THE acquisition by PetroSA of a stake in Ghana's offshore Jubilee oil field opens a new revenue stream for the company, supplementing revenue from the Mossel Bay gas-to-liquids (GTL) plant, PetroSA has said.
The oil field, the largest in Ghana with proven reserves of about 600-million barrels, will reduce PetroSA's dependence on the GTL plant – its biggest revenue source.
PetroSA spokesman Kaizer Nyatsumba said the financial benefits of the asset would show in the company's next financial results. "It is a producing asset."
PetroSA chief executive Nosizwe Nokwe-Macamo said the deal gave the company a foothold in West Africa – a region with vast oil and gas resources.
"We are very happy to be working with reputable partners and of course our counterparts, the Ghana National Petroleum Corporation."
She said the acquisition was part of the company's strategy to increase its African footprint.
"The deal is consistent with PetroSA's strategy to be a significant oil and gas player, and comes on the heels of memoranda of understanding concluded with various international oil companies, including China's state-owned Sinopec Group, Italian giant ENI, Mozambique's PetroMoc and the Korea National Oil Corporation," PetroSA said.
The agreement with Sinopec defines how the two companies will develop the business case for Project Mthombo, PetroSA's proposed oil refinery at Coega in Nelson Mandela Bay.
The latest deal, which has the consent of Ghana's Minister of Energy Joe Oteng-Adjei, came after a bidding process resulted in PetroSA being short- listed. The Jubilee oil field is situated 60km offshore. The asset was discovered in 2007 and production commenced in 2010.
It straddles the Deepwater Tano block and West Cape Three Points block in Ghana. The blocks had existing oil and gas discoveries for which development plans were in progress, PetroSA said.