Our story

2023

7 countries	$1.6bn sales revenue
62,700 bopd production

 

During 2023 Tullow continued to evolve into a more focused, efficient and financially resilient business. A material step-up in cash flow generation marked an important inflection point in Tullow’s business plan and the Group demonstrated that is has a strong and unique foundation to create material value. 

2022

8 countries	$1.7bn sales revenue
61,100 bopd production

 

2022 saw Tullow successfully deliver against our business plan. A high focus on cost control and a disciplined approach to operational efficiency resulted in very strong performance for the year, with group production in line with guidance and expectations, delivering free cash flow of $267 million, lowering net debt to $1.9 billion and reducing cash gearing to 1.3x net debt to EBITDAX. 

2022 was the second successive year of industry top quartile safety performance with no recordable incidents in the year and no Tier 1 process safety events. Tullow also successfully transferred the operation and maintenance of the FPSO at the Jubilee field from an external contractor to our operating team. This was a major step in supporting the Group’s vision of becoming a leading low-cost operator. 

Also in the year, Tullow invested $126 million to pre-empt the sale of assets in Ghana by Occidental Petroleum to Kosmos Energy. This investment, which paid back within the year, boosted net production and added to net 2P reserves. 

2021

8 countries	$1.3bn sales revenue
59,200 boepd production

A transformational year

2021 was a year of profound change and transformation for Tullow. The year began in refinancing talks with lending banks and bond holders and had reached a firm financial footing by year end. The delivery of our long-term Business Plan progressed well, and performance was at the upper end of expectations with significant improvements in safety, operating efficiency and drilling performance.

Daily production grew from c.70,000 bopd at the beginning of 2021 to c.90,000 bopd by the end of the year. The early success of the drilling programme in Ghana validated our thesis that Tullow can deliver production growth and value through a well-crafted capital investment programme. Exploration efforts were reorientated to enhance value in our core areas with much focus on the Tano Basin across Ghana and Cote d’Ivoire, maturing some interesting opportunities in the vicinity of the TEN FPSO, and maturing several prospects around the Simba and the Tchatamba South licences in Gabon.

In March 2021, Tullow committed to being Net Zero on our Scope 1 and 2 net equity emissions by 2030, supporting the goal of limiting global temperature rise to well below 2°C as per Article 2 of the Paris Agreement.

In September 2021, Tullow laid out our purpose – affirming our belief that oil and gas production can and should be a driver of long-lasting economic and social change in developing economies as long as those resources are developed efficiently, safely and responsibly.

2020

11 countries	$1.4bn sales revenue
74,900 bopd production

A year of resilience

Tullow ended 2020 with an average production rate of 74,900 bopd and free cash flow generation of c. $432 million. Against the backdrop of the global pandemic and its impact on oil prices, market conditions and restrictions on movement of people and materials, Tullow has weathered the storm in 2020 with remarkable focus and determination, meeting production guidance and ending the year cash flow positive, inclusive of Uganda proceeds. Tullow’s resilience is particularly noteworthy, given the tumultuous start to the year.

A new experienced leader, Rahul Dhir, is now at the helm and the company has a clear strategic direction, with a new integrated leaner organisation structure, and a redoubled focus on driving value for our investors, host governments and our people. Our producing assets are underpinned by a large resource base with well-defined investment opportunities. This is complemented by our material positions in undeveloped resources and emerging basins. Together, this unique set of assets provides very significant value and material, organic growth options.

Our singular focus on operating efficiencies and costs will ensure we maintain high margins even at low prices. Ultimately, this high-quality investment portfolio and capital discipline will drive tangible, self-funded production growth, with strong cash flows, and enable Tullow to deleverage and generate material value.

2019

 

15 countries	$1.7bn sales revenue
86,700 bopd production

Creating focus in a challenging year

Tullow ended 2019 with average production of 86,700 bopd and free cash flow generation of c.$350 million. Tullow's senior team has been working hard on a major review focused on delivering a more efficient and effective organisation.

