100-listed energy explorer Tullow Oil’s share price slid two per cent yesterday, after its minority partners in a French Guianan project said an exploration well was dry.
In an interim management statement, Tullow said that “evaluation operations are ongoing” on the well, but Aim-listed stakeholders Wessex Exploration and Northern Petroleum said it would be plugged and abandoned.
“Reservoir evaluation work has been conducted and the reservoir sequences were encountered as expected but with no evidence of hydrocarbons,” said Wessex and Northern in separate statements.
Tullow said that its production is on track to meet full-year guidance of 84,000 barrels of oil per day (bopd) to 88,000 bopd, while estimated capital expenditure for 2013 remains in line with forecasts.
“Tullow remains confident that it will add 200m boe (barrels of oil equivalent) to its resources this year – as it has averaged annually for the past six years – and exit 2013 with oil production at record levels,” said the company.