Ghana considers ExxonMobil's return to oil sector

Ghana is considering the possibility of ExxonMobil returning to its oil sector, five years after the American company left, according to Simon Madjie, director general of the Ghana Investment Promotion Authority (GIPA). Madjie mentioned ongoing discussions about the potential return but did not provide more details, instead referring to the Minister of Energy and the Petroleum Commission.

Ghana's oil production has declined

Ghana is experiencing a decline in oil production, which dropped from 71.44 million barrels in 2019 to 48.25 million in 2024, according to the U.S. International Trade Administration. To address this, the government is seeking new investments in the exploration and production of hydrocarbons.

Proposed reforms aim to attract investment

The Minister of Energy, John Jinapor, proposed tax and contractual reforms on September 1st during the Africa Oil Week. These include reducing the initial free participation of the Ghana National Petroleum Corporation (GNPC) from 15% to 10% and extending the duration of contracts from 25 to 30 years. These reforms are expected to be submitted to the Council of Ministers and then to Parliament, with a vote anticipated before the end of 2026.

Existing investment commitments noted

Madjie also mentioned investment commitments of 2 billion dollars with Tullow and its partners, as well as 1.5 billion dollars with the Italian group Eni. The withdrawal of ExxonMobil from the Deepwater Cape Three Points block in May 2021 serves as a precedent, with the American company holding 80% of the interests, compared to 15% for the GNPC and 5% for Goil Offshore Ghana, according to Citi Business News.

Previous discussions and new agreements

In October 2023, the then Minister of Energy, Matthew Opoku-Prempeh, indicated that discussions about a return had begun. On September 1, 2026, Shell and Chevron signed a non-binding agreement with the government and the GNPC regarding the South Deepwater Tano Cape Three Points block, according to Reuters. MyJoyOnline also reports the interest of Petrobras in Ghanaian oil blocks in an article published on October 9.