Tullow Oil has broken its silence following Ghana’s victory in an international tax arbitration case involving the company’s operations in Ghana.
The oil producer described the decision by the International Chamber of Commerce (ICC) tribunal in London as disappointing after the tribunal upheld the Ghana Revenue Authority’s (GRA) corporate income tax assessment covering Tullow’s operations in Ghana.
In a notice to investors and shareholders, Tullow said: “Tullow is disappointed that the Tribunal has come to this decision and will now consider next steps after further engagement with the Government of Ghana.”
The company said it would update the market on its next course of action in due course.
Tullow also confirmed that it was aware of the ICC ruling, which issued an award concerning a US$196.5 million corporate tax assessment related to proceeds received by the company under its Corporate Business Interruption Insurance Policy.
According to Tullow, the tribunal’s decision also found that the GRA’s assessment of tax on the company’s operations did not breach Ghana’s Petroleum Agreements.
The ruling represents a significant development in the long-running tax dispute between Tullow Oil and the Ghanaian authorities.
The development follows the Finance Ministry’s announcement that Ghana has secured a major victory in an international tax arbitration case involving Tullow Ghana Limited.
In a press statement issued on Wednesday, September 30, the Finance Ministry disclosed that an arbitral tribunal ruled in favour of the Republic over the taxation of business interruption insurance proceeds.
The arbitral tribunal ruling dismissed all claims brought by Tullow and upheld in full the Ghana Revenue Authority’s tax assessment of US$393,091,993.70.
The Minister for Finance, Dr Cassiel Ato Forson, disclosed that the tribunal found that the assessment did not breach the Petroleum Agreements, adding that the penalty was properly applied, the assessment was not time-barred, and the GRA’s enforcement action was lawful.
Dr Cassiel Ato Forson, in a press release, detailed, “Accra, Wednesday, 30th September 2026 …An arbitral tribunal constituted under the Rules of Arbitration of the International Chamber of Commerce yesterday delivered its award in proceedings brought against the Republic of Ghana by Tullow Ghana Limited over the taxation of business interruption insurance proceeds
2. The Tribunal ruled in favour of Ghana
3. It dismissed all claims brought by Tullow and upheld in full the Ghana Revenue Authority’s tax assessment of US$393,091,993.70.
4. The Tribunal found that the assessment did not breach the Petroleum Agreements, the penalty was properly applied, the assessment was not time-barred, and the Ghana Revenue Authority’s enforcement action was lawful
5. I acknowledge the work of the Office of the Attorney-General, the Ghana Revenue Authority and Ghana’s external legal counsel, Foley Hoag LLP, in defending the interests of the Republic.
6. This outcome vindicates the position Ghana has maintained throughout: that every company operating in this country, regardless of its size, is subject to the laws of Ghana,
7. Government notes that this award has come at a critical time when Ghana and the Jubilee partners are working to maximise the prospects of the Jubilee and Ten Fields
8. Government prior to the award, was in discussions with Tullow to resolve amicably the outstanding tax matters between the parties. These discussions will continue covering both the matter determined by the Tribunal and the separate proceedings concerning the disallowance of loan interest. The discussions are ongoing and would be resolved in the mutual interest of both parties.
9. Tullow remains a vital partner to Ghana and is the country’s largest petroleum producer. Its operations in the Jubilee and TEN fields support Ghana’s energy security, domestic gas supply and thousands of Ghanaian livelihoods. It is in the national interest that this relationship endures
10. The Government will therefore work closely with Tullow to give effect to the award in accordance with Ghanaian law. In doing so, the Government will have due regard to the continuity of operations in the Jubilee and TEN fields and Tullow’s capacity to sustain the investments required in those fields.
11. Ghana’s laws provide the Ghana Revenue Authority with the means to determine the time and manner in which assessed liabilities are met. The Government intends to ensure that the award is implemented in a way that secures the revenues due to the Ghanaian people while preserving Tullow’s ability to continue operating and investing in Ghana as a GOING CONCERN”.
@ghnow_ Zubby Michael prepares for his first scene as production begins for A Journey to Africa in Ghana. #GHnow #fyp ♬ original sound – Alpha Promoter
@ghnow_ Zubby Michael prepares for his first scene as production begins for A Journey to Africa in Ghana. #fyp #GHnow ♬ original sound – Freedom Official
