Monday 19 February 2018

Aker Energy AS, a 50-50 joint venture between Aker ASA and TRG AS, has entered into an agreement with a subsidiary of Hess Corporation to acquire its interests in Ghana consisting of a 50 percent participating interest in the Deepwater Tano Cape Three Points block ("DWT/CTP"). The Tano Basin offshore Ghana is a prolific petroleum region where Aker Energy sees considerable potential to apply the Aker Group's experience from the Norwegian Continental Shelf (NCS) to build a significant E&P activity in Ghana together with Ghana National Petroleum Corporation ("GNPC").

The total cash consideration for the transaction is USD 100 million, consisting of USD 25 million payable upon closing of the transaction and a further USD 75 million payable upon approval of the Plan for Development and Operation (PDO) on the DWT/CTP block. The acquisition is subject to approval from relevant Ghanaian authorities and other customary closing conditions.

The DWT/CTP block

The DWT/CTP block covers approximately 2,010 square kilometres in a prolific petroleum region. In the last ten years, seven exploration wells and five appraisal wells have been drilled on this block. The discovered contingent resources are estimated to be 550 million barrels (2C) with a remaining prospective volume upside of approximately 400 million barrels.