Business model

Tullow is a leading independent exploration and production company primarily focused on Africa and South America. Our business model shows the parts of the Group that work together to run our business and create value. The skills, experience and reputation we call upon across the seven elements of our business model are what we believe set Tullow apart from its peers.

how we create value

How we create value describes our core operations from exploration, to development and production, and through our strong financial and portfolio management. Ultimately the purpose of our business model is to create sustainable, long-term value growth and return on investment for our shareholders.

How we run our business

How we run our business describes how we manage our people, how we interact with communities, government relations and how we manage our environmental footprint.

  1. Exploration & appraisal

    Growth through exploration.

    our key strengths and activities

    • Finding oil to build reserves and resources to sell in the ground or to selectively develop for future production through targeted and disciplined exploration in geographies and geologies we know well in Africa and South America
    • Active high-grading of our prospect portfolio to build the best pipeline of drilling candidates, managing risk exposure and readiness to take advantage of new exploration opportunities

    Risk owner

  2. Development & production

    Safely deliver selective development projects. All major projects and production operations focus on increasing cash flow and commercial reserves.


    • Focused development plans with clear routes to monetisation
    • Investing in near- and in-field drilling programme in Ghana to increase and extend production plateau and reduce decline in our non-operated assets
    • Clear path to additional 23,000 bopd from early 2020s, from our equity share in Uganda, at no cost to the Group following completion of the farm-down deal
    • Optimising pre-FID investment in Kenya, with clear focus on achieving a profitable development at low oil prices

    Risk owner

  3. Finance & portfolio management

    Continually manage financial and business assets to enhance our portfolio, replenish upside and support funding needs.

    Our Key strengths and activities

    • Reducing debt by around 30 per cent over the year and moving closer towards our policy of <2.5x net debt/adjusted EBITDAX
    • Creating operational and financial flexibility through the Rights Issue
    • Securing long-term funding through refinancing of our RBL facilities

    Risk owner

  4. Responsible operations

    Achieve safe and sustainable operations, minimise our adverse environmental and social impacts, and achieve the highest standards of health and safety.

    Our key strengths and activities

    • Progressing position on Free, Prior and Informed Consent in Kenya, as recognised by the International Finance Corporation
    • Signing a Memorandum of Understanding on Voluntary Principles and Human Rights in Kenya
    • Continued drive on process safety management on Ghanaian assets

    Risk owner

  5. Governance & risk management

    Achieve strong governance across all Tullow activities and maintain an appropriate balance between risk and reward.

    our key strengths and activities

    • 100 per cent completion of the e-learning module and Code of Ethical Conduct compliance certification
    • Integrating risk and assurance monitoring into quarterly business performance reporting and reviews
    • Auditing our Integrated Management System, validating its completeness and effectiveness of roll-out

    Risk owner

  6. Organisation & culture

    Build a strong unified team with excellent commercial, technical and financial skills and entrepreneurial flair.

    Our key strengths and activities

    • New Executive Team selected internally, responsible for driving performance and positioning the Company for growth
    • Follow-up to employee feedback survey has resulted in launch of refreshed Values and dedicated project to accelerate Company’s career and performance development opportunities

    Risk owner

  7. Shared prosperity

    Create sustainable, transparent and tangible benefits from the presence of oil in host countries.

    Our key strengths and activities

    • Strength of government relations demonstrated by Greater Jubilee Full Field Development
    • Plan approval and new Côte d’Ivoire exploration licence awards after ITLOS ruling
    • Stakeholder Engagement Framework published ahead of development phase in Kenya
    • Ongoing progress of the socio-economic investment strategy

    Risk owner