The fundamentals of our business remain intact: recent reserves audits demonstrate that we have a solid underlying reserves and resources base in West and East Africa, our producing assets continue to generate good cash flow and we retain a high-quality exploration portfolio.

The Board and senior management are confident of the long-term potential of the portfolio and see meaningful opportunities to improve operational performance, reduce our cost base, deliver sustainable free cash flow and reduce our debt.

2018

17 countries	990 employees
$1.9bn sales revenue	90,000 boepd production

A new chapter in Tullow's history

In 2018 we continued to build on the progress we made in 2017, further strengthening our balance sheet, maintaining cost and capital discipline, delivering our operational targets and continuing to build an exciting exploration portfolio.

We produced 90,000 boepd during the year and delivered significant free cash flow of over $400m, firmly establishing Tullow as a self-funding oil company, balanced across exploration, development and production. We also clearly laid out our capital allocation framework, which includes the Board’s decision to reinstate a dividend of no less than $100m from 2019 onwards.

2018 was also a year where we defined our vision for the Company into the next decade, to deliver our ambitions for growth and balance the broader interests of our three stakeholder groups: our investors, our host countries and their communities, and our people.

In 2018 we also saw changes at Board level with the retirement of our founder, Aidan Heavey and the arrival of Dorothy Thompson as our new Chair.

2017

16 countries	1,030 employees
$1.723bn revenue	94,700 boepd production equivalent insurance payments

Focused on opportunities in a changed industry

In 2017, Paul McDade became Tullow's new CEO as founder-CEO Aidan Heavey, stepped into the role of Chairman. Tullow moved into a much stronger financial position, generating $543 million of free cash flow (FCF) and reducing debt to $3.5 billion. This achievement was in part thanks to the hard work of the business to maximise FCF from operations, but also a result of the loyalty shareholders showed through the $750 million Rights Issue, which was the final part of resetting the business.

We generated record production of 94,700 boepd, beating original guidance and boosted by strong performance at TEN and Jubilee. The ITLOS ruling in September, which had no adverse impact on Tullow, provided clarity for our business in both Ghana and Côte d'Ivoire. 

In Kenya, we completed the South Lokichar Basin appraisal programme and through confirming material oil resources to support substantial production, we defined a development project focused on the Amosing and Ngamia fields as the Foundation Stage.

2016

18 countries	1,152 employees
$1.27bn revenue	71,700 boepd production includes 4,600 barrels from insured Jubilee field

Confronting challenges & achieving results

The clear highlight of 2016 was delivering Ghana’s second major oil and gas development, the TEN fields, on time and on budget. Production from TEN, alongside Tullow’s other West African oil production, has begun the generation of positive free cash flow and enabled the business to begin the important process of deleveraging the Group’s balance sheet. This was achieved despite the technical issues we dealt with on Jubilee. Good progress was also made in East Africa with a decision on the export pipeline routes; the award of Uganda production licences and the farm down of Tullow’s interest in our Uganda licences to Total, announced in January 2017.

2015

22 countries	1,403 employees
$1.6bn revenue	73,400 boepd production

Adjusting to a new market reality

Tullow acted quickly to a lower oil price environment. The Group took decisive actions: focusing our capital on high-margin West African oil projects and cash flow generation; cutting exploration expenditure; suspending our dividend; reviewing all current and future projects and focusing on efficiency and cost savings. These initiatives helped to protect the balance sheet and funding position of the business. The Group also restructured our organisation structure reducing headcount by ~40%, a plan which is delivering cash savings ~$500 million over a three year period.

Despite these distractions, Tullow’s maintained production at 73,400 boepd. The impact of lower prices was mitigated by our prudent hedging strategy, which helped to underpin revenues of $1,607 million. Tullow’s focus on delivery was demonstrated by progressing the TEN Project in Ghana. Appraisal activity continued in Kenya, and nine successful appraisal wells underpinned the discovered resource base and upside potential of the South Lokichar Basin.

