Tullow Acquires Ghana’s TEN FPSO, Secures Long-Term License Extension
February 20, 2026
Tullow Oil has signed a sale and purchase agreement to acquire the floating production, storage and offloading vessel (FPSO) Prof. John Evans Atta Mills for $205 million, as Ghana ratified extensions to key petroleum agreements covering the Jubilee and TEN fields.
Tullow’s wholly-owned subsidiary Tullow Ghana Limited (TGL), on behalf of itself and its joint venture partners, signed the agreement with T.E.N. Ghana MV25 BV to acquire the FPSO for a gross consideration of $205 million, equivalent to about $125.6 million net to Tullow. The payment will be made upon completion at the end of the first quarter of 2027.
The FPSO serves as the production facility for the TEN fields on the Deep Water Tano Block offshore Ghana. Following completion, Tullow intends to maximize operational synergies with the adjacent Jubilee field and drive further cost efficiencies to support longer-term development of both assets.
“This value accretive transaction is another important milestone for Tullow, in line with our strategic priority to optimize production activities and deliver improved economics as we leverage our operational expertise.
“The acquisition of the FPSO will deliver material cost savings by removing the annual lease cost and resetting our fixed costs at the TEN fields. By extending the economic life and removing the annual lease cost we will create additional free cash flow potential for the company beyond 2027. This transaction is another key deliverable for Tullow, strengthening the foundations for future value creation,” said Ian Perks, Chief Executive Officer of Tullow.
Separately, Tullow announced that the Ghanaian Parliament ratified extensions of the West Cape Three Points and Deep Water Tano petroleum agreements, covering the Jubilee and TEN fields, through December 31, 2040.
From July 20, 2036, Ghana National Petroleum Corporation’s share in the fields will increase by a further 10% interest, with joint venture partners’ shares decreasing pro rata.
Tullow and its partners also secured revised terms for gas supply from the Jubilee field to the end of the extended period at an escalating price of $2.50 per mmbtu. A gas payment security mechanism and heads of terms for potential gas supply from the TEN fields were also agreed with the Government of Ghana.
“The ratification of these agreements secures our long-term operating position, providing a runway for responsible resource development and a stable investment environment alongside the payment security for gas. This is a significant milestone which underpins Tullow’s long-term commitment to Ghana and allows for continued investment in its principal Jubilee and TEN assets. It is a result of excellent collaboration between the joint venture partners, including GNPC, and the Government of Ghana,” added Perks.
