REG - Tullow Oil PLC - Kenya Update

Tullow OilAnnouncement

23/05/2023 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230523:nRSW2702Aa&default-theme=true

RNS Number : 2702A  Tullow Oil PLC  23 May 2023

TULLOW OIL PLC

 

 

Kenya Update

23 May 2023 - Tullow Oil plc (Tullow) announces that Tullow Kenya B.V., as
operator of its licences in Kenya, has been informed by its two minority
partners of their intention to issue notices of withdrawal from Blocks 10BB,
13T and 10BA in the South Lokichar Basin (the "Project") for differing
internal strategic reasons. As a result, Tullow's working interest in these
blocks will increase from 50% to 100%.

 

The Board considers that owning 100% of the Project creates more optionality,
gives Tullow more flexibility in the ongoing process to secure strategic
partners, creates a simpler Joint Venture Partnership and streamlines project
delivery. This is a low-cost development project that has the potential to
unlock material value for Kenya.

 

The prospective strategic partners have been informed. They remain engaged and
detailed farm-out discussions continue with a number of companies. Whilst the
process has taken longer than expected, Tullow remains focused on securing a
strategic partnership this year.

 

Project progress continues and the updated Field Development Plan (FDP) was
submitted to the Kenyan regulator, Energy and Petroleum Regulatory Authority
(EPRA), in March 2023 and is now under review by EPRA. Tullow will continue to
work collaboratively with Government of Kenya and EPRA to get the FDP
approved.

 

Following the withdrawal of the minority partners, Tullow's net Project 2C
contingent resources are expected to increase from 231 mmboe to 461 mmboe,
taking the Group's total contingent resources from 605 mmboe to 836 mmboe. Net
capex guidance for 2023 in Kenya will increase from c.$10 million to c.$15
million, less than 5% of Group capex.

 

Tullow looks forward to continuing its work with the Government of Kenya and
its host communities to make the region a significant energy producing
province.

 

Ends

CONTACTS
 Tullow Oil plc       Camarco              Oxygène MCL

(Kenya)
 (London)             (London)             (+254 722 799 069)

 (+44 20 3249 9000)   (+44 20 3757 4986)   Alfred Ng'ang'a

 Nicola Rogers        Billy Clegg

 Matthew Evans        Georgia Edmonds

                      Rebecca Waterworth

 

This announcement contains inside information for the purposes of Article 7 of
Regulation 2014/596/EU which is part of domestic UK law pursuant to the Market
Abuse (Amendment) (EU Exit) Regulations (SI 2019/310) ('UK MAR'). Upon the
publication of this announcement, this inside information (as defined in UK
MAR) is now considered to be in the public domain. This announcement is being
made on behalf of Tullow by Adam Holland, Company Secretary.

 

Notes to editors

Tullow is an independent oil & gas, exploration and production group which
is quoted on the London and Ghanaian stock exchanges (symbol: TLW) and is a
constituent of the FTSE250 index. The Group has interests in over 30 licences
across eight countries. In March 2021, Tullow committed to becoming Net Zero
on its Scope 1 and 2 emissions by 2030. For further information, please refer
to our website at www.tullowoil.com (http://www.tullowoil.com/) .

Follow Tullow on:

Twitter: www.twitter.com/TullowOilplc (http://www.twitter.com/TullowOilplc)

YouTube: www.youtube.com/TullowOilplc (http://www.youtube.com/TullowOilplc)

Facebook: www.facebook.com/TullowOilplc (http://www.facebook.com/TullowOilplc)

LinkedIn: www.linkedin.com/company/Tullow-Oil
(http://www.linkedin.com/company/Tullow-Oil)

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCDDGDURBDDGXD