Ghana: Gov’t Finally Approves PoD For Pecan Oil Field

Ghana has finally approved the Plan of Development (PoD) drafted by the Norwegian oil firm, Aker Energy, for the Pecan Field offshore the West African nation, energynewsafrica.com can report.

Sources within the country’s energy ministry indicate that the Plan of Development (PoD) was approved on June 27, 2023.

The PoD was rejected by Ghana on several occasions but was finally accepted in May this year after all issues raised by the country’s Ministry of Energy had been addressed.

In April, AFC Equity Investment, a subsidiary of Africa Finance Corporation, announced the acquisition of Aker Energy’s 50 per cent shares in the Deepwater Tano Cape Three Points (DWT/CTP) block, thus, becoming the current owner of the block.

This portal understands that after the acquisition, the new owner, AFC Equity Investment, created an entity known as Pecan Energies but with the same management staff as Aker Energy to take over the development of the block.

In a statement confirming the approval of the PoD, Samaila Zubairu, President and Chief Executive Officer of Africa Finance Corporation (AFC), said, “We are thrilled to receive the approval of the PoD for the DWT/CTP block by the Minister for Energy and the Ghanaian Authorities.

This achievement demonstrates AFC’s (Africa Finance Corporation) de-risking capabilities and capacity to navigate complex challenges, leverage our expertise and collaborate effectively with our partners to achieve shared objectives. We are excited about the potential GDP uplift of USD 10 billion for the Ghanaian economy from the DWT/CTP block and look forward to working closely with the Government of Ghana to ensure the successful execution of this important project.

With this milestone, we believe that the future of the Pecan and other associated fields on the Block shines bright, bringing with it promising economic prospects and sustainable growth opportunities for Ghana and its people.”

According to the statement, AFC Equity Investment will now work towards a Final Investment Decision (FID) following extensive engagement with all relevant stakeholders and partners.

The PoD presents an overall plan for the phased development and production of the resources in the DWT/CTP contract area.

The phased development would begin with the Pecan field in two phases—Phase 1a and Phase 1b.

The Pecan field is the largest of several discoveries in the contract area with 268 million barrels expected to be produced in Phase 1a+1b with a CAPEX of USD 3.5 billion.

In total, it is estimated that all discoveries in the DWT/CTP contract area have a recoverable resource potential of 550 million barrels.

The Pecan field, situated in ultra-deep waters ranging from 2,400 to 2,700 meters about 115 kilometres offshore Ghana, would be developed with a Floating Production Storage and Offloading (FPSO) vessel and a subsea production system (SPS).

“We have a highly competent technical team with field management and global deepwater project experienceto execute the development and production of the field. With AFC’s superior knowhow in investing in the upstream oil and gas sector combined with technical support from the vastly experienced Aker Group, we are confident we can deliver the project on time, with quality and within cost,” assured Eiliv Gjesdal, Chief Executive Officer of Pecan Energies AS.

Also commenting, Kadijah Amoah, former CEO of Aker Energy, now Pecan Energies Ghana Limited, said: “We have worked together as a team, overcoming considerable obstacles along the way. The approval of the

The PoD is a testament to the perseverance and dedication shown by the Pecan Energies team to the project. We remain committed to Ghana and look forward to working together with our partners towards first oil.”

Source: https://energynewsafrica.com