokesman for London-based BP, declined to comment. Exxon Mobil spokesman Patrick McGinn also declined comment, saying only that the company “routinely evaluates potential development opportunities around the world.” Dallas-based Kosmos, backed by Blackstone Group LP and Warburg Pincus LLC, said Oct. 12 that it agreed to sell its Ghana assets, including a 23.49 percent stake in Jubilee, to Exxon Mobil, the largest U.S. oil company. The deal is exclusive, Kosmos Chief Financial Officer Greg Dunlevy said at the time.
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Ghana National Petroleum, the state-owned energy company known as GNPC, has threatened to block the sale, asserting its “absolute” approval rights and saying it may buy the stake itself and then bring in partners. “The government of Ghana has clearly stated that it is interested in, and is prepared to buy, the share of Kosmos in the Jubilee field,” Energy Ministry spokesman Michael Sarpong said by telephone today from Accra. London-based BP had hired Goldman Sachs Group Inc. to advise it on Jubilee, two people familiar with the matter said in October.
Ghana’s Energy Ministry said in October that the government had held talks with Chinese oil executives over Jubilee. There has been contact with Cnooc Ltd., the listed arm of state- controlled China National Offshore Oil Corp., Sarpong said at that time. A month later, CNOOC said Ghana had blocked the company from making a bid.
Tullow Oil Plc, the U.K. explorer that operates Jubilee, said in July that Ghana will become one of the world’s top 50 oil producers after the government approved a plan to start output from the offshore field in the second half of 2010. The West African nation expects to pump 500,000 barrels of oil a day by 2014.
Tullow holds a 34.7 percent stake in Jubilee while Anadarko Petroleum Corp. owns 23.49 percent. Sabre Oil & Gas holds 2.81 percent, EO Group has 1.75 percent, leaving GNPC with 13.75 percent. The field was discovered in June 2007.
Friday, September 10, 2010
Oil To Flow This Year
Tullow Oil is on course to pump the first oil from Ghana's giant Jubilee field in the last quarter of 2010, a company official said on Wednesday.
"We are 298 days away from pumping the first oil and so far everything is on target," Anthony Djokoto, senior legal adviser at Tullow in Ghana told Reuters.
The field is estimated to hold as much as 1.8 billion barrels of oil, and output could ramp up to 150,000 barrels per day within months of startup.
Ghana, a major gold and cocoa producer, expects income from oil exports to significantly boost its economy.
Djokoto said Tullow obtained the first part of certification from the Environmental Protection Agency on December 31.
"Operationally and legally, we are on course," he said.
"We don't see any obstacle or any legal hurdle that could derail this target," Djokoto said when asked about the possible impact of the standoff between fellow stakeholder Kosmos Energy and state regulator Ghana National Petroleum Corporation (GNPC) on the intended production date.
GNPC is in protracted talks to acquire Kosmos' stake in the Jubilee field, following reports late last year that ExxonMobil had struck a deal to buy the share from Kosmos for $4 billion.
"We don't see that affecting our operations in any way," Djokoto said, adding major shipments of supplies for construction at the production site had been completed.
In December, China Development Bank said it had agreed to lend GNPC money to pay for infrastructure projects in the Jubilee field, without giving details of how much the bank would be prepared to lend.
"We are 298 days away from pumping the first oil and so far everything is on target," Anthony Djokoto, senior legal adviser at Tullow in Ghana told Reuters.
The field is estimated to hold as much as 1.8 billion barrels of oil, and output could ramp up to 150,000 barrels per day within months of startup.
Ghana, a major gold and cocoa producer, expects income from oil exports to significantly boost its economy.
Djokoto said Tullow obtained the first part of certification from the Environmental Protection Agency on December 31.
"Operationally and legally, we are on course," he said.
"We don't see any obstacle or any legal hurdle that could derail this target," Djokoto said when asked about the possible impact of the standoff between fellow stakeholder Kosmos Energy and state regulator Ghana National Petroleum Corporation (GNPC) on the intended production date.
