Failed drilling works sees Tullow Oil write off $150m of exploration costs

Tullow Oil is writing off $150m (€110m) of current year exploration costs linked with failed drilling work.

In a trading update, ahead of the publication of its first-half results at the end of this month, the firm yesterday noted a total net exploration write-off of $415m — $305m on a post-tax basis — for the first-half.

The bulk of the write off, relates to relinquished licences from the past two years. A $115m loss on disposals — largely relating to its Ugandan asset farm- down — will also feature in the first-half figures.