REG - Tullow Oil PLC - 2016 Half Year Results <Origin Href="QuoteRef">TLW.L</Origin> - Part 3

Tullow OilAnnouncement

27/07/2016 07:06

- Part 3: For the preceding part double click  ID:nRSa3212Fb 

          -                  
 Other non-current assets                 4.5                  10.9                 11.3               
                                          296.0                350.1                223.4              
 Current                                                                                               
 Amounts due from joint venture partners  522.9                411.0                584.4              
 Underlifts                               30.0                 36.2                 2.4                
 Prepayments                              34.3                 58.9                 77.9               
 VAT & WHT recoverable                    9.1                  -                    9.2                
 Other current assets                     99.7                 97.9                 89.3               
                                          696.0                604.0                763.2              
 
 
The increase in non-current amounts due from joint venture partners relates to
a carry of TEN development expenditure in Ghana. 
 
12.  Trade and other payables 
 
                                       30.06.16Unaudited$m  30.06.15Unaudited$m  31.12.15Audited$m  
 Current                                                                                            
 Trade payables                        44.8                 13.8                 24.0               
 Other payables                        71.4                 53.4                 61.2               
 Overlifts                             13.4                 0.8                  3.7                
 Accruals                              754.0                717.8                993.3              
 VAT and other similar taxes           26.7                 56.6                 26.9               
 Current portion of finance lease      1.7                  1.4                  1.5                
                                       912.0                843.8                1,110.6            
 Non-current                                                                                        
 Other non-current liabilities         74.0                 52.5                 72.8               
 Non-current portion of finance lease  25.6                 27.3                 26.5               
                                       99.6                 79.8                 99.3               
 
 
13.  Provisions 
 
                                          30.06.16Unaudited$m  30.06.15Unaudited$m  31.12.15Audited$m  
 Current                                                                                               
 Provision for onerous service contracts  140.1                -                    185.5              
 Provision for restructuring costs        2.9                  18.6                 1.5                
                                          143.0                18.6                 187.0              
 
 
In 2015 the Group recognised a provision of $185.5 million in respect of
onerous service contracts, $59.6 million was paid under these provisions in 1H
2016 offset by an increase in provisions by $16.9 million. 
 
14.  Called up equity share capital 
 
In the six months ended 30 June 2016, the Group issued 0.7 million (1H 2015:
0.7 million) new shares in respect of employee share options. 
 
As at 30 June 2016, the Group had in issue 912.3 million allotted and fully
paid ordinary shares of Stg 10 pence each (1H 2015: 911.4 million). 
 
15.  Subsequent events 
 
On 6 July Tullow completed the issuance of a $300 million Convertible Bond
Offering. The bonds were issued to further diversify Tullow's sources of
funding and the proceeds will be used for general corporate purposes and to
fund capital investment in the Group's assets in West and East Africa. 
 
In July, the Rome prospect in PL776 Norway was drilled to a total vertical
depth of 2,319 metres below sea level by the semi-submersible Borgland Dolphin
rig in a water depth of 98 metres. The well did not encounter any hydrocarbons
and has been plugged and abandoned. 
 
16.  Commercial Reserves and Contingent Resources summary (unaudited) working
interest basis 
 
                       West Africa  East Africa  New Ventures  TOTAL   
                       Oilmmbbl     Gasbcf       Oilmmbbl      Gasbcf  Oilmmbbl  Gasbcf  Oilmmbbl  Gasbcf  Petroleummmboe  
 COMMERCIAL RESERVES                                                                               
 1 January 2016        287.6        205.8        -             -       -         -       287.6     205.8   321.8           
 Revisions             7.6          0.4          -             -       -         -       7.6       0.4     7.7             
 Production            (9.1)        (8.7)        -             -       -         -       (9.1)     (8.7)   (10.4)          
 30 June 2016          286.1        197.5        -             -       -         -       286.1     197.5   319.0           
 CONTINGENT RESOURCES                                                                              
 1 January 2016        115.8        724.9        628.8         42.6    101.5     4.2     846.1     771.7   974.7           
 Revisions             (1.1)        4.9          (0.1)         0.1     -         -       (1.2)     5.0     (0.4)           
 Disposals             -            -            -             -       (22.6)    -       (22.6)    -       (22.6)          
 30 June 2016          114.7        729.8        628.7         42.7    78.9      4.2     822.3     776.7   951.7           
 TOTAL                                                                                                                     
 30 June 2016          400.8        927.3        628.7         42.7    78.9      4.2     1,108.4   974.2   1,270.8         
 
 
1.   Proven and Probable Commercial Reserves are based on a Group reserves
report produced by an independent engineer. Reserves estimates for each field
are reviewed by the independent engineer based on significant new data or a
material change with a review of each field undertaken at least every two
years. 
 
2.   Proven and Probable Contingent Resources are based on both Tullow's
estimates and the Group reserves report produced by an independent engineer. 
 
The Group provides for depletion and amortisation of tangible fixed assets on
a net entitlements basis, which reflects the terms of the Production Sharing
Contracts related to each field. Total net entitlement reserves were 320.2
mmboe at 30 June 2016 (30 June 2015: 301.3 mmboe). 
 
Contingent Resources relate to resources in respect of which development plans
are in the course of preparation or further
evaluation is under way with a view to development within the foreseeable
future. 
 
About Tullow Oil plc 
 
Tullow is a leading independent oil & gas, exploration and production group,
quoted on the London, Irish and Ghanaian stock exchanges (symbol: TLW). The
Group has interests in over 120 exploration and production licences across 22
countries which are managed as three business delivery teams: West Africa,
East Africa and New Ventures. 
 
EVENTS ON THE DAY 
 
In conjunction with these results Tullow is conducting a London Presentation
and a number of events for the financial community. 
 
09.00 BST - Conference call 
 
To access the call please dial the appropriate number below shortly before the
call and ask for the Tullow Oil plc conference call. A replay facility will be
available from approximately noon on 27 July until 3 August. The telephone
numbers and access codes are: 
 
 Live event          Replay facility available from Noon  
 Participants        +44 (0) 20 3427 1903                 Participants        +44 (0)20 3427 0598  
 UK  free phone      0800 279 5004                        
 Irish Participants  +353(0)1 2465601                     Irish Participants  (0)1 4860902         
 Access Code         478421                               Access Code         478421               
                                                                                                     
 
 
Webcast 
 
To join the live video webcast, or play the on-demand version which will be
available from noon on 27 July please use the following link:
http://edge.media-server.com/m/p/wvoivtsv. The webcast requires Real Player or
Windows Media Player. 
 
FOR FURTHER INFORMATION CONTACT: 
 
 Tullow Oil plc (London) (+44 20 3249 9000)Chris Perry (Investor Relations)Nicola Rogers (Investor Relations)George Cazenove (Media Relations)  Citigate Dewe Rogerson(London) (+44 207 638 9571) Martin JacksonShabnam Bashir  Murray Consultants (Dublin) (+353 1 498 0300) Pat WalshJoe Heron  
 
 
Follow Tullow on: 
 
Twitter: www.twitter.com/TullowOilplc 
 
YouTube: www.youtube.com/TullowOilplc 
 
Facebook: www.facebook.com/TullowOilplc 
 
LinkedIn: www.linkedin.com/company/Tullow-Oil 
 
Website: www.tullowoil.com 
 
This information is provided by RNS
The company news service from the London Stock Exchange