Tullow Oil abandons dry well in Ethiopia
Published 10/12/2013 | 23:43
AFRICAN-focused oil and gas miner Tullow says a well it drilled in Ethiopia had failed to strike oil. Tullow shares fell as much as 3pc after it announced that the well, referred to as the Tultule-1 wildcat well in the South Omo block onshore Ethiopia, will be plugged and abandoned as a dry hole.
Dublin-listed Tullow was the operator of this well with a 50pc interest along with partners Africa Oil (30pc) and Marathon (20pc).
The Irish-founded mining company said the rig used on that site would now move to a different area of the country to drill another well.
The well was sunk to 2,101 metres and found to be dry.
However, gas shows were recorded confirming a hydrocarbon source in the region, Tullow said.
Tullow has a 50pc interest in the South Omo block, its most northerly stake in the Kenya-Ethiopia rift system.
Partners are Africa Oil, which has 30pc, and Marathon Oil, which has 20pc.
The rig will now move to the Shimela prospect in the eastern portion of the South Omo block, where new seismic has delineated a number of exciting new prospects. A well is expected to spud at the end of Q1, 2014.