GNPC is in protracted talks to acquire Kosmos' stake in the Jubilee field, following reports late last year that ExxonMobil had struck a deal to buy the share from Kosmos for $4 billion.
"We don't see that affecting our operations in any way," Djokoto said, adding major shipments of supplies for construction at the production site had been completed.
In December, China Development Bank said it had agreed to lend GNPC money to pay for infrastructure projects in the Jubilee field, without giving details of how much the bank would be prepared to lend.
Vanco Oil Find – Another EO Handiwork
Ghanaians are slated to be swimming in oil soon. Following the discovery of the Jubilee field by Kosmos Energy which substantially reduced the risk formerly associated to the Tano Basin as “exploration graveyard”, many global exploration companies are now seriously reassessing their understanding of the geology of offshore Ghana. The recent announcement by Vanco Oil about the discovery of oil in the Tano Basin is yet another strong evidence that as a consequence of Kosmos’ discovery in 2007, all the other companies in the basin are encouraged to explore for prospect. That means in a few months, when oil-producing countries are mentioned, Ghana’s name would be right there with the Angolas, the Nigerias, the Equitorial Guineas and so on. As refreshing as that sounds, contextualizing these new discoveries behind all these African countries against Ghana’s leadership reputation on the continent suggests a growth regression that cannot elate anyone. More so if you consider the fact that the one private sector entity most responsible for our current oil fortunes is also the most vilified company in our nation’s history. Did you know that Vanco was led to Ghana by the duo who eventually became the EO Group?
The story has been told many folds, but it must be told again. At the turn of the century, GNPC under the Rawlings administration had tried to get reputable oil companies to come to Ghana but to no avail. A combination of factors played a role in this frustration. First, the government’s policies surrounding oil exploration was not business-friendly especially considering that Ghana had no history of oil discoveries. Second, the low oil prices at that time made it an unwise investment considering the staggering required capital and the low probability of an oil find in what had become a “graveyard.” Third, the requisite technology had not advanced enough to explore for oil in the deep seas, and if one could find the technology, the cost involved was prohibitive. Last but not the least, GNPC under the management of Tsatsu Tsikata lacked the vision and tenacity to attract exploration companies of repute to explore our offshore prospects; instead, he was misguided by adventuring into businesss prepositions he had no clue in. The last time I investigated, that man was supposed to be a great lawyer but not an oil man, yet you would be hard pressed to point at any significant accomplishment of his in his own great profession of law. Could it just be that his apparent disdain for E.O. Group is simply a matter of jealousy for having failed to do what these two distinguished Ghanaians have accomplished?
When the NPP assumed office in 2001, it made oil discovery a national priority. Ghanaians in the Disapora were actively encouraged to source for oil companies, a focus that made Houston a frequent destination for energy sector officials. It was during such trips that George met with Mr. Van Dyke, CEO of Vanco Energy. Although Owusu would eventually lead Vanco to Ghana to solicit for an oil block, the two parties could not become parties to a Petroleum agreement because Owusu and Edusei had not yet formed a company. As a result, Vanco ended up securing a large, in fact, the largest block of all the companies that were in Ghana at the time, without EO involvement. For a duo that has been dubbed “Kufuor’s Boys,” how could it happen that they led a foreign company to Ghana, and yet that company secured an oil block without their involvement?
Vanco secured its Petroleum Agreement (PA) for the large block in August of 2002. George Owusu and Dr. Kwame Bawuah-Edusei quickly reorganized and formed the EO group to start searching for other oil companies right away. Three years later, GNPC was growing impatient with Vanco for “sitting” on its block. Word on the street was that Vanco merely came to secure the block and went around looking to sell it to a more serious explorer. Who could blame them? Why not have someone else invest the money to find oil in a known “graveyard?”
