Tullow Ghana, Unit Operator of the Jubilee field, along with its partners - Ghana National Petroleum Corporation, Kosmos Energy, Kosmos Energy Ghana Investment, PetroSA, and GNPC Explorco - has officially signed an agreement to establish a Decommissioning Trust Fund for the Greater Jubilee Field.
The establishment of this fund marks a pivotal moment in the management of the offshore field, setting a precedent for future decommissioning efforts in the country.
The fund, aimed at facilitating the safe shutdown and restoration of the field at the end of its production life, will receive contributions from the partners in proportion to their stake in the project.
Using the global standard for responsible oil production, the decommissioning process will involve dismantling and removing essential infrastructure, including FPSOs, seabed flowlines, manifolds, suction piles, and wellheads, in accordance with industry best practices.
The initiative aligns with the requirements outlined in the Jubilee Field Unitisation and Unit Operating Agreement (UUOA), which advocates for compliance with international standards similar to those observed in regions such as the North Sea and Gulf of Mexico.
According to the Petroleum Agreements signed with the Jubilee partners, the decommissioning fund is expected to be set up when 50% of the field's resources have been depleted.
A negotiation team, comprising representatives from all Jubilee partners, relevant ministries, regulatory bodies, and legal experts, was convened to finalize the terms of the agreement.

The Bank of Ghana was designated as the trustee of the fund, with responsibility for safeguarding assets held within the fund and guaranteeing availability when needed for decommissioning obligations in the Jubilee field.
At the signing ceremony, Deputy Managing Director of Tullow Ghana, Cynthia Lumor, emphasized the significance of collaboration and responsible stewardship in managing the decommissioning process.
"This is evidence of great collaboration in action over the last few years. As a responsible operator and partner, the decommissioning process is something we take very seriously as part of our licence to operate.
"The field still has time left for its resources to be harnessed but beyond that, we consider today's ceremony very pivotal to the next stage of the field’s management.
"Tullow Ghana is committed to meeting its obligations to the fund to ensure environmental sustainability of the field."
In his remarks, Energy Minister Dr. Matthew Opoku Prempeh hailed the establishment of the fund as a triumph of determination and tenacity.
He praised the Bank of Ghana's role as trustee, emphasising its significance as a model for future decommissioning efforts in Ghana's energy sector.
The Minister reaffirmed his commitment to restoring affected lands and assets following the conclusion of the field's production cycle, underscoring the government's dedication to environmental preservation and sustainable development.
Latest Stories
-
Trade war escalates as Trump pledges more tariffs
15 minutes -
Man, 35, arrested for smuggling drugs through Aflao Border
29 minutes -
US tariffs could deepen Germany’s recession, says bank
41 minutes -
South Africa’s budget remains stuck as parties reject reduced VAT hike
52 minutes -
Real Madrid beat Atletico after bizarre penalty disallowed
3 hours -
GH¢1.5bn devoted to Agriculture Transformation Agenda, including ‘Nkokɔ Nketenkete’ – Felix Kwakye Ofosu
3 hours -
Van Dijk has ‘no idea’ if he will stay at Liverpool
4 hours -
I’ve faith in the Cedi; we’ve worked on it – Finance Minister
4 hours -
Akufo-Addo’s gov’t awarded GH¢195bn in contracts to MDAs – Ato Forson
4 hours -
There’s no freeze on employment – Finance Minister insists
4 hours -
We’re committed to timely debt servicing – Finance Minister
4 hours -
Ato Forson attributes debt-to-GDP decline to NPP’s 37% Eurobond haircut
4 hours -
GH¢28bn allocated to revitalise struggling energy sector – Ato Forson
4 hours -
Destiny has brought me this far – Finance Minister Ato Forson
4 hours -
Tension in Nanton NPP over suspension of 34 party members
4 hours