The Russian Lukoil company disclosed new developments regarding its investments in the oil and gas sector in West African countries, especially Ghana and Cameroon.
And the company announced its readiness to submit the final plan for the development of the offshore Ghana field to the regulatory bodies in Ghana, in preparation for making the final investment decision, according to the Russian news agency “Tass”.
Lukoil is committed to presenting the final plan for the development of the “Pekan” field, located in the “DWT/CTP” deep water area, by April 14, 2023, as monitored by the specialized energy platform.
Final investment decision in November
The company expects to make its final investment decision in the joint venture with Norway’s Aker Energy in October or November 2023, according to company vice president Ivan Romanovsky.
Lukoil is awaiting the position of the Government of Ghana and the regulatory bodies regarding the details of the final plan submitted for the development of the field, amid expectations of receiving objections or negotiable technical differences.
The area of the DWT/CTP marine square exceeds more than 2,000 square kilometers and is located in the western part of Ghana’s waters in the Gulf of Guinea at a depth of between 1,600 and 3,000 meters, according to the Specialized Energy Platform.
7 oil and gas fields
The block includes 5 explored oil fields, in addition to two gas fields, and is managed by the Norwegian company Aker Energy by 50%, while the Russian Lukoil acquires a share of up to 38%, in addition to others.
Lukoil has entered into negotiations to acquire this stake since March 2014, and completed the deal in October 2015.
Lukoil – the largest independent oil producer in Russia – has other investments in the African oil and gas sector, in partnership with international oil and gas companies operating in the brown continent.
Cameroon investments
The company is currently studying LNG production from the Itindi field off the coast of Cameroon through a mobile offshore unit in coordination with partners in the field, according to the Russian news agency TASS.
The Itende field is located on the continental shelf of Cameroon, West Africa, and Lukoil has held a stake in it since June 2014.
The field extends over 460 square kilometers of Cameroonian waters in the Gulf of Guinea, 20 kilometers offshore, near the border with Equatorial Guinea.
The field has been developed under a production sharing agreement signed since 2008, and the partners obtained its operating license in July 2014 for a period of 20 years.
Lukoil acquires 37.5% of the field, while New Edge, based in London, acquires a similar share with operator powers, and Polvin Company, based in the United Kingdom, acquires another share.
Enter a new partner
The authorities in Cameroon are considering entering a new partner into the consortium that controls the project, after New Edge announced its intention to exit the project last year (2022).
The deal for the new partner to replace the operator of the field is expected to be finalized by July 2023, according to Ivan Romanovsky, vice president of Lukoil.
The new operator will present a field development plan to the partners for consideration after obtaining approval from the regulatory authorities in Cameroon, according to the specialized energy platform.
Lukoil has been operating in Africa since 1995, and has diversified investments in Egypt, Nigeria, the Republic of the Congo, Ghana and Cameroon.
negotiations with the Congo
On the other hand, the Russian company has been negotiating, since the beginning of March 2023, with the organizing authorities in the Democratic Republic of the Congo regarding two offshore oil and gas blocks in partnership with Italian Eni, according to Reuters.
The company’s vice president, Ivan Romanovsky, also visited Egypt in December 2022, met with Minister of Petroleum Tariq Al-Mulla, and discussed with him developments in investments in the concession areas in the eastern and western deserts.
Lukoil is active in several concession areas in Egypt, most notably the West Ish El Mallaha region, in partnership with the Egyptian Tharwa Petroleum Company. It also owns a 24% stake in the concession of the Mleiha region in the Western Desert with Italian Eni, according to the specialized energy platform.
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