TULLOW OIL TO HALT DRILLING OPERATIONS IN GHANA THIS YEAR

Tullow Oil and its partners intend to pause drilling operations in Ghana later in 2024, using existing wells to sustain production at Jubilee and TEN as output decreases.

source: Business Day Ghana


They plan to restart drilling in 2025, initiating the process to acquire a new rig in 2024. As stated in a release preceding the Group's 2023 full-year results announcement on March 6, 2024, Tullow anticipates that five Jubilee wells, including three producers and two water injectors, will become operational in 2024. 

This marks the conclusion of the drilling program ahead of schedule by about six months due to exceptional drilling performance.

Rahul Dhir, Tullow's CEO, expressed optimism about the company's progress, pointing to the successful implementation of Tullow's 2023 business plan as a notable achievement. 

Dhir expects Tullow to generate around $600 million in free cash flow over the next two years, working towards its goal of approximately $800 million in free cash flow from 2023 to 2025, based on an assumption of $80 per barrel oil prices. 

Additionally, Tullow highlighted the debt facility secured with Glencore as confirmation of its business strategy, with no significant debt maturities until May 2026. 

The company remains dedicated to utilizing its assets for production growth while prioritizing operational excellence and prudent capital management.

source: Ghanaweb.com 

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