Jubilee field

Ghana’s world-class Jubilee field was discovered in 2007 by the Mahogany-1 (M-1) and Hyedua-1 (H-1) exploration wells.

The two wells were drilled some 5 km apart and intersected large continuous accumulations of light sweet crude oil. The M-1 and H-1 wells discovered large net pays of 95m and 41m respectively in high-quality stacked reservoir sands. The Jubilee field straddles the West Cape Three Points and Deepwater Tano licences.

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In July 2009, the Minister of Energy approved the Phase 1 Plan of Development which included the use of an FPSO with a facility capacity of 120,000 bopd. In December 2010, the field came on-stream.

The Jubilee Phase 1A development project, designed to increase production and recover additional reserves, was approved by the Government of Ghana in January 2012. Phase 1A consisted of eight additional wells which included five producers and three water injectors.  

In July 2009, the Minister of Energy approved the Phase 1 Plan of Development which included the use of an FPSO with a facility capacity of 120,000 bopd. In December 2010, the field came on-stream.

The Jubilee Phase 1A development project, designed to increase production and recover additional reserves, was approved by the Government of Ghana in January 2012. Phase 1A consisted of eight additional wells which included five producers and three water injectors. 

An issue with the turret bearing of the Jubilee FPSO Kwame Nkrumah was identified in February 2016. This resulted in the need to implement new operating and offtake procedures, utilising a dynamically positioned shuttle tanker and a storage vessel.

As announced in June 2016, Tullow and its Partners have established that the long-term solution is to convert the FPSO to a permanently spread moored facility. The Jubilee turret remediation work is progressing as planned and the FPSO is expected to be spread-moored on its current heading around the end of January 2017. This will allow the tugs currently required to hold the vessel on a fixed heading to be removed, significantly reducing the complexity of the current operation. The capital costs associated with this and subsequent remediation works are expected to be covered by the Joint Venture Hull and Machinery insurance policy.

The next phase of the project will involve modifications to the turret systems for long-term spread-moored operations. In addition, the assessment of the optimum long-term heading continues, in order to determine if a rotation of the FPSO is required.  Detailed planning for this continues with the JV Partners and the Ghanaian Government, with final decisions and approvals being sought in the first half of 2017, with work expected to be carried out in the second half of 2017. It is anticipated that a facility shutdown of up to 12 weeks may be required during 2017. However, significant work is ongoing to look at ways to optimise and reduce any shutdown period.

Full year 2016 gross production from the Jubilee field averaged 73,700 bopd (net: 26,200 bopd). Tullow has also received reimbursements for turret remediation costs and Jubilee production field losses in 2016 of approximately $8 million (net) under the Hull and Machinery insurance policy and approximately $72 million under Tullow’s corporate Business Interruption insurance cover which equates to 4,600 bopd of net equivalent production

Tullow expects 2017 production from the Jubilee field to average 68,500 bopd (net: 24,300 bopd), assuming 12 weeks of shutdown associated with the next phase of remediation works.  Tullow’s corporate Business Interruption insurance cover is expected to continue to payout in respect of lost production associated to the turret remediation works, and the equivalent average annualised net production is around 12,000 bopd, increasing Tullow’s effective net production to around 36,300 bopd in 2017.

In December 2015, Tullow submitted the Greater Jubilee Full Field Development Plan to the Government of Ghana. This project, to extend field production and increase commercial reserves, was redesigned given the current oil price environment, to reduce the overall capital requirement and allow flexibility on the timing of capital investment. Approval of the Greater Jubilee Full Field Development Plan by the Government of Ghana is now expected in mid-2017.

Jubilee Unit Area

Tullow (operator) 35.48%
Kosmos 24.08%
Anadarko 24.08%
GNPC 13.64%
Petro SA   2.73%

Page last updated: 20 January 2017