"Aker Energy secures $100m for development of Ghana’s DWT\/CTP oil block"

" \n Aker Energy secures $100m for development of Ghana's DWT\/CTP oil block \n \n\n \n 0il exploration and production firm\u00a0Aker Energy, has secured $100m financing from the Africa Finance Corporation (AFC) \u00a0for the development of Ghana's Deepwater Tano Cape Three Points (DWT\/CTP) oil block. \n \n\n \n The secured amount comes in the form of a senior secured convertible bond from the AFC.\u00a0This brings AFC\u2019s total bond investment in Aker Energy to $200 million. \n \n\n \n \u201cWe are delighted that AFC continues to support the development of the DWT\/CTP block, said Karl Johnny Hersvik, Board Chairman of Aker Energy. The decision to double its investment is indicative of the viability of the project and particularly welcoming in light of recent trends in the oil and gas sector.\u201d \n \n\n \n \"The terms of the bonds have been re-negotiated and extended to mature in December 2026, with an option to extend by a further three years,\" said Aker Energy. \n \n\n \n Arctic Securities acted as sole manager and financial advisor for the transaction. Aker Energy AS and AFC were advised by Norwegian law firms Schj\u00f8dt and Wiersholm respectively. \n \n\n \n Also, Aker Energy and its licensed partners have secured the FPSO Dhirubhai-1 for the first phase of the field development, and are working to submit a revised Plan of Development for the DWT\/CTP block before the summer of 2022. \n \n\n \n \u201cOur commitment to fast-tracking Africa\u2019s economic development through strategic investments is unwavering, especially when we see opportunities in high impact projects such as the DWT\/CTP project, said Samaila Zubairu, President and CEO of Africa Finance Corporation. \u201cWith the increasing dearth of financing for developing new oil and gas resources to tackle Africa\u2019s significant energy deficit, we are convinced that timely investments such as this will be critical to helping African countries develop their natural resources and grow their economies.\u201d \n \n\n \n Read: Ranked: The 10 best performing central bank governors in Africa \n \n\n \n Aker Energy to submit revised Pecan field development plan to government by end-2021 \n \n\n \n Aker Energy was set to submit a revised plan of its development of the Pecan oil field to government by the end of 2021. \n \n\n \n The revised plan followed the rejection of Aker Energy\u2019s initial plan of development to facilitate the optimization of the Deepwater Tano\/Cape Three Points (DWT\/CTP) block by government two years ago. \n \n\n \n \u201cThe team has done a great job in modifying the concept and strategy and has shifted from a centralized FPSO approach to a phased plan to develop the resources in the area. Under the revised strategy, most of the production is maintained, but the breakeven oil price is significantly reduced to around $30 per barrel and the cost level is about half from the original plan. The natural next step is to move towards a Plan of Development and Operations (PDO). But we are in parallel reviewing strategic options for the company,\u201d stated Chief Executive Officer of Aker, Oyvind Eriksen. \n \n\n \n Speaking also about the revised plan CEO of Aker Energy Ghana Limited, Kadijah Amoah, stated that the company is moving forward as planned with the new phased development concept for the Pecan field and to reduce breakeven costs. \n \n\n \n \u201cThe team has optimized the field development concept to secure a robust and cost-efficient project reducing the breakeven cost to approximately half the original cost. While the original field development concept was based on a centralized FPSO supporting the development of the entire Pecan field, as well as tie-ins of all other area resources, the focus per the statement has shifted toward a phased development approach,\u201d she stated. \n \n\n \n \u201cThis approach will enable Aker Energy to commence with one FPSO for Pecan in the south and expand to a second FPSO in the north after a few years, with tie-ins of additional discovered resources. The first FPSO will be deployed at around 115 kilometres offshore Ghana over a subsea production system installed in ultra-deep waters in depths ranging from 2,400 to 2,700 metres,\u201d she added. \n \n\n \n About Aker Energy \n \n\n \n Aker Energy Ghana Ltd, a subsidiary of Norwegian-based oil exploration and production firm Aker Energy AS, is an exploration and Production Company and the operator of the Deepwater Tano Cape Three Points. (DWT\/CTP) block. \n \n\n \n It holds a 50% participating interest in the license, and the partners are Lukoil Overseas Ghana Tano Limited (38%), the Ghana National Petroleum Corporation (GNPC) (10%) and Fueltrade Limited (2%). \n \n\n \n Aker Energy aims to become the oil and gas operator of choice offshore Ghana, by maturing and producing resources in a safe, efficient and reliable manner to the benefit of the company, partners and the people of Ghana. Aker Energy AS is part of the Norwegian Aker group of companies, with Aker ASA and TRG AS as its majority shareholders. Aker Energy has offices in Ghana and Norway.\u00a0 \n \n\n \n About AFC \n \n\n \n AFC is a multilateral finance institution created by African sovereign states to provide pragmatic solutions to Africa\u2019s infrastructure deficit and challenging operating environment by developing and financing infrastructure, natural resources and industrial assets for the enhanced productivity and economic growth of African countries. AFC has 33 African countries and three multilaterals as its members and has invested over US$9.8 billion in projects in 35 countries across Africa since its inception. \n \n\n \n AFC was established in 2007 to catalyse private sector-led infrastructure investment across Africa. It is the second-highest investment grade rated multilateral financial institution in Africa. \n \n\n \n AFC\u2019s approach combines specialist industry expertise with a focus on financial and technical advisory, project structuring, project development and risk capital to address Africa\u2019s infrastructure development needs and drive sustainable economic growth. \n \n\n \n AFC invests in high-quality infrastructure assets that provide essential services in the core infrastructure sectors of power, natural resources, heavy industry, transport, and telecommunications. AFC has invested over US$9.8 billion in projects across 35 African countries since inception. \n \n\n \n \n \n\n \n \n "

"Aker Energy secures $100m for development of Ghana’s DWT\/CTP oil block"

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