Tullow Oil in trading slump

Tullow Oil slumped to a four-month low in London trading yesterday after failing to make a commercial find at the Zaedyus-2 well off French Guiana in South America.

Tullow plunged as much as 6.8% to 1,278p, the lowest intraday price since Aug 3, after drilling results showed the well was not connected to the earlier Zaedyus-1 offshore find.

The well “encountered a total of 85m of reservoir quality sands with oil shows in several objectives but did not encounter commercial hydrocarbons at this location”, Tullow said in a statement.