21
COMMERCIAL PRODUCTION
AND DEVELOPMENT
GHANA
After a discovery is made during the exploration phase of the project
lifecycle, oil and gas companies typically drill additional wells to determine whether hydrocarbons are present in sufficient quantity to justify
a major investment in development. If the appraisal wells prove that the
hydrocarbon reservoir is commercial, then companies will begin making
substantial investments in long-term infrastructure to support a production operation that might last 25 years or more.
Depending on the promise of neighboring geology, companies may continue to drill more wells to enhance development and increase production
over time from new or adjacent reservoirs.
During the production phase, companies aim to become a part of the social fabric of the countries where they operate. Stakeholder engagement
typically deepens and social investment spending grows and becomes
more targeted based on a richer understanding of community needs.
In 2013, the Jubilee
field produced
approximately
100,000 barrels
of oil per day.
Ghana is the only country where Kosmos
is in the production phase. Kosmos discovered the Jubilee field in 2007 and spent 42
months drilling appraisal and development
wells and building necessary infrastructure
before production began in late 2010. Although Kosmos does not oversee day-today operations of the Jubilee field – that is
the responsibility of the field operator – we
take an active role in stakeholder engagement, social investments and other activities
to increase assurance that Jubilee oil production benefits the country.
In 2013, the Jubilee field produced approximately 100,000 barrels of oil per day. The
operational focus in Ghana remains centered on gradually increasing the production rate to the maximum capacity of the
floating, production, storage and offloading (FPSO) facility, while also protecting the
reservoir for the long-term and maintaining
the highest possible safety and environmental performance.
Prospects for the petroleum sector in Ghana
remain strong with new discoveries made
following the Jubilee field. Crude oil produc-
GHANA BY THE NUMBERS*
2013
Taxes Paid to Government $56,195,000
Royalties (barrels of oil) 431,716
Employees 50
Social Investment Spend $5,142,786
*For more information, please see 2013 Performance
Data on pages 27-28 of this report.
tion contributes to the growth of Ghana’s
economy and this positive impact can be
seen in increased activity across many sectors, including airlines, telecommunications,
transportation, infrastructure development,
and real estate. Ghana’s real GDP growth
improved from nearly 8 percent in 2010 to
approximately 14 percent in 2011, due in part
to the oil and gas production that began in
the last quarter of 2010.