Tullow Oil has allayed the fears of its local shareholders, saying the Tweneboa, Enyenra and Ntomme (TEN) project remains on schedule and within budget following the ruling by the Special Chamber of theInternational Tribunal of the Law of the Sea that the project can continue.
The project, the company said, is over 55 percent complete, and is expected to take the group’s net production to over 100,000 barrels of oil per day when it delivers first oil in mid-2016.
At its fourth annual investor forum in Accra, CEO Aidan Harvey told local investors that ten wells drilled already are capable of producing; hence the directive by the tribunal that new wells should not be drilled will not stand in the way of production.
“The most recent project milestone is installation of the 4,500 tonne turret on the bow of the FPSO vessel. In-country fabrication of FPSO anchor piles, subsea manifold anchor piles, subsea mud mats and assembly and testing of Christmas trees for the TEN project is on schedule for completion later this month,” the company said.
Mr. Harvey reiterated the company’s long-term commitment to Ghana, saying its listing on the Ghana Stock Exchange in 2011 demonstrates the company’s desire for Ghanaians to participate in the industry.
“Ghana remains at the heart of our business, and we maintain our long-standing pledge to develop Ghana’s resources in a way that is responsible and creates maximum benefit for Ghanaians and the government.”
The conversion of the TEN project Floating Production, Storage and Offloading (FPSO) vessel, which will receive, process and store crude oil, is progressing steadily the company said.
The conversion of the double-hull Centennial Jewel tanker began in October 2013, and it is on track to be ready to sail away from the Jurong shipyard in Singapore to Ghanaian waters by the end of 2015.
The TEN development project includes the collective development of three hydrocarbon accumulations — Tweneboa, Enyenra (formerly Owo) and Ntomme. The three oil and gas fields are part of the Deepwater Tano licence located offshore Ghana.
The fields lie in water depths of 1,000m to 2,000m. The development is located 25km away from the Tullow-operated Jubilee Field. It is the first deepwater field to be developed offshore Ghana.
A peak production rate of 100,000 barrels of oil per day is expected by 2018, and the project is expected to recover approximately 216 million barrels of oil.
Tullow Oil is operator of the Deepwater Tano licence and holds a 49.95% interest. Partners include Kosmos Energy (18%), Anadarko Petroleum (18%), Sabre (4.05%) and the Ghana National Petroleum Corporation (GNPC, ten percent).