Meanwhile in 2003, EO had succeeded in convincing yet another Texas-based company to take a chance on Ghana. That is how Kosmos came to Ghana and secured a PA in July of 2004. Three years later in 2007, as Kosmos and the Ghana government proudly announced to the world that Ghana has discovered oil in commercial quantities, Vanco had yet to lift a finger. In fact, GNPC took back a portion of Vanco’s block due to inaction on the oil company’s part. But alas, three years later, Vanco now discovers oil.
Let’s do a double-take on the timeline: Owusu and Edusei lead Vanco to Ghana in early 2002. Vanco secures a block in August of 2002 without Owusu and Edusei’s involvement even though they led them to Ghana. This duo reorganizes and forms The EO Group and brings Kosmos Energy to Ghana in late 2003. Kosmos, EO, and Ghana sign a PA in July of 2004. Kosmos discovers oil in mid 2007. Vanco then gets serious and discovers oil three years later. Is it a stretch to suggest that Kosmos’ oil find may have lit the fire under Vanco’s feet to get serious about exploring its block? And if that is a fair suggestion, is it not also fair to credit EO for Vanco’s oil find considering all of the above?
If you do not agree with the immediately preceding premise, then may be the following would not make sense to you either. There is an old adage to the effect that if you could not thank your in-law for giving you a bride, you do not compound that lack of gratitude by stealing from him. But that is precisely what we as a nation are doing to the duo called the EO Group. While many of us were content with Ghana struggling along with Gold, Cocoa, and minute levels several other minerals, this group, based on available data at the time at GNPC, decided to gamble literally everything they had accomplished in their combined six decades of life in the United States on the slimmest of chances that oil can be found in Ghana. Because they took that chance, Ghana has now become a commercial oil destination.
May be others could have brought companies to Ghana to successfully explore for oil if the EO Group had not taken the initiative. May be others would have succeeded in securing our Independence from colonialism had Kwame Nkrumah not decided that a colonized Ghana was unacceptable. The fact remains that these pioneers took the initiative and succeeded. So why would a government that is now betting all its success on an oil discovery also spend more than one year fishing for something to discredit the very people through whose efforts that oil find became a reality in the first place? *If you could not thank your in-law for giving you a bride, you do not compound that lack of gratitude by stealing from him. If we cannot appreciate the EO Group for giving us oil, we must not compound our lack of gratitude by vilifying them.*
The story has been told many folds, but it must be told again. At the turn of the century, GNPC under the Rawlings administration had tried to get reputable oil companies to come to Ghana but to no avail. A combination of factors played a role in this frustration. First, the government’s policies surrounding oil exploration was not business-friendly especially considering that Ghana had no history of oil discoveries. Second, the low oil prices at that time made it an unwise investment considering the staggering required capital and the low probability of an oil find in what had become a “graveyard.” Third, the requisite technology had not advanced enough to explore for oil in the deep seas, and if one could find the technology, the cost involved was prohibitive. Last but not the least, GNPC under the management of Tsatsu Tsikata lacked the vision and tenacity to attract exploration companies of repute to explore our offshore prospects; instead, he was misguided by adventuring into businesss prepositions he had no clue in. The last time I investigated, that man was supposed to be a great lawyer but not an oil man, yet you would be hard pressed to point at any significant accomplishment of his in his own great profession of law. Could it just be that his apparent disdain for E.O. Group is simply a matter of jealousy for having failed to do what these two distinguished Ghanaians have accomplished?
When the NPP assumed office in 2001, it made oil discovery a national priority. Ghanaians in the Disapora were actively encouraged to source for oil companies, a focus that made Houston a frequent destination for energy sector officials. It was during such trips that George met with Mr. Van Dyke, CEO of Vanco Energy. Although Owusu would eventually lead Vanco to Ghana to solicit for an oil block, the two parties could not become parties to a Petroleum agreement because Owusu and Edusei had not yet formed a company. As a result, Vanco ended up securing a large, in fact, the largest block of all the companies that were in Ghana at the time, without EO involvement. For a duo that has been dubbed “Kufuor’s Boys,” how could it happen that they led a foreign company to Ghana, and yet that company secured an oil block without their involvement?
