GNPC acquires 7% Commercial Interest in Jubilee and TEN blocks from Occidental Petroleum

The Ghana National Petroleum Corporation (GNPC) has announced the acquisition of 7% Commercial Interest in both the Jubilee and TEN blocks, from Occidental Petroleum for a purchase price of $199 million, with effect from 1st, April 2021. 

This is in line with GNPC and Government’s strategy of increasing its participating stakes in viable oil blocks going forward.

The acquisition adds to GNPC’s existing Carried and Participating Interest of 13.64% in the Jubilee Field, and the 15% in the TEN Field.

In a statement, the GNPC said the interests acquired will be transferred to GNPC’s subsidiary, the GNPC Exploration and Production Company.

With this acquisition GNPC Explorco will become part of the contractor group for the two blocks, together with Tullow, Petro SA and Kosmos (who also bought additional interest in the two blocks).

Commenting on the acquisition, the Chief Executive of GNPC, Dr Kofi Koduah Sarpong said “this acquisition is of immense benefit to GNPC as it allows GNPC Explorco to start generating cashflow for its activities. There is also a debt write-off in excess of USD30 million from KOSMOS Energy. Kosmos Energy has also agreed to train GNPC technical staff in support of GNPC’s quest to build operator capacity”.

GNPC is Ghana’s national oil company, with the mandate to undertake exploration, development, production, and the disposal of petroleum.

source: myjoyonline