Tullow Oil plc has affirmed its business hopes and strength in the East African oil and gas industry in a latest statement that summarize recent operational activities and trading guidance of the new financial year 2015.
The UK based Multinational noted that the legal and institutional investments in the region present a level playing field which is a catalyst to its investment targets.
Tullow also applauded Uganda for the amendment of the VAT act. The company said the amendment will “relieve” oil exploration companies from the VAT tax burden.
The company also noted its operations in West Africa remained strong averaging around 105,000 bopd gross (37,300 bopd net) during the first half of 2015.
“We have taken a number of important steps to ensure that Tullow remains on a firm financial footing. This approach is paying off with good progress across the business in the first half of 2015. Our major oil producing assets in West Africa have performed strongly and we have upgraded our 2015 full year production forecast accordingly.
The TEN Project remains within budget and on track for first oil in mid-2016. In East Africa, we are making steady progress towards project sanction with good appraisal and test results from our wells in Northern Kenya and strong support from the Governments of Kenya and Uganda.
Finally, we continue to build our inventory of exploration prospects to provide options when market conditions improve.” noted Aidan heavey, Tullow Chief Executive Officer