NASDAQ Careers: Find a Job Now Web NASDAQ.com
Search

Ghana Says Its Goal To Produce Oil By 4Q 2010 Is On Track



PORT OF SPAIN, Trinidad and Tobago -(Dow Jones)- Ghana's deputy energy minister confirmed Wednesday his country is set to start producing crude oil by about this time next year, at a rate of about 120,000 barrels a day.

"We are right on course to start production at Jubilee by the end of next year, the final quarter," Emmanuel Armah-Kofi Buah said on the sidelines of a Commonwealth Business Forum.

Tullow Oil PLC (TLW.LN), which operates the offshore Jubilee, said this month that production would begin in the fourth quarter of 2010. The oil field is estimated to have between 600 million to 1.8 billion barrel of reserves.

Other oil companies also have stakes in Jubilee, including Anadarko Petroleum Corp. (APC) and Kosmos Energy. The Kosmos stake is up for sale, and potential suitors are Exxon Mobil Corp. (XOM) and China's state-run China National Offshore Oil Corp., or Cnooc.

Buah said he could not comment on any developments in the sale of Kosmos's stakes in Jubilee. Ghana has in the past indicated it has the right of first refusal for any possible sales, and this appears to be delaying any deal being made.

"I will say this," Buah said. "Ghana is very interested in making sure that investors who invested in Ghana get what is rightly due to them, but we are also not going to allow a country like Ghana, that is starting fresh in oil, to have its rights violated by anybody."

The Commonwealth event that Buah was attending is a gathering of more than 50 countries that are mainly English-speaking, former British colonies.

In a speech Wednesday at the Commonwealth event, Buah said three other fields being explored apart from Jubilee have found early traces of oil, but he did not go into further detail.

Buah said his country intends to use revenue from its oil production wisely.

The Jubilee and other possible fields "have a huge potential to grow and modernize our economy," he said. "We want our oil to be a blessing and not a curse."

- By Dan Molinski, Dow Jones Newswires; 58-212-284-5651; dan.molinski@ dowjones.com


  (END) Dow Jones Newswires
  11-25-091205ET
  Copyright (c) 2009 Dow Jones & Company, Inc.

The Wall Street Journal
Click here for a free trial