Tullow to cough up $393m tax as Ghana wins ICC arbitration
Ghana has secured a major victory in its tax dispute with Tullow Ghana Limited after an international arbitral tribunal dismissed the company’s claims and upheld a US$393.09 million tax assessment in full.
The tribunal, constituted under the Rules of Arbitration of the International Chamber of Commerce (ICC), delivered its award on September 29, 2026, in favour of the Republic of Ghana.
The case concerned the taxation of proceeds Tullow received under its corporate Business Interruption Insurance policy.
The dispute began after the Ghana Revenue Authority (GRA) issued Tullow a corporate income tax assessment in December 2022 in relation to the insurance proceeds.
Tullow subsequently challenged the assessment and referred the dispute to ICC arbitration in London in February 2023.
In a statement issued on September 30, 2026, the Ministry of Finance said the tribunal dismissed all the claims brought by Tullow and upheld the GRA’s assessment of US$393,091,993.70.
The tribunal also found that the assessment did not breach the Petroleum Agreements, the penalty was properly applied, the assessment was not time-barred, and the GRA’s enforcement action was lawful.
Finance Minister Dr Cassiel Ato Forson commended the Office of the Attorney-General, the GRA and Ghana’s external legal counsel, Foley Hoag LLP, for their work in defending Ghana’s position.
“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,” he said.
He said the ruling came at a critical time as Ghana and its Jubilee partners worked to maximise the potential of the Jubilee and TEN fields.
Dr Forson disclosed that the government had engaged Tullow before the tribunal delivered its award in an effort to reach an amicable resolution to outstanding tax matters, adding that discussions will continue to cover both the matter determined by the tribunal and separate proceedings concerning the disallowance of loan interest.
He described Tullow as a vital partner and Ghana’s largest petroleum producer, noting its operations support energy security, domestic gas supply and thousands of livelihoods.
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