2018 Full Year Results

  • Feb 13, 2019
  • Tullow Oil

Tullow Oil plc (Tullow), the independent oil and gas exploration and production group, announces its Full Year Results for the year ended 31 December 2018.

$1.9 BILLION SALES REVENUE; $411 MILLION FREE CASH FLOW; 1.9X GEARING; 4.8¢/SHARE FINAL DIVIDEND

GHANA GROSS PRODUCTION C. 180,000 BOPD IN 2019; FIDS TARGETED IN EAST AFRICA

THREE-WELL GUYANA DRILLING CAMPAIGN TO COMMENCE MID-YEAR

Details of a presentation and webcast being held today are available here.

COMMENTING TODAY, PAUL MCDADE, CHIEF EXECUTIVE OFFICER, SAID:

“Tullow has worked hard over the past few years to become a self-funding, cash-generating business with a robust balance sheet, low-cost assets and a rigorous focus on cost and capital discipline. This has allowed us to set a clear capital returns policy which will start with the 2018 final dividend announced today. Our high-margin producing assets in West Africa, substantial development assets in East Africa and exploration licences in industry hotspots provide Tullow with a strong foundation for growth in the years ahead.”

2018 FULL YEAR RESULTS SUMMARY

Revenue of $1.9 billion; corporate Business Interruption insurance proceeds of $188 million

Gross profit of $1.1 billion; profit after tax of $85 million; free cash flow of $411 million; opex reduced to $10/barrel

Year-end net debt of $3.1 billion, $1 billion headroom; gearing of 1.9x; no near-term maturities

2018 capital investment of $423 million; 2019 forecast of $570 million

Sustainable capital returns policy announced in November; 2018 final recommended dividend of 4.8¢/share (c.$67 million)

West Africa 2018 net oil production averaged 88,200 bopd; 2019 forecast 93,000 - 101,000 bopd

Principles agreed with Government of Uganda on CGT; completion of farm-down to follow

JV Partners targeting Uganda development FID around mid-year; Kenya development targeting end 2019 FID

Guyana exploration drilling to commence in mid-2019 with a three-well programme planned

 Open the Full Results Statement