TEN FIELD FACES SHARP PRODUCTION DECLINE

The TEN field, once projected to be a major success story for Ghana’s oil sector, has instead shown signs of significant underperformance. Production has fallen sharply from an initial peak forecast of 100,000 barrels per day to approximately 16,000 barrels per day in 2025. 

Source: Offshore Technology

This downturn stems from a challenging combination of complex geological conditions and financial disagreements between the state and field operators.

A key technical concern is the gas reinjection rate, which reached 81% in 2025. This indicates that the vast majority of produced gas is being pumped back underground rather than commercialized. The underlying cause is the compartmentalized nature of the oil reservoirs, requiring operators to reinject gas to maintain pressure necessary for oil extraction. While technically essential to sustain output, this process represents a substantial commercial loss, as Ghana forgoes potential revenue and domestic power generation from natural gas in order to keep a declining oil field operational.

The government’s decision to purchase the Floating Production Storage and Offloading (FPSO) vessel for $205 million rather than continuing to lease it introduces further financial risk. Operators argue that the acquisition, equivalent to roughly one year’s lease cost, would generate savings through 2040. However, the vessel is nearly 30 years old, raising serious concerns that the state is assuming full maintenance liabilities for an aging asset just as oil reserves are depleting.

Financial strain is compounded by a $50 million development debt the government owes to Tullow Oil for the TEN field, part of a broader $225 million liability that has constrained the operator’s cash flow. Payment delays have reduced partners’ willingness to invest in new wells needed to boost production, creating a cycle in which low output discourages investment, and underinvestment further depresses production.

Whether the TEN field can recover or is facing continued decline will be determined by a new drilling campaign scheduled to begin in late 2026. Should these wells fail to yield substantial new oil reserves, the state may be left with an aging vessel and significant outstanding debt. For the time being, the project remains in a precarious state of survival. 

Nana Kofi Owusu. Researcher, Black Gold Bulletin

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