To mitigate the negative effects of COVID-19, Norwegian operator Aker Energy plans to sell a portion of its 50% participation interest in Ghana’s Deepwater Tano Cape Three Points (DWT/CTP) block, which includes the Peacan development.

Aker Energy’s partners in the DWT/CTP block are Lukoil (38%), Fueltrade (2%) and Ghana National Petroleum Corporation (10%).

Because of the company’s demonstrated desire to accelerate development, the Ghanaian government amended the Petroleum Agreements for the DWT/CTP and the South Deep Water Tano (SDWT) in a way that drastically reduced the government’s share of the partnership and resulted in the removal of GNPC Explore, a company that helps the state-owned hydrocarbon company, GNPC, expand its operating capacity.

After a competitive tender, the operator signed a Letter of Intent (LOI) with Yinson Holdings Berhad in February 2020 to award a bareboat charter and operations and maintenance contract for floating, production, storage, and offloading (FPSO) vessel at the Pecan field. The contracts were to have a fixed term of ten years, with five years extension option exercisable by Aker Energy on behalf of the license partners. The FPSO is to be positioned over and connected to a state-of-the-art subsea production system located approximately 2,400 meters below sea level once it has been developed and installed.

Despite being enthusiastic about the Pecan project, the company has had difficulty raising funds for it. In light of current events, it appears that all of that enthusiasm has been severely harmed by the economic collapse of the past year.