Ghana’s Parliament has ratified licence extensions for the country’s flagship offshore oil assets, the Jubilee and Tweneboa-Enyenra-Ntomme (TEN) fields, allowing operations to continue until 2040 in a decision expected to unlock billions of dollars in new investment and stabilize long-term petroleum production.
The extensions provide legal certainty for operators and investors, clearing the way for as much as $2 billion in planned capital investment, including the drilling of up to 20 additional wells and expanded gas production for domestic power generation.
“This approval sends a strong signal that Ghana remains committed to stable, long-term partnerships in its energy sector,” an energy policy analyst said.
The move comes at a critical moment for Ghana’s economy, where oil exports continue to play a major role in foreign exchange earnings, government revenue, and fiscal stability. Industry observers say licence certainty is one of the most important factors international energy companies consider before committing large-scale funding to offshore projects.
Strategic Importance of Jubilee and TEN Fields
The Jubilee field, Ghana’s first major offshore discovery, has been central to the country’s petroleum industry since production began. The TEN field later added significant capacity, making the two assets the backbone of national crude output.
Recent production data show that one newly drilled well is already producing about 13,000 barrels per day, highlighting the fields’ ongoing capacity for expansion and efficiency gains.
“Production stability is essential not just for government revenue but for planning infrastructure and energy policy,” the analyst noted.
Economic and Fiscal Impact
Energy economists say extending licences can stabilize national revenue projections because it allows the government to forecast petroleum income with greater certainty. This is particularly important as Ghana continues fiscal reforms aimed at strengthening public finances.
Stable oil production can also support the country’s electricity sector through increased domestic gas supply, reducing reliance on imported fuels.
Investor Confidence Factor
Global energy markets are highly competitive, and countries often compete for exploration capital. Analysts say Ghana’s decision reduces regulatory uncertainty, which is one of the biggest risks investors monitor.
“Long-term legal clarity is often more valuable to investors than short-term incentives,” a petroleum economist said.
By ensuring continuity in the Jubilee and TEN operations, Ghana positions itself as a predictable investment destination within the Gulf of Guinea energy region.
Outlook
Industry experts say the real impact of the extension will be measured in the coming years through increased drilling activity, higher output levels, and expanded infrastructure. If investments materialize as projected, Ghana could see stronger export revenues and improved energy reliability domestically.
“This decision could shape Ghana’s energy landscape for the next decade,” the analyst concluded.