Vanco secured its Petroleum Agreement (PA) for the large block in August of 2002. George Owusu and Dr. Kwame Bawuah-Edusei quickly reorganized and formed the EO group to start searching for other oil companies right away. Three years later, GNPC was growing impatient with Vanco for “sitting” on its block. Word on the street was that Vanco merely came to secure the block and went around looking to sell it to a more serious explorer. Who could blame them? Why not have someone else invest the money to find oil in a known “graveyard?”
Meanwhile in 2003, EO had succeeded in convincing yet another Texas-based company to take a chance on Ghana. That is how Kosmos came to Ghana and secured a PA in July of 2004. Three years later in 2007, as Kosmos and the Ghana government proudly announced to the world that Ghana has discovered oil in commercial quantities, Vanco had yet to lift a finger. In fact, GNPC took back a portion of Vanco’s block due to inaction on the oil company’s part. But alas, three years later, Vanco now discovers oil.
Let’s do a double-take on the timeline: Owusu and Edusei lead Vanco to Ghana in early 2002. Vanco secures a block in August of 2002 without Owusu and Edusei’s involvement even though they led them to Ghana. This duo reorganizes and forms The EO Group and brings Kosmos Energy to Ghana in late 2003. Kosmos, EO, and Ghana sign a PA in July of 2004. Kosmos discovers oil in mid 2007. Vanco then gets serious and discovers oil three years later. Is it a stretch to suggest that Kosmos’ oil find may have lit the fire under Vanco’s feet to get serious about exploring its block? And if that is a fair suggestion, is it not also fair to credit EO for Vanco’s oil find considering all of the above?
If you do not agree with the immediately preceding premise, then may be the following would not make sense to you either. There is an old adage to the effect that if you could not thank your in-law for giving you a bride, you do not compound that lack of gratitude by stealing from him. But that is precisely what we as a nation are doing to the duo called the EO Group. While many of us were content with Ghana struggling along with Gold, Cocoa, and minute levels several other minerals, this group, based on available data at the time at GNPC, decided to gamble literally everything they had accomplished in their combined six decades of life in the United States on the slimmest of chances that oil can be found in Ghana. Because they took that chance, Ghana has now become a commercial oil destination.
May be others could have brought companies to Ghana to successfully explore for oil if the EO Group had not taken the initiative. May be others would have succeeded in securing our Independence from colonialism had Kwame Nkrumah not decided that a colonized Ghana was unacceptable. The fact remains that these pioneers took the initiative and succeeded. So why would a government that is now betting all its success on an oil discovery also spend more than one year fishing for something to discredit the very people through whose efforts that oil find became a reality in the first place? *If you could not thank your in-law for giving you a bride, you do not compound that lack of gratitude by stealing from him. If we cannot appreciate the EO Group for giving us oil, we must not compound our lack of gratitude by vilifying them.*
Monday, September 6, 2010
Results Mixed From Latest Ghana Offshore Oil Well
Tullow Oil PLC reported Wednesday mixed success in the latest appraisal on its large Jubilee oil field offshore Ghana.
The Mahogany Deep-2 well provided further confirmation of the size of the Jubilee field and found two new light oil reservoirs, but the deepest section of reservoir that the well was targeting contained only water.
"Confirming the southerly extent of the main Jubilee reservoirs and encountering two new oil pools takes us another step closer to realizing the full potential of the Greater Jubilee Area," said Tullow's Exploration Director Angus McCoss.
Tullow expects to produce first oil from Jubilee, which is estimated to contain between 600 million and 1.8 billion barrels of oil equivalent, in the fourth quarter of 2010. It's partners in the field are Anadarko Petroleum Corp. (APC) and Kosmos Energy, which has agreed to sell its share to ExxonMobil Corp.
