Tullow Oil PLC has announced a substantial profit of $411 million for the first half of 2024, marking a significant increase of over 50% from the $266 million achieved in the same period in 2023.
The results were disclosed in the company’s half-year financial report released on August 7, 2024.
This profit is the highest recorded by any of Tullow’s subsidiaries this year and highlights the robust performance of its operations in Ghana.
The company also paid $144 million in taxes to the government of Ghana for the first half of 2024.
Despite the impressive financial results, Tullow is currently embroiled in a dispute with the Ghana Revenue Authority (GRA) over tax payments for its operations between 2022 and 2023.
Operational performance in Ghana has been strong, with offshore oil facilities maintaining a high-efficiency level of 97% uptime. The Jubilee oil field produced an average of 90,100 barrels per day, slightly below expectations.
However, the Tweneboah Enyenra Ntomme (TEN) oil fields exceeded forecasts, with an average daily production of 19,000 barrels.
Gas production in Ghana averaged 6,500 barrels of oil equivalent per day (boepd) during the first half of 2024.
Tullow’s existing Gas Sales Agreement, pricing gas at $3.00 per million British thermal units (MMBtu), will remain effective until the fourth quarter of 2025.
Tullow is exploring opportunities to sell additional gas to third parties, potentially establishing a significant long-term revenue stream.
The company’s strategic focus on enhancing operational efficiency and expanding revenue channels underscores its commitment to regional growth and profitability.
