UK Export Finance (UKEF) will provide $400m in support for a GE Oil & Gas contract in Offshore Cape Three Points (OCTP) project in Ghana, Offshore Engineer reported.

This is the first time a European export credit agency has supported a financing structure of this kind, and is UKEF’s first direct loan for a project in Africa. The fund will go towards GE’s $850m contract to supply equipment for the Eni-operated project, which was awarded to GE in March 2015, Offshore Energy Today informed.

The project will develop oil and gas fields approximately 60km offshore from the western side of Ghana’s coast. It will develop gas reserves expected to generate an additional 1100MW of power for Ghana, which will alleviate the country’s reliance on energy imports, providing long-term energy security and supporting Ghanaian industrial development.Following first gas production in 2018, the new fields are expected to continuously feed Ghana’s thermal power plants for more than 20 years.

Total investment in the development of the OCTP are estimated to be $7.9b over the life of the project, and represents the largest foreign direct investment in Ghana’s history.