The Mahogany Deep-2 well provided further confirmation of the size of the Jubilee field and found two new light oil reservoirs, but the deepest section of reservoir that the well was targeting contained only water.
"Confirming the southerly extent of the main Jubilee reservoirs and encountering two new oil pools takes us another step closer to realizing the full potential of the Greater Jubilee Area," said Tullow's Exploration Director Angus McCoss.
Tullow expects to produce first oil from Jubilee, which is estimated to contain between 600 million and 1.8 billion barrels of oil equivalent, in the fourth quarter of 2010. It's partners in the field are Anadarko Petroleum Corp. (APC) and Kosmos Energy, which has agreed to sell its share to ExxonMobil Corp.
Jubilee Field Stake: BP Out, Exxon In?
BP Plc, Europe’s second-biggest oil company, scrapped plans to bid for Kosmos Energy LLC’s stake in Ghana’s Jubilee field, two people familiar with the matter said.
Talks between BP and Ghana National Petroleum Corp. over a joint offer for Kosmos’s Ghanaian assets broke down in recent weeks, according to the people who declined to be identified because the negotiations were confidential. BP wants to focus on other projects, such as the Gulf of Mexico, one said.
BP’s withdrawal may pave the way for Exxon Mobil Corp.’s planned purchase of Kosmos’s Jubilee stake for at least $4 billion. With potential resources of 1.8 billion barrels, Jubilee has attracted attention from Chinese producers as well as BP as Ghana prepares to become one of Africa’s newest oil exporters this year.
Robert Wine, a spokesman for London-based BP, declined to comment. Exxon Mobil spokesman Patrick McGinn also declined comment, saying only that the company “routinely evaluates potential development opportunities around the world.” Dallas-based Kosmos, backed by Blackstone Group LP and Warburg Pincus LLC, said Oct. 12 that it agreed to sell its Ghana assets, including a 23.49 percent stake in Jubilee, to Exxon Mobil, the largest U.S. oil company. The deal is exclusive, Kosmos Chief Financial Officer Greg Dunlevy said at the time.
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Ghana National Petroleum, the state-owned energy company known as GNPC, has threatened to block the sale, asserting its “absolute” approval rights and saying it may buy the stake itself and then bring in partners. “The government of Ghana has clearly stated that it is interested in, and is prepared to buy, the share of Kosmos in the Jubilee field,” Energy Ministry spokesman Michael Sarpong said by telephone today from Accra. London-based BP had hired Goldman Sachs Group Inc. to advise it on Jubilee, two people familiar with the matter said in October.
Ghana’s Energy Ministry said in October that the government had held talks with Chinese oil executives over Jubilee. There has been contact with Cnooc Ltd., the listed arm of state- controlled China National Offshore Oil Corp., Sarpong said at that time. A month later, CNOOC said Ghana had blocked the company from making a bid.
Tullow Oil Plc, the U.K. explorer that operates Jubilee, said in July that Ghana will become one of the world’s top 50 oil producers after the government approved a plan to start output from the offshore field in the second half of 2010. The West African nation expects to pump 500,000 barrels of oil a day by 2014.
Tullow holds a 34.7 percent stake in Jubilee while Anadarko Petroleum Corp. owns 23.49 percent. Sabre Oil & Gas holds 2.81 percent, EO Group has 1.75 percent, leaving GNPC with 13.75 percent. The field was discovered in June 2007.
Talks between BP and Ghana National Petroleum Corp. over a joint offer for Kosmos’s Ghanaian assets broke down in recent weeks, according to the people who declined to be identified because the negotiations were confidential. BP wants to focus on other projects, such as the Gulf of Mexico, one said.
BP’s withdrawal may pave the way for Exxon Mobil Corp.’s planned purchase of Kosmos’s Jubilee stake for at least $4 billion. With potential resources of 1.8 billion barrels, Jubilee has attracted attention from Chinese producers as well as BP as Ghana prepares to become one of Africa’s newest oil exporters this year.
