Thursday 17 August 2017

Tullow Oil's production hit by technical issues

Oil production at Tullow's field has been constrained.
Oil production at Tullow's field has been constrained.
Gavin McLoughlin

Gavin McLoughlin

Oil production at Tullow Oil's Jubilee field in Ghana has been hit by technical issues.

The company said there has been a problem with its gas compression systems, and that export of gas from the field has been halted since July 3.

Tullow said it has "mobilised a team of experts to rectify the fault within the gas compression system and estimates that it will take approximately a further 3 weeks to reinstate gas export and full oil production."

"Oil production is currently constrained to approximately 65,000 bopd and is under constant review but there is no effect on the Field's reservoir or resources," Tullow said.

The company said it will review its 2015 production forecast for the field.

Goodbody analyst Gerry Hennigan said that while disruption is likely to be temporary, any disruption in supply from Jubilee is a concern as production from Ghana is forecast to be a risign contributor to overall group production.

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