Tullow Oil’s 2018 revenue reached 1.8 billion dollars, according to its January Trading Statement released on Wednesday, January 16, 2018.
The oil company also recorded additional proceeds of 0.2 billion dollars from Corporate Business Interruption insurance.
Again, the Trading Statement said that Tullow’s net debt at the end of 2018 is estimated at 3.1 billion dollars.
Commenting on the company’s performance, the CEO of Tullow Paul McDade said:
“Tullow is well-placed to deliver on its growth ambitions. In 2019, we will increase oil production in West Africa, target Final Investment Decisions in East Africa and drill the first wells in an exciting exploration campaign in Guyana. Despite a volatile oil price, Tullow’s improved balance sheet, low cost production and strong cash flow generation, even at lower oil prices, will allow us to both invest for growth and pay a sustainable dividend.”
Narrowing down to Tullow’s West Africa production, the company indicated that oil assets performed solidly and delivered net production of 88,200 bopd in line with expectations.
This includes production-equivalent insurance payments of 8,600 bopd from Tullow’s Corporate Business Interruption insurance.
Working interest gas production averaged 1,800 boepd for the full year resulting in overall Group net production of 90,000 boepd.
In 2019, overall working interest oil production, including production-equivalent insurance payments, is expected to average between 93,000 and 101,000 bopd. Working interest gas production exported from TEN is expected to average 1,000 boepd. Overall Group net production is therefore expected to be in the range of 94,000 to 102,000 boepd.
Gross production from Jubilee in 2018 averaged 78,000 bopd (net: 27,700 bopd) slightly below the Group’s November forecast. This was due to minor operational issues in December, which have now been resolved.
Tullow’s net production from Jubilee in 2018, including estimated production-equivalent insurance payments of 8,600 bopd, was36,300 bopd.
Tullow expects 2019 average gross oil production from the Jubilee field to increase to around 96,000 bopd (net: 34,000 bopd). Tullow’s Corporate Business Interruption insurance is expected to provide around1,000 bopd of net production-equivalent insurance payments, resulting in expected total 2019 Jubilee full year average net production of 35,000 bopd.