Australia listed Tap Oil has signed a petroleum agreement with Ghana National Petroleum Corporation (GNPC) for the Offshore Accra Contract Area to the east of giant Jubilee discovery off the West African country.

The contract area covers 2000 square kilometres to the south-east of Accra on the West African Transform Margin, also home to the Jubilee discovery. Water depths range from less than 50 metres to over 2500 metres.

The area also lies over the West African gas pipeline, which provides access to ready market for any commercial discoveries.

Tap said the offshore acreage contains multiple large oil accumulations with a combined potential resource of over 100 million barrels.

Tap and its joint venture partners have committed to reprocess the existing 3D seismic, acquire 850 kilometres of 2D seismic and drill an exploration well within the next two and a half years.

Tap operates the new acreage with a 36% stake. Partners are Afex Oil (27%), Challenger Minerals (27%) and GNPC (10%).