Tullow Oil has issued a statement in advance of the Group's Annual General Meeting (AGM).
Ian Perks, Chief Executive Officer of Tullow, commented:
'Tullow has performed strongly since the outset of 2026, marked by significant delivery across the business. Our drilling campaign in Ghana continues to progress well with encouraging results to date reinforcing our growing confidence in delivering production at the higher end of our guidance range, reflecting our disciplined execution and focus on high operational performance.
'With group production at the higher end of guidance and our significant leverage to the oil price, including year to date realisations ahead of expectations, we remain well placed to generate significant free cash flow in 2026 and beyond. Supported by a stable platform and strong momentum, we remain focused on executing our growth strategy to realise the full potential of our assets in Ghana and deliver value for all stakeholders.'
Operational update
- Group working interest production from January to May 2026 was 43.1 kboepd, including 7.3 kboepd of gas production, supporting the expectation of being at the higher end of the previously announced 2026 range of 34-42 kboepd.
- The drill schedule for 2026 remains unchanged, with the third of six Jubilee wells (J76-P) expected onstream this week. Logging results of the well are supportive of a strong production well.
- The remaining two producer wells (J77-P and J50-P) are expected onstream in June and July, with the final well (water injection) due onstream in September.
- The outstanding operational uptime performance in the first quarter of 2026 continued in April and May, with facility uptime across both Jubilee and TEN FPSOs averaging more than 99% for January to May.
- Greater Jubilee Plan of Further Development has been approved by the Minister of Energy, which confirms support for further drilling of up to 20 wells in Jubilee after the end of the current campaign.
Financial update
- 2026 free cash flow guidance remains $70-175 million at $70-100/bbl. This range is expected to grow to $110-230 million if an additional cargo can be delivered in December 2026.
- Average pre-hedge oil price realisations for five cargos, from January to May, of c.$96/bbl (c.$87/bbl post-hedge), with Tullow's May Jubilee cargo achieving $119/bbl.
- Commodity hedge portfolio protecting 60% downside whilst retaining access to 60% upside in 2026.
- Group capital expenditure and decommissioning spend guidance for 2026 remains unchanged at c.$200 million and c.$25 million.
Source: Tullow Oil