2014

22 countries	2,042 employees
$2.21bn revenue	75,200 boepd production

Achievements and challenge

In 2014 the Jubilee Project in Ghana met its annual production target and the FPSO performed impressively. The TEN Project, also in Ghana, continued to progress on time and on budget and at year end was over 50% complete. In East Africa, the Group made further discoveries in Kenya to help underpin the South Lokichar Basin’s commercial potential. We also had a further discovery, offshore Northern Norway, with the Hanssen-1 well which contributed materially to the wider Wisting cluster. 

2014 was a challenging year for the traditional oil and gas sector. Oil prices fell dramatically in the second half of the year and the traditional E&P sector was out of favour with investors. In late 2014, the market conditions led Tullow to review its capital expenditure and cost base, and the Group announced that it was re-allocating its spend in 2015 to focus on the TEN Project, the Jubilee field, West African non-operated production and lower-cost, lower risk exploration. The shift towards production assets and the commercialisation of existing discoveries that will generate significant future value and cash flow, will ensure the Group is well-positioned for success when the industry cycle turns.

2013

24 countries	2,034 employees
$2.65bn revenue	84,200 boepd production

Growth in Kenya

In 2013 Tullow delivered $2 billion of operating cash flow and established a flexible and strong balance sheet. The Group delivered another year of exploration and appraisal success, most notably in onshore Kenya, and made significant progress with its key developments in Ghana, Kenya and Uganda. There were disappointments, however, especially offshore French Guiana where the potential of the Zaedyus-1 well was not fulfilled with four consecutive dry holes in the follow up campaign. Unsuccessful wells offshore Mozambique and in Ethiopia were also significant disappointments. Tullow entered the bond market for the first time raising $650m in a heavily over-subscribed issue. The TEN Project in Ghana received approval and is targeting mid-2016 for first oil.

2012

25 countries	1,415 employees
$2.3bn revenue	79,200 boepd production

Major progress

In early 2012 Tullow completed its $2.9bn farm-down to Total and CNOOC in Uganda and used the proceeds to become debt-free. In April 2012, Tullow made an exceptional oil discovery in another country which had never found oil before. This time the Ngamia-1 well in Northern Kenya found 100m of net oil pay (later increased after appraisal to 200m). Tullow also added highly prospective new licences in Africa and the Atlantic Margins. The Jubilee Field in Ghana performed well and provided a strong base for Tullow’s operational cash flow and the Group secured a $3.5bn debt refinancing towards the end of the year. The second Zaedyus well was unsuccessful. In December 2012, Tullow acquired Spring Energy, an exploration company based in Oslo with assets throughout offshore Norway, for £372m.

2011

22 countries	1,548 employees
$2.3bn revenue	78,000 boepd production

Record results

In 2011, Tullow continued its appraisal of the Tweneboa-Enyenra-Ntomme oilfield, offshore Ghana. The company also made an exceptional discovery with the Zaedyus-1 well (73m of net oil pay), offshore French Guiana. On the back of strong commodity prices and increased production following first oil at Jubilee, Tullow had a very strong year financially with an increase in profit after tax of 670% to $689 million. Tullow also listed on the Ghana Stock Exchange in July 2011, raising £46m in the process, and made two purchases of EO Group in Ghana for $305m which increased Tullow’s equity in the Jubilee Field and of Nuon BV for €300m which added to Tullow’s Dutch North Sea exploration and producing assets.

2010

22 countries	935 employees
$1,090m revenue	58,100 boepd production

Breaking records

The clear highlight of 2010 was achieving first oil from the Jubilee field offshore Ghana just 40 months after the first discovery. The development was delivered on time and within 5% of the original budget. E&A success continued in Uganda, Gabon and in Ghana. The Owo-1 (later renamed Enyenra) well was a significant oil discovery in 2010; this was a key moment in building up Ghana’s second major development, the TEN Project, which is due to come on stream in 2016.

Tullow executed a successful equity placing in January 2010 which raised £925m. The money raised was used to pay for Tullow’s purchase of Heritage Oil plc’s assets in Uganda for a total consideration of $1.5bn. Tullow announced that it would farm-down 66.6% of its interests in Uganda, post completion of the deal with Heritage, to Total and CNOOC.

