Tullow Oil production levels to ramp up next month
Production had been constrained by a gas compression issue, which lowered average production from around 110,000 barrels of oil per day (bopd) to 65,000 bopd. However, that top level will be returned to next month, management said yesterday.
Tullow reported first half revenues of $820m (€743m) for the first half of 2015, yesterday. Although, 35% down on the same period last year — due to asset sales and the effect of falling oil prices — the figure was slightly ahead of recent guidance and beat analyst consensus. Tullow recently adapted its business model — including a slashing in current year capital expenditure and exploration spend — to account for current market conditions and the low oil price environment. Much of the €1.9bn development spend will go on its much-anticipated TEN oil project in Ghana, which is 65% complete and on schedule (and on budget) for first oil flow in mid-2016.
