Tullow on track for busy drilling year

Tullow Oil is on track for a “very successful” 2013, its chief executive Aidan Heavey said this morning, as it ramps up activity at its Jubilee field.

Current production from its Jubilee field, offshore Ghana in Africa, is around 110,000 barrels of oil a day, although the oil giant said it is targeting 120,000 barrels a day.

However, Tullow said it would write off $219m (£135m) for dry holes and licence relinquishments, which sent its shares down in early trading on Friday.

The company said it would continue to focus on "high value oil and early monetisation" in its exploration-led growth strategy – selling assets where it has found oil relatively early in the development and production.

The FTSE 100 explorer added it would spend $900m on drilling more than 40 wells this year.

Chief executive Aidan Heavey said this morning: “This continuing process of portfolio management, alongside increased Jubilee production and a strengthened balance sheet, provides a strong base from which our exploration-led growth strategy can continue to deliver.

“Tullow is now well positioned for a very successful 2013 and growth beyond.”