Tullow Oil Plc (TLW), a U.K. explorer with most of its licenses in Africa, said Ghana’s approval of a $4.5 billion oilfield development paves the way for its construction.
The government approved Tullow’s plan for the Tweneboa, Enyenra and Ntomme deposits, collectively known as TEN, the company said today in a statement. The London-based explorer and partners Anadarko Petroleum Corp. (APC) and Kosmos Energy Ltd. plan to pump about 80,000 barrels a day from TEN starting in 2016.
Tullow has extended exploration off Ghana after its Jubilee field in 2010 opened up a new oil province. West Africa has attracted interest from the likes of Exxon Mobil Corp. and China’s Cnooc Ltd. (883) as international energy companies drill from Mauritania to Namibia.
“The government of Ghana has shown faith in Tullow and its partners again and has set us a number of important targets around local content and supply chain,” Chief Executive Officer Aidan Heavey said in the statement. He said May 8 that Tullow, the project operator, plans to sell part of its stake in the development.
It will take 32 to 36 months to produce the first oil from TEN following government approval, the company said in February.
Tullow gained 1.4 percent to 1,043 pence in London trading.
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