GOIL Upstream Limited signs a farm-out and joint operating agreement with Planet One Limited

GOIL UPSTREAM LIMITED (GUL), a subsidiary of GOIL PLC, has signed a farm-out and Joint Operating Agreement with Planet One Oil and Gas Limited, a natural resources company, for the operation of the Deepwater Cape Three Points (DWCTP) Block.

Mr. Kwame Osei-Prempeh, Group Chief Executive Officer and Managing Director of GOIL PLC, and Mr. Deepak Balaji, Chief Executive Officer of Planet One Oil and Gas Limited, signed the operating agreement for their respective companies.

The Farm-Out Agreement, after being subjected to Ghana National Petroleum Company’s (GNPC) consent and the approval of the Minister for Energy, will enable the completion of an assignment of 75 percent Participating interest from GOIL Upstream Limited to Planet One Oil and Gas Limited.

According to the terms of the agreement obtained by Communication for Development and Advocacy Consult (CDA Consult), GOIL Upstream Limited and Planet One will be guided by the Joint Operating Agreement (JOA), which defines the respective rights and obligations of the parties regarding the operations and activities under the Deepwater Cape Three Points Petroleum Agreement.

Following the withdrawal of ExxonMobil Exploration and Production Ghana Limited (EMEPGL) from the Petroleum Agreement in 2021, GOIL UPSTREAM LIMITED was assigned the 80 percent participation interest hitherto held by EMEPGL and directed to secure a farm in partnership.

The signing of the agreement is thus in fulfillment of GUL’s mandate of finding a new partner to continue with petroleum operations in the DWCTP Block, Mr. Osei-Prempeh stated.

Mr. Osei-Prempeh and Mr. Balaji assured the execution of the mandates contained in the DWCTP Block Agreement.

Dr. Mathew Opoku Prempeh, Minister of Energy, commended the efforts of GOIL in successfully finding a partner and urged the parties to work harder to achieve the DWCTP project goals.

The Energy Minister advised the parties to stay committed to the highest standards of environmental and social governance and take into consideration green energy solutions in the management of the DWCTP project.