2009

23 countries	669 employees
$916m revenue	58,300 boepd production

Continued exploration activity

2009 was another great year for Tullow. Exploration and appraisal (E&A) activity continued at pace with major successes in Ghana and Uganda. The business continued to focus on first oil in Ghana in 2010 and raised £402m in a stock market placing to help pay for the development.

2007+

23 countries	370 employees
$1,280m revenue	73,100 boepd production

Largest ever delivery

In 2007, Tullow’s exploration success continued with its largest ever discovery which led directly to the development of the Jubilee Field, offshore Ghana. There was 100% exploration success in Uganda, moving this project closer to the commercial threshold for development. The Group generated record production, sales revenue, operating cash flow and growth in reserves and resources. Tullow was promoted to the FTSE100 in September 2007.

2006

22 countries	250 employees
$1,067m revenue	58,450 boepd production

Transformational year

In 2006, Tullow’s remarkable record of exploration success began. The Group made five oil discoveries in Uganda during 2006, which established the existence of a working hydrocarbon basin and marked the beginning of proving up a world-class major new oil province in the Lake Albert basin. Tullow also made three gas discoveries in the UK. In the third quarter, Tullow announced its largest ever acquisition with a US$1.1 billion bid for Hardman Resources Limited. This transaction became effective in December 2006 and completed in January 2007. As a result of this acquisition, Tullow gained not only a dominating operating position in Uganda, where it had partnered with Hardman, but also assets in Mauritania, French Guiana and Suriname.

2005

15 countries	174 employees
£445.2m revenue	54,450 boepd production

Financial growth

Production, profits, earnings and cash flow grew strongly in 2005 following the integration of Energy Africa and the Group had two UK North Sea gas discoveries, a discovery in Gabon and one in Mauritania.

2004

16 countries	147 employees
£225.2m revenue	40,600 boepd production

Doubled in size

In 2004 Tullow doubled in size as a result of the $500m Energy Africa acquisition. This was a transformational acquisition which gave Tullow substantial production of 54,000 boepd (50% oil; 50% gas) and a range of production and exploration assets in Uganda, Gabon, Equatorial Guinea, Namibia and Congo (B) among others. As a result of this major acquisition and other, smaller deals, Tullow recorded its highest levels of production, sales revenue, profits and cash flow. Tullow also completed a placing of £113m to help pay for Energy Africa.

2000+

8 countries	128 employees
£126.6m revenue	24,000 boepd production

Defining period

In 2000, Tullow made the first of a series of key acquisitions when the Group bought producing gas fields and related infrastructure in the UK Southern North Sea from BP for £201m. Tullow also raised £42m in a placing to help pay for the deal. This proved to be a catalyst for Tullow and the Group became a leading player in the CMS and Thames/Hewett areas. The BP deal gave Tullow substantial production and cash flow for the first time and Tullow focused these new financial resources and management attention on offshore UK, West Africa and South Asia. In 2000, Tullow also re-registered in the UK. In 2003, Tullow acquired additional equity in the Hewitt unit in the Southern North and assumed operatorship of the Bacton Gas Terminal in East Anglia.

1990s

8 countries	89 employees
£5.2m revenue	79 mmboe reserves

Steady progress

In 1990, Tullow signed its first licence agreement in Pakistan, laying the foundations for the Group's South Asia assets. Gas was discovered at the Sara field in Pakistan in 1994 and eventually brought on stream in 1999. Tullow acquired licences through the 1990s including in Bangladesh, India, Côte d'Ivoire, Egypt and Romania.

1986+

8 countries	42 employees
£1.7m revenue	£250,000 operating profit

Up and running

Following the signing of a licence agreement in Senegal in 1986, gas production and sales commenced in 1987. In 1988, Tullow expanded its operations into the UK by acquiring exploration acreage and proven gas fields. In 1989, Tullow was awarded its first onshore UK licence and acquired exploration acreage in Spain, Italy and South Yemen. In the same year, Tullow listed its shares on the London and Irish Stock Exchanges.