Tullow Oil - comment

Although Tullow does not publish quarterly results, its Ghanaian partner, Kosmos, does, providing a useful read-across. The implications for Tullow are broadly positive, though they do little to change the underlying challenges facing its investors.

Kosmos’ Q3 results indicate that production in Ghana was broadly in line with expectations, with output from the TEN field exceeding our forecasts. Gas sales were, however, lower than anticipated. The company also highlighted the sale and purchase agreement to acquire the TEN FPSO, a transaction that, once completed, is expected to lower operating costs at the field. Furthermore, Kosmos confirmed that the first producer well of the 2025–26 Jubilee drilling campaign has come onstream, delivering around 10,000 boepd.