Ghana Operations and Licences

Operations

The deep water acreage consists of the West Cape Three Points and Deepwater Tano blocks. During 2007 two successful exploration wells were drilled, Mahogany-1 (West Cape Three Points) and Hyedua-1 (Deepwater Tano). The wells have yielded a substantial discovery which straddles the boundary between the two blocks and has been named the Jubilee field.

 

Based on the drilling and technical work undertaken to date, the P90 recoverable resources of the field are estimated at 170 million barrels, which exceeds the commercial threshold for development. The ultimate upside potential of the discovery is now estimated to be in excess of one billion barrels and an accelerated appraisal programme is under way to establish the size of the field and to gather data for development.

 

The operator structure is now in place and Tullow has been designated as the field operator. With the support of the Ghanaian government, a phased development is planned with a target of first oil in 2010. Screening studies indicate that the most suitable development scheme is likely to involve a Floating Production Storage Offtake vessel (FPSO) highly suited to fast-track  development.

 

In February 2008 the Eirik Raude, a fifth generation semi-submersible rig was contracted for a development drilling programme which is scheduled to start in late 2008.

 

The Jubilee discovery has opened up a new hydrocarbon province and Tullow plans to drill further exploration wells. The first well was drilled in February 2008 on the Odum prospect in the West Cape Three Points block. The well encountered a 60 metre oil column and is considered to be a commercial discovery as it is located only 13 km from the Jubilee field. Further high impact prospects have been identified in the deepwater region and at least two of these, Teak and Tweneboa, are expected to be drilled within the next 12 months. Each of these prospects has upside potential in excess of half a billion barrels.

 

In addition to the deep water programme, Tullow is planning to drill its second well on the Shallow Water Tano licence during 2008. The first well, drilled in September 2007, was unsuccessful and was plugged and abandoned. The second well which will be drilled on the Ebony prospect will target a geological play similar to the Odum discovery.

Licences

Licence	Fields	Area Sq Km	Tullow Interest	Operator	Other Partners
Shallow Water Tano		983	31.50%	Tullow	GNPC, Sabre, InterOil, Al Thani
Deepwater Tano	Jubilee	1,108	49.95%	Tullow	Anadarko, Kosmos, GNPC, Sabre,
West Cape Three Points	Jubilee	1,957	22.90%	Kosmos	Anadarko, GNPC, E.O. Group, Sabre,