UK OIL major Tullow Oil has issued an upbeat production update so far this year, and said it is targeting further growth and increased output in Ghana.
The company’s drive to bring four extra production wells online at its Jubilee field in Ghana was on track, it said yesterday, with planned production of 120,000 barrels of oil per day expected to be hit by July.
It also said significant progress had been made at its Ugandan development at the Lake Albert Rift Basin, after signing an agreement with the country’s government in mid-March to resolve outstanding tax issues.
“The completion of the Uganda transaction will enable Tullow to accelerate the basin development plan with CNOOC and Total, and begin to realise the significant potential of the region,” the firm said.
“Jubilee production revenues, together with the Uganda farm-down proceeds, mean that the group will have a very healthy balance sheet to fund significant exploration and development programmes and deliver future growth.”
Capital expenditure for the year is expected to be around £920m.