UK-based Tullow Oil has entered into a conditional agreement to acquire the offshore Ghanaian interests of EO Group for a combined share and cash consideration of $305m.

This acquisition will increase the company’s interest in the Jubilee Oil field offshore Ghana to 36.5% and its stake in the West Cape Three Points license to 26.4%.

Tullow said it will pay $216m through the issuance of new shares and the remaining $89m in cash.

Tullow chief executive Aidan Heavey said this acquisition represents an excellent opportunity to extend the company’s interest in these high-quality assets in Ghana.

The acquisition is conditional on the receipt of various consents, approvals and assurances, including from the Government of Ghana.