Falling oil price pushes Tullow Oil to $300m loss after tax in 2017 first half

Tullow Oil has made a loss of 300 million dollars in the first half of 2017.

Tullow said the cause of its rising loss was due to reduced oil price forecasts on most of its producing assets.

However, oil production for the first half of the year increased by 41 percent.

In the same period in 2016, the company recorded a profit of 30 million dollars profit after tax. This represented a decrease of 270 million if compared to 2016.

The oil company’s revenue for the first half of 2017, however, went up to 788 million dollars from the 541 million dollars recorded in the same period last year.

Even though Tullow hedged against global oil prices, the 57dollars per barrel price was down from the 61 dollars per barrel it received in 2016.

The Executive Vice President for Tullow West Africa, Gary Thompson said he was hopeful Tullow will record a better second half especially with plans in place for stabilising the turret on the Jubilee oilfields.

“Tullow’s West African business had a strong first half of the year. With TEN currently producing in excess of 50,000 bopd from existing well stock and plans in place for stabilising the turret on the Jubilee FPSO.”

“I am confident that we are well placed to have an equally strong second half. Our focus is on growing production as we put the technical issues on the Jubilee FPSO behind us, get back to drilling on TEN post-ITLOS and progress the GJFFD Plan,” he added.