Tullow Oil Finally Profitable After Brutal 2020
Tullow Oil today swung back into profit for the first half of the year and upped its production targets as it looked to get back on a surer footing after several challenging years.
The firm booked a profit of $93m for the first six months, having posted a whopping $1.3bn loss in the same period last year due to impairment charges.
Revenue year-on-year was flat at $737m.
For the full year, the FTSE 250 oil explorer said that production would come in at 58,000-61,000 barrels per day after an increase in output at one of its fields in Gabon.
Last year Tullow warned that it could be heading for a cash crunch due to the decline in oil demand caused by the pandemic.
The firm is currently undergoing a revamp after a challenging couple of years for the company.
Chief executive Rahul Dhir, who joined the Africa-focused firm amid the coronavirus oil price crash last year, said:
“Strong operational performance in the first half of the year and a transformational debt refinancing have put Tullow on a firm footing to deliver our business plan.
“Our West Africa production assets have performed well, and we are narrowing production guidance for 2021 to the upper end of the range. In Kenya, the revised development plan creates a robust project that has the potential to deliver material value to the Government of Kenya and other stakeholders.”