Robert Wine, a spokesman for London-based BP, declined to comment. Exxon Mobil spokesman Patrick McGinn also declined comment, saying only that the company “routinely evaluates potential development opportunities around the world.” Dallas-based Kosmos, backed by Blackstone Group LP and Warburg Pincus LLC, said Oct. 12 that it agreed to sell its Ghana assets, including a 23.49 percent stake in Jubilee, to Exxon Mobil, the largest U.S. oil company. The deal is exclusive, Kosmos Chief Financial Officer Greg Dunlevy said at the time.
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Ghana National Petroleum, the state-owned energy company known as GNPC, has threatened to block the sale, asserting its “absolute” approval rights and saying it may buy the stake itself and then bring in partners. “The government of Ghana has clearly stated that it is interested in, and is prepared to buy, the share of Kosmos in the Jubilee field,” Energy Ministry spokesman Michael Sarpong said by telephone today from Accra. London-based BP had hired Goldman Sachs Group Inc. to advise it on Jubilee, two people familiar with the matter said in October.
Ghana’s Energy Ministry said in October that the government had held talks with Chinese oil executives over Jubilee. There has been contact with Cnooc Ltd., the listed arm of state- controlled China National Offshore Oil Corp., Sarpong said at that time. A month later, CNOOC said Ghana had blocked the company from making a bid.
Tullow Oil Plc, the U.K. explorer that operates Jubilee, said in July that Ghana will become one of the world’s top 50 oil producers after the government approved a plan to start output from the offshore field in the second half of 2010. The West African nation expects to pump 500,000 barrels of oil a day by 2014.
Tullow holds a 34.7 percent stake in Jubilee while Anadarko Petroleum Corp. owns 23.49 percent. Sabre Oil & Gas holds 2.81 percent, EO Group has 1.75 percent, leaving GNPC with 13.75 percent. The field was discovered in June 2007.
Oil To Flow This Year
Tullow Oil is on course to pump the first oil from Ghana's giant Jubilee field in the last quarter of 2010, a company official said on Wednesday.
"We are 298 days away from pumping the first oil and so far everything is on target," Anthony Djokoto, senior legal adviser at Tullow in Ghana told Reuters.
The field is estimated to hold as much as 1.8 billion barrels of oil, and output could ramp up to 150,000 barrels per day within months of startup.
Ghana, a major gold and cocoa producer, expects income from oil exports to significantly boost its economy.
Djokoto said Tullow obtained the first part of certification from the Environmental Protection Agency on December 31.
"Operationally and legally, we are on course," he said.
"We don't see any obstacle or any legal hurdle that could derail this target," Djokoto said when asked about the possible impact of the standoff between fellow stakeholder Kosmos Energy and state regulator Ghana National Petroleum Corporation (GNPC) on the intended production date.
GNPC is in protracted talks to acquire Kosmos' stake in the Jubilee field, following reports late last year that ExxonMobil had struck a deal to buy the share from Kosmos for $4 billion.
"We don't see that affecting our operations in any way," Djokoto said, adding major shipments of supplies for construction at the production site had been completed.
In December, China Development Bank said it had agreed to lend GNPC money to pay for infrastructure projects in the Jubilee field, without giving details of how much the bank would be prepared to lend.
"We are 298 days away from pumping the first oil and so far everything is on target," Anthony Djokoto, senior legal adviser at Tullow in Ghana told Reuters.
The field is estimated to hold as much as 1.8 billion barrels of oil, and output could ramp up to 150,000 barrels per day within months of startup.
Ghana, a major gold and cocoa producer, expects income from oil exports to significantly boost its economy.
Djokoto said Tullow obtained the first part of certification from the Environmental Protection Agency on December 31.
"Operationally and legally, we are on course," he said.
