Kosmos Energy Ltd (KOS), Anadarko Petroleum Corporation (APC): Offshore Ghana Drilling Kicks Off

Last week, London-listed Ophir Energy announced that it began drilling the Starfish-1 well offshore Ghana.

The well, which lies in Ophir’s Accra production sharing contract (PSC), is located in water depths of 4,920 feet and has a target depth of 12,630 feet. It is expected to take 40 days to complete.

“The Starfish-1 well is a playfinder exploration well designed to test a potential eastwards extension of the transform margin play. The well kicks off an acceleration of Ophir’s drilling operations into a broader gas and oil exploration program, with four new oil plays being targeted in the next 12 months in addition to the ongoing gas exploration in Tanzania,” said Ophir’s CEO Nick Cooper in a company statement.

According to Ophir’s estimates, the Starfish prospect could hold mean prospective resources of around 292 million barrels of oil equivalent with a 20% chance of success.

The Starfish-1 well is being drilled by the Stena DrillMax, an ultra deepwater drillship and is Ophir’s first well in Ghana. The company holds a 20% interest in the Accra PSC.

Other projects offshore Ghana

Ophir’s announcement follows an important development last month, when the Ghanaian government gave Tullow Oil and its joint venture partners the green light to begin developing another major offshore oil development – the so-called Tweneboa-Enyenra-Ntomme, or TEN, project.

Kosmos Energy Ltd (NYSE:KOS)

The project, which lies roughly 40 miles offshore Ghana and about 20 miles west of Tullow’s flagship Jubilee Field, is expected to produce first oil in 2016, with a projected plateau production rate of 80,000 barrels of oil per day.

Tullow, which rose to fame for its 2007 discovery of the Jubilee oil field offshore Ghana, holds a roughly 50% stake in the TEN project. The remaining 50% is divided among Kosmos Energy Ltd (NYSE:KOS)Anadarko Petroleum Corporation (NYSE:APC), PetroSA, and Ghana’s state-owned Ghana National Petroleum.

Ghana oil outlook

Ophir and Tullow’s announcement are positive developments for Ghana, West Africa’s second-largest economy. As output from the Jubilee field, the TEN project, and other sites rises, Ghana expects its oil production to more than double to 250,000 barrels a day by 2021.

Over the next five to eight years, the GNPC plans to spend about $20 billion to develop Jubilee and other discoveries, according to its chief executive Nana Boakye Asafu-Adjaye.

There are many different ways to play the energy sector, and The Motley Fool’s analysts have uncovered an under-the-radar company that’s dominating its industry. This company is a leading provider of equipment and components used in drilling and production operations, and poised to profit in a big way from it.

The article Offshore Ghana Drilling Kicks Off originally appeared on Fool.com and is written by Arjun Sreekumar.

Fool contributor Arjun Sreekumar has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

The 10 Most Peaceful Countries in the World

5 Big Reasons Communism Failed

The 15 Most Famous Carl Icahn Quotes

10 Scary Animals that are Actually Harmless

The 8 Most Famous Singer-Actors in Entertainment

The 10 Longest Wars of All Time

The 13 Worst Looking Foods that Taste Great

The 6 Most Gruesome Injuries Suffered During a Sports Match

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!