Member Info for Slift

Looks like the $35/barrel breakeven takes into account the benefits to hedging.

Trading Update answers that!

Positives:
- Production is great! (Little impact in non-op portfolio)
- increased hedging for 2021
- Good liquidity (Less expenses in H2,20)
- Cashflow breakeven (due to majority of CAPEX in H1)

Negatives:
- Impairment (although expected)
- Suriname delayed till Q1, 21
- Potential delay in Uganda sale

No worries Longish!

Here's a snapshot of CAPEX for this year:
https://gyazo.com/0855409910559d9f9c6e2c9563de165b

The $350m CAPEX was reduced to $300m in April. No idea what was included in the $50m.

But here are some "possible" cost savings so far:
- Ruche phase 1 in Gabon non-operated portfolio delayed
- Reduced operations at Gabon and Equatorial Guinea (Due to voluntary cuts from OPEC)
- Uganda development CAPEX (All $15m likely saved if sale goes through before Sept)
- Kenya Force Majeure
- Delayed Ntomme-9 well in Ghana?
- Possibly further CAPEX (and OPEX) savings in Ghana since Tullow terminated rig

Ofcourse, there could also be further added costs that are unplanned.
Can only predict and speculate until tomorrow!

GLA.

Ok Swazer, pull us another chart to show this bollinger business.

I'm right here oilheadgame.

Hi Timmy,

Yes, usually between 7:00-7:10am.
https://www.tullowoil.com/investors/regulatory-news/

Good luck to everyone here!

oilheadgame,

Good for you. I'm an engineer, approximate data works fine for me.

It seems like your data of 3p has let you down.

oilheadgame,

"little bou you are just writing nonsense and your calculations are flawed"
I think you have a lack of understanding of simple maths. Nothing more, nothing less.
You can never calculate to 100% with limited data and information. That's why my calculations are conservative and should only be used as a guideline for what the true value MIGHT BE.

Maths is strong tool. I suggest you learn it.

oilheadgame,

You're the biggest idiot here. Did you get your 3p? No? Didn't think so.
Now grow some brain cells.

Things to look out for in the Trading Update - Explorations

Tullow have stated that before they drill any more wells, they will reduce their stake to circa 30% for all licenses.

Ivory Coast:
500 km 2D seismic acquisition completed?
Will Tullow plan for a 3D seismic here for 2021?

Comoros:
Interpretation of 3D seismic acquisition completed?
Investment decision to drill a well in 2021 following the above?
Tullow owns 35% interest here, so no farm down, but possible 2021 drill if above results are promising.

Guyana:
Following high-grading of both Kanuku and Orinduik, information on where Tullow plans to drill the next well for 2021.
Tullow owns 60% interest in Orinduik, if next drill planned for Orinduik, Tullow will likely farm out 30% here.

Peru:
Expected dates for 2D and or 3D seismic acquisition of Z-64, Z-67 and Z-68? - Possibly Q2/Q3

Suriname:
Well in Block 47 to be drilled in Q4 2020.
Tullow owns 50% of Block 47. Tullow will likely farm out circa. 20% of the interests here before the drill. Although not sure if farm out can be completed in time before the drill, will have wait for update!

Argentina:
3D seismic survey in Blocks 114 and 119 completed?
Expected start date for 3D seismic survey for Block 122? (Late 2020 or 2021?)
Tullow owns 100% of Block 122 - Likely farm out before 3D seismic survey here.

Slift.

Things to look out for in the Trading Update - Operations

General:
Further cost savings?:
- Deferred activities
- Force Majeure, etc.

Ghana:
Barrels produced per day from Jubilee (est. 30-32k), TEN (est. 24.5k), non operated portfolio (est. 21k)
Ntomme-9 well flow rate guidance and whether it will be online in August
Any new undeveloped areas identified for 2021 investment to production?
CALM buoy commissioned?

Non operated portfolio Gabon:
Effect on production from OPEC cuts
Ruche wells planned for 2020 delayed due to covid19. Any updates?

Kenya:
Progress of sale of stake
Info on FID and other activities since force majeure?
Info/Progress on exploration compensation for the work done by Tullow on the Turkana fields (circa. $2b)

Decommisioning (UK, Mauritania):
UK final clearance activities all completed?
Progress of abdonment programme for wells in chinguetti fields in Mauritania

Slift.

PlantedBHA,

Will you be drinking the water produced? Because the FPSO won't handle that capacity.

mjga786,

What?
Have you emailed and barked at IR about the share price again?

Posted regarding Global Petroleum before on their PEL94 license.

https://www.sharecast.com/news/aim-bulletin/tower-resources-upbeat-on-recent-activity-near-namibian-blocks--7588989.html

Tullow's PEL37 license is nearby.

£80m free cash flow? I don't think so.

Hi Stu255,

I say we send you back to school to re-learn maths because that "4p free cash" is just ridiculous.

Yes, the production cuts are part of OPEC cuts.
Gabon and Equatorial Guinea will both be affected.

Guidance for Gabon is 16k bopd, and EG is 5k.
Assuming a hit of circa. 10% to production for H1, expect a drop of 2k barrels here.

I was initially expecting 78k (For Q2), but now less. I also think production will be above 75k for H1.
See what Wednesday holds!

Maurel and Prom reported 8% decrease in production for H1 (compared to H2 2019) from their Ezanga Gabon portfolio due to voluntary cuts to production. Tullow holds 8.57% interest in this field.

The circular dent?

https://www.tullowoil.com/application/files/6715/9247/0563/Circular_Final.pdf

Fair enough Pecten.
Isn't hard to find if you do some research yourself.

I'll keep the research to myself :)