(WO) – Tullow Oil has signed a sale and buy settlement to accumulate the floating manufacturing, storage and offloading (FPSO) vessel serving the TEN fields on the Deepwater Tano block offshore Ghana, in a transfer aimed toward decreasing prices and enhancing long-term area economics.
The settlement, executed by Tullow Ghana Restricted on behalf of the TEN three way partnership, gives for the acquisition of the FPSO Prof. John Evans Atta Mills for a gross consideration of $205 million, equal to roughly $125.6 million internet to Tullow. Completion is predicted on the finish of first-quarter 2027, topic to regulatory approvals and customary circumstances.
The FPSO is the manufacturing facility for the TEN fields, the place Tullow is operator alongside companions Ghana Nationwide Petroleum Company (GNPC), GNPC Explorco, Kosmos Vitality and PetroSA.
Tullow stated the acquisition will remove annual lease funds and decrease fastened working prices at TEN, supporting improved free money move past 2027. The corporate expects to fund its share of the acquisition value from in-year money move generated by the TEN asset.
The transaction additionally is predicted to boost operational synergies with the close by Jubilee area, the place Tullow is co-operator, because the partnership continues to advance long-term growth plans offshore Ghana.
Firm executives described the FPSO buy as a part of Tullow’s broader technique to optimize manufacturing, strengthen asset economics and prolong the financial lifetime of its West African offshore portfolio.
The FPSO transaction follows current developments throughout the TEN and Jubilee partnership. Earlier this week, accomplice Kosmos Vitality confirmed Ghana’s parliamentary ratification of license extensions for the Jubilee and TEN fields by 2040, alongside ongoing drilling and manufacturing development throughout the property.