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Tullow says budget cuts will not affect project in Ghana

May 5, 2016 9:12 AM

The oil exploration firm this year slashed about $100 million of its budget, raising fears it may hold back investments in Ghana.

Tullow Oil has insisted fresh budget cuts will not affect its projects in Ghana.

However, the company’s CEO Aidan Heavey says a decision was taken early in the year not to cut cost at the Tweneboa-Enyenra-Ntomme (TEN) project and other projects in Ghana.

“The TEN project is a very important project and we took a decision very early on not to cut cost at the TEN, Heavey to Joy FM. “Our priority was to ensure TEN delivers on time and on budget and I think we will achieve it.”

The TEN project is 90 percent complete, according to Tullow’s latest update on the project is on course to begin oil production in the third quarter of this year.

Tullow estimates that TEN average annualised production in 2016 will be around 23,000 bopd gross.

Heavey said the other part of the business will focus on cost cutting and making sure that the company is profitable as a business.

He indicated that there will be labour cut throughout the organization.

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