9. South West Saltpond Block
Contract Parties
Britannia U (Operator), Hills OMC, GNPC
Effective Date/Initial Exploration Period
Effective Date: July 17, 2014 (after 27 months extension)
Initial Exploration Period (3 years): October 17, 2016 – October 16, 2019.
Minimum Exploration Program (Initial Phase)
- Reprocess 800km of existing 2D seismic data
- Acquire and process 1500sqkm of new 3D seismic data
-
Drill one (1) exploration well
Minimum Expenditure
$40,000,000
Observations as of 2022
Agreement terminated for non-performance; Britannia U owes US$760,208.83 in surface rental on the block.
The contractor did not fulfill the full extent of the minimum work obligation. No drilling has been undertaken.
The Contractor undertook minimal G&G studies in 2019. The Work Programme and budget for 2020 have not been submitted.
The 2019 ACEP Contract Monitor reports that the contractors were still interpreting seismic data, but the full extent of their work obligation has not been met. No drilling has been undertaken.
There were reports of an internal conflict among the partners, confirmed by the Petroleum Commission. This conflict has been resolved and the partners have brought in a Norwegian partner to provide technical and financial assistance. The contractors have requested another extension to complete their work and expenditure obligations.
The agreement for this block was terminated on 27th April 2021 for non-performance. The block is part of the six selected blocks the Ministry of Energy marketed to investors as part of the 2022 Ghana Oil and Gas Roadshows in Houston, USA and London, Aberdeen in the UK.
For payment obligations on the South West Saltpond Block, Britannia U has an outstanding surface rental payment of US$760,208.83 as of June 2022.