Ghana has emerged victorious in a major international tax dispute involving Tullow Ghana Limited. An arbitral tribunal constituted pursuant to the Arbitration Rules of the International Chamber of Commerce delivered its award on Tuesday, September 29, 2026, ruling in favour of the Republic of Ghana. The dispute centred on the taxation of proceeds Tullow received under its business interruption insurance arrangements.
The tribunal rejected every claim advanced by Tullow and confirmed the validity of the Ghana Revenue Authority's (GRA) assessment in its entirety. According to Finance Minister Dr Cassiel Ato Forson, the tribunal determined that the assessment was consistent with Ghana's Petroleum Agreements with Tullow and therefore did not constitute a breach of the contractual arrangements governing the company's petroleum operations.
The tribunal further concluded that the penalty imposed by the GRA had been appropriately applied, that the assessment had not become legally time barred, and that the revenue authority's enforcement measures were lawful. Dr Forson said the decision reaffirmed the position maintained by the Ghanaian authorities throughout the dispute, namely that businesses operating within the country are required to comply with Ghanaian legislation irrespective of their size or commercial standing.
The Finance Minister recognised the efforts of the Office of the Attorney General, the Ghana Revenue Authority, and Ghana's external legal representatives, Foley Hoag LLP, for their respective contributions to Ghana's defence during the international proceedings. The ruling comes at a significant period for Ghana's petroleum industry, as the government and its partners continue efforts to strengthen production and investment across the Jubilee and Tweneboa, Enyenra and Ntomme fields.
Despite the outcome of the arbitration, the government has indicated that it intends to preserve Tullow's ability to maintain its petroleum operations and undertake the investment required to sustain production from the two fields. The Ministry of Finance has described Tullow as an important partner in Ghana's petroleum sector and the country's largest petroleum producer, with its activities contributing to national energy security, domestic gas availability, and thousands of livelihoods.
Dr Forson disclosed that the government had already been engaging Tullow before the tribunal issued its decision in an effort to resolve outstanding tax matters through an amicable process. Those engagements would continue and would cover both the dispute determined by the tribunal and a separate proceeding concerning the disallowance of loan interest.
The Ministry of Finance has maintained that Ghana's objective is to secure tax revenues legitimately due to the state while ensuring that Tullow remains capable of continuing its operations and investment activities in the country. The tribunal's decision brings a major phase of the tax dispute to a close, while discussions between Ghana and Tullow are expected to continue over the remaining tax issues between the parties.
Key points
- The arbitral tribunal dismissed Tullow Ghana Limited's claims and sustained a tax assessment of US$393,091,993.70 issued by the Ghana Revenue Authority.
- The tribunal's decision reaffirmed Ghana's position that businesses operating within the country must comply with Ghanaian legislation.
- The government intends to preserve Tullow's ability to maintain its petroleum operations and undertake necessary investments in Ghana.
