The Executive Director of the Africa Centre for Energy Policy (ACEP), Benjamin Boakye, has questioned the Ghanaian government’s decision to allow the national oil company, GNPC, and its subsidiary, Explorco, to engage an independent technical consultant and transactional advisor to evaluate Springfield E&P’s assets for a possible takeover of the Afina-1X oil well in the West Cape Three Points (WCTP) Block 2.
Mr. Boakye, who has extensive knowledge of the oil and gas sector, expressed concerns over the government’s decision.
He described what the Ministry of Energy and Green Transition referred to as “constructive discussions” on a possible takeover of Springfield’s assets in its Wednesday, November 19 press statement as “even more troubling.”
In a post on X (formerly Twitter), Mr. Boakye argued that the WCTP Block 2 belongs to the state, stressing that contractors are expected to take the risks and share in the benefits only when they succeed.
He contended that when contractors fail, the state’s duty is to reclaim its asset—not underwrite the losses of a private investor, as he believes the government’s current approach seeks to do.
Mr. Boakye alleged that earlier this year, officials from Springfield E&P and Explorco attempted to value Springfield’s asset between US$433 million and US$1.1 billion. He revealed that GNPC and its subsidiary hired a credible consultant, but provided discredited data, which he said was intended to predetermine the outcome of the assessment.
Reinforcing his point, Mr. Boakye stated that the Petroleum Commission, the upstream regulator, was unequivocal in dismissing Springfield’s recent appraisal, stating that the company’s conclusions were flawed.
The ACEP boss argued that what Ghana needs at this point is not a buyout of Springfield E&P’s assets, but strict enforcement of contractual obligations.
He questioned why the state would consider taking over a non-performing asset when “there is too much poverty in the country” and funds could be better directed toward addressing pressing socioeconomic needs rather than “wasteful, trumped-up ventures.”
In its statement issued on Wednesday, the Ministry of Energy and Green Transition explained that the rationale behind the move is to help arrest the decline in crude oil production, which currently stands at about 150,000 barrels of oil per day (bopd), down from over 200,000 bopd in 2019.
The downward trend has been a major concern for industry players and energy analysts.
The Ministry believes the intervention is essential to prevent further delays in field development, unlock the block’s long-term economic value, sustain upstream activity and associated national revenues, and enhance Ghana’s overall energy security.
“With Ghana’s national crude oil production declining over recent years, coupled with uncertainties within the global energy transition, Government considers it urgent to advance the development of the WCTP2 resource base,” the Ministry stated.
Despite the ongoing process toward a possible takeover of Springfield E&P’s interest, the Ministry assured the public that the government remains committed to deepening the participation of indigenous Ghanaian companies, strengthening national technical capacity, promoting skills transfer, and ensuring Ghana’s local content framework continues to guide upstream operations. It further noted that the process is being carried out without prejudice to ongoing investigations involving Springfield E&P or its affiliates.
“Due process and institutional independence remain fully respected,” the Ministry added.
It will be recalled that the Afina-1X well, originally drilled in 2019, is located at a water depth of 1,030 metres and reaches a total depth of 4,085 metres. The well uncovered a 65-metre-thick light oil reservoir, with 50 metres of net oil pay in high-quality Cenomanian sandstone formations.
Additionally, 10 metres of gas- and condensate-bearing sands were encountered in Turonian-age formations at the structure’s edge.
Springfield E&P later claimed that the Afina-1X discovery straddles Eni’s Sankofa field, which is also within the WCTP area. This assertion prompted the Ministry of Energy under the previous government to direct both companies to jointly develop the resource for the nation’s maximum benefit.
The directive led to contention between the two companies, with Springfield E&P filing a lawsuit against Eni in Ghana, while Eni initiated legal action against Springfield E&P in London.
To ensure harmony within the upstream sector and restore investor confidence, President John Dramani Mahama, upon assuming office, reversed the directive—a decision subsequently confirmed by the Ministry of Energy and Green Transition in a statement to the media.
Following the reversal, Eni and its OCTP partners, in September 2025 during the Africa Oil Week (AOW) in Accra, signed an MoU to invest US$1.5 billion in their operations in Ghana.
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