Ghana oil production increases 30% amid investment talks

Ghana’s oil production has increased by approximately 30% following a five-year period of decline, according to Energy and Green Transition Minister John Abdulai Jinapor. The turnaround is attributed to renewed investment commitments and expanded drilling plans, specifically involving the Jubilee field.

A $2 billion memorandum of understanding with Kosmos Energy supports an amended development plan for the Jubilee field, which includes up to 20 additional wells. This follows a 2025 agreement to extend the Jubilee and Tweneboa-Enyenra-Ntomme (TEN) licenses until 2040, providing a longer investment horizon for partners.

In a separate development, the Ghana Investment Promotion Authority (GIPA) has disclosed that discussions have taken place regarding a potential return to the country by ExxonMobil, five years after the company exited the sector. To attract fresh capital and reverse the production drop from 71.44 million barrels in 2019 to 48.25 million in 2024, the government has proposed fiscal reforms. These include reducing the Ghana National Petroleum Corporation’s initial free equity stake from 15% to 10% and extending contract terms from 25 to 30 years.