Ghana’s upstream petroleum sector has cleared a major hurdle after the government and oil and gas partners reached resolutions on outstanding disputes, a development the Petroleum Commission says is restoring investor confidence and unlocking fresh capital into the sector .
Chief Executive Officer of the Petroleum Commission, Emeafa Hardcastle, said the resolution of the legal challenges has created a more predictable environment for investors and strengthened prospects for further investment in the industry .
“Pursuant to the promise His Excellency made to Ghanaians, all disputes between upstream oil and gas players and the government of Ghana have been promptly resolved, paving the way for more investment,” she said .
🏗️ Background: Resolving Legal Uncertainties
The resolution of these disputes marks a significant turnaround for Ghana’s petroleum sector, which had experienced more than six years of relatively slow growth in upstream investment . The previous administration had issued a controversial directive seeking to unitize the Afina Discovery oil block operated by Springfield E&P and the Sankofa Cenomanian oilfield operated by Eni and Vitol, which contributed to a slowdown in investment from major operators .
The current administration withdrew that directive in February 2025, a move aimed at restoring investor confidence and stimulating investment in Ghana’s upstream petroleum sector . This action, combined with the recent comprehensive resolution of outstanding disputes, has paved the way for renewed cooperation between the State and petroleum companies .
💰 Major Investment Commitments: Jubilee and TEN Fields
Speaking at the launch of the 2025 Annual Investment Report, Madam Hardcastle disclosed that improved investor sentiment is already reflected in major commitments from industry players .
She said partners in the Jubilee and Tweneboa Enyenra Ntomme (TEN) fields have committed US$2 billion towards further development activities . The investment is expected to:
· Support sustained oil production
· Increase domestic gas output
· Reduce the Jubilee gas price by approximately 18%
· Translate into approximately US$300 million in savings for Ghana
The development plan for this project has been formally approved by the Minister for Energy and Green Transition, according to the Petroleum Commission CEO . This commitment follows Parliament’s ratification of the extension of the West Cape Three Points and Deepwater Tano petroleum agreements to December 31, 2040, which was seen as an important signal of investor confidence in Ghana’s energy sector .
🌊 OCTP Partners Pledge $1.5bn for Gas Expansion and Eban-Akoma Development
Madam Hardcastle also disclosed that the Offshore Cape Three Points (OCTP) partners — Eni, Vitol and the Ghana National Petroleum Corporation (GNPC) — have pledged US$1.5 billion to expand gas exports and develop the Eban-Akoma discoveries .
The investment is expected to increase gas supply from about 270 million standard cubic feet per day (mmscfd) to 350 mmscfd, significantly strengthening Ghana’s domestic gas capacity .
The OCTP project, operated by Eni, has been producing since 2018 and currently meets roughly 70% of Ghana’s gas demand for power generation. The project has produced over 107 million barrels of oil and 13.6 billion cubic feet of gas since its inception . The Eban-Akoma field in Cape Three Points Block 4 was declared commercial in July 2025 and is expected to become a major supply source utilising existing infrastructure for faster market delivery .
📈 Broader Sector Outlook and Exploration Activity
The $3.5 billion in commitments form part of a broader strategy to increase domestic oil and gas production, reduce Ghana’s dependence on imported fuels and improve the reliability of electricity supply for households and businesses .
Madam Hardcastle said Ghana had also attracted two new exploration companies, describing their entry as further evidence of improving investor interest in the country’s upstream petroleum industry . Additionally, Ghana has approved Brazilian state-owned oil giant Petrobras’ application to begin negotiations for exploration contracts covering four offshore blocks in the underexplored Keta Basin, marking a potential entry of the major international oil company into Ghana’s upstream sector .
🏛️ Government Response and Policy Outlook
The Petroleum Commission CEO stressed that sustaining investor momentum will require Ghana to maintain a stable fiscal regime, transparent regulatory frameworks and efficient licensing processes .
She disclosed that the government is reviewing the laws governing Ghana’s upstream petroleum sector, with proposed amendments expected to be submitted to Parliament by the end of the year .
Despite declining production volumes, the petroleum sector generated approximately US$772.278 million in government revenue in 2025 and remained a major contributor to the country’s foreign exchange earnings .
Central to the government’s strategy is the proposed second gas processing plant (GPP2), which Madam Hardcastle described as a potentially transformative investment for Ghana’s energy sector. The facility is expected to have an initial processing capacity of 150 mmscfd, expandable to 300 mmscfd, and could save Ghana close to US$500 million annually when operational .
🏁 Conclusion
The resolution of outstanding disputes represents more than the settlement of individual disagreements between the government and industry players; it provides a foundation for renewed cooperation between the State and petroleum companies at a time when Ghana is seeking to increase production, expand gas utilisation and attract fresh investment .
Madam Hardcastle emphasised that the value of petroleum investment must not only be measured by the capital that enters the country, pointing to jobs, technology transfer, business development, infrastructure and community investment as equally important measures of the sector’s contribution to Ghana’s economy .