"We don't see any obstacle or any legal hurdle that could derail this target," Djokoto said when asked about the possible impact of the standoff between fellow stakeholder Kosmos Energy and state regulator Ghana National Petroleum Corporation (GNPC) on the intended production date.
GNPC is in protracted talks to acquire Kosmos' stake in the Jubilee field, following reports late last year that ExxonMobil had struck a deal to buy the share from Kosmos for $4 billion.
"We don't see that affecting our operations in any way," Djokoto said, adding major shipments of supplies for construction at the production site had been completed.
In December, China Development Bank said it had agreed to lend GNPC money to pay for infrastructure projects in the Jubilee field, without giving details of how much the bank would be prepared to lend.
...Tweneboa Field Is Major Oil, Condensate Discovery
Tullow Oil PLC said Thursday that an appraisal well drilled on the Tweneboa field offshore Ghana has shown it to be a major oil and gas-condensate field.
This success adds to the commercial potential of a new oil region off the coast of West Africa, where Tullow and partners Anadarko Petroleum Corp. (APC) and Kosmos Energy have made some major new discoveries.
"Tweneboa-2...has successfully proven the significant extent of a major new oil and gas-condensate field offshore Ghana. Such an achievement provides a very good start to our exciting 2010 Equatorial Atlantic [drilling] campaign," said Tullow's Exploration Director Angus McCoss.
The Tweneboa-2 well was drilled in the Deepwater Tano offshore block around 6 kilometers southeast of the original Tweneboa-1 discovery well. It intersected a combined hydrocarbon column of at least 350 meters, the company said in a statement.
Tullow's Jubilee field, which could contain up to 1.8 billion barrels equivalent of oil and gas, straddles Deepwater Tano and the neighboring West Cape Three Points block.
This latest success may have some bearing on ExxonMobil Corp.'s (XOM) desire to enter Ghana's oil sector. Kosmos agreed last year to sell ExxonMobil its 30.9% of the West Cape Three Points block and 18% of the Deepwater Tano block for around $4 billion.
However, the Ghanaian government is unhappy with that deal and has been looking for other companies to buy the Kosmos stake in a joint venture with the Ghana National Petroleum Company.
The Tweneboa-2 well was drilled in the Deepwater Tano offshore block around 6 kilometers southeast of the original Tweneboa-1 discovery well. It intersected a combined hydrocarbon column of at least 350 meters, the company said in a statement.
This success adds to the commercial potential of a new oil region off the coast of West Africa, where Tullow and partners Anadarko Petroleum Corp. (APC) and Kosmos Energy have made some major new discoveries.
"Tweneboa-2...has successfully proven the significant extent of a major new oil and gas-condensate field offshore Ghana. Such an achievement provides a very good start to our exciting 2010 Equatorial Atlantic [drilling] campaign," said Tullow's Exploration Director Angus McCoss.
The Tweneboa-2 well was drilled in the Deepwater Tano offshore block around 6 kilometers southeast of the original Tweneboa-1 discovery well. It intersected a combined hydrocarbon column of at least 350 meters, the company said in a statement.
Tullow's Jubilee field, which could contain up to 1.8 billion barrels equivalent of oil and gas, straddles Deepwater Tano and the neighboring West Cape Three Points block.
This latest success may have some bearing on ExxonMobil Corp.'s (XOM) desire to enter Ghana's oil sector. Kosmos agreed last year to sell ExxonMobil its 30.9% of the West Cape Three Points block and 18% of the Deepwater Tano block for around $4 billion.
However, the Ghanaian government is unhappy with that deal and has been looking for other companies to buy the Kosmos stake in a joint venture with the Ghana National Petroleum Company.
The Tweneboa-2 well was drilled in the Deepwater Tano offshore block around 6 kilometers southeast of the original Tweneboa-1 discovery well. It intersected a combined hydrocarbon column of at least 350 meters, the company said in a statement.
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