Ghana has won an international tax arbitration case brought by Tullow Ghana Limited over the taxation of business interruption insurance proceeds, with an arbitral tribunal upholding a tax assessment of US$393.09 million against the company.
The tribunal, constituted under the Rules of Arbitration of the International Chamber of Commerce (ICC), delivered its award on Tuesday, September 29, 2026, ruling in favour of the Republic of Ghana.
According to a statement signed by Finance Minister Dr Cassiel Ato Forson, the tribunal dismissed all claims brought by Tullow and upheld in full the Ghana Revenue Authority’s (GRA) tax assessment of US$393,091,993.70.
The tribunal also found that the assessment did not breach the Petroleum Agreements between Ghana and Tullow.
It further ruled that the penalty imposed was properly applied, the assessment was not time-barred, and the GRA’s enforcement action was lawful.
Dr Forson acknowledged the work of the Office of the Attorney-General, the GRA and Ghana’s external legal counsel, Foley Hoag LLP, in defending the interests of the Republic.
He said the outcome vindicated Ghana’s position that all companies operating in the country, regardless of their size, are subject to Ghanaian laws.
“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,” the statement said.
The Finance Minister noted that the ruling comes at a critical time as Ghana and its Jubilee partners work to maximise the prospects of the Jubilee and TEN fields.
He disclosed that before the tribunal’s decision, the government had been engaged in discussions with Tullow to resolve outstanding tax matters amicably.
Those discussions, he said, would continue to cover both the matter determined by the tribunal and separate proceedings concerning the disallowance of loan interest.
“The discussions are ongoing and would be resolved in the mutual interest of both parties,” the statement said.
Tullow remains vital partner
Despite the arbitration outcome, the government described Tullow as a vital partner to Ghana and the country’s largest petroleum producer.
The company’s operations in the Jubilee and TEN fields contribute to Ghana’s energy security, domestic gas supply and the livelihoods of thousands of Ghanaians.
The government said it is in the national interest for the relationship between Ghana and Tullow to endure.
It will therefore work closely with the company to implement the tribunal’s award in accordance with Ghanaian law.
In doing so, the government said it would take into consideration the continuity of operations in the Jubilee and TEN fields, as well as Tullow’s capacity to sustain the investments required in those fields.
Dr Forson said Ghanaian law gives the GRA the authority to determine the time and manner in which assessed tax liabilities are paid.
He said the government intends to ensure that the arbitration award is implemented in a manner that secures revenues due to the Ghanaian people while preserving Tullow’s ability to continue operating and investing in Ghana as a going concern.
