Tullow strikes oil at Ghana well

Exploration group Tullow Oil has made a discovery at an appraisal well off Ghana.

Exploration group Tullow Oil has made a discovery at an appraisal well off Ghana.

The Mahogany-4 well, located in the West Points licence area off the coast of Ghana, encountered 43m (141 feet) of light oil columns in sandstone reservoirs, the firm said in a statement today.

Mahogany-4, in which Tullow has a 23 per cent stake, is the eastern-most well the company has drilled in the Jubilee field.

The rest of the well is held by partners including Kosmos Energy and Anadarko Petroleum.

Oil bearing sands yielded 15 metres of net pay in the main Jubilee reservoirs, Tullow said today. Below the main Jubilee reservoirs, drilling uncovered 20 metres of net oil pay in new sand, a 4-metre gas sand and 4 meters of net oil pay in Mahogany deep-aged reservoirs.

"Extending the Jubilee field eastwards with the Mahogany-4 well and encountering new hydrocarbon bearing reservoirs is an excellent result and strongly supports our current interpretation of the Jubilee field resources," Tullow Exploration Director Angus McCoss said in a statement.

While drilling at the South Grand Lahou-1 wildcat well off the Ivory Coast in the CI-105 license the company encountered reservoir sands, they were water-bearing, Tullow said.

Additional reporting - Bloomberg