Tullow Oil Share Discussion Threads

[xxnjr] 06/8/2022 14:33

Alfiex - Haven't seen it.

3bn.....
$$$$$$ I presume?

Less Debt at y/end 2021 $2.13bn

Leaves $870m

Current share price 52p = MCap £750m = $900m

Not even a premium to todays share price

Unless I've got that wrong which is entirely possible.

Or putting it another way.
Why would an acquirer pay $3bn for something which has an Mcap of $900m?

You could argue a Kenya deal would increase the market cap - but not by $2.1bn.

[alfiex] 06/8/2022 13:50

xxnjr there is a lot of chatter on other site saying that India could buy tullow outright for 3bn and have ghana and guyana and kenya, whats your thoughts on that?

[xxnjr] 06/8/2022 13:14

Thommie - "If recent articles are right in assuming that the farm in WI of the Indiana consortium is expected to be worth between 2-3billion that would be a much higher amount than I would have ever thought it's worth!"

I tend to agree. Unless I'm mistaken

TLW sold 1/3rd of Uganda 1,700 bbls Gross = 567 net of 2C for $575m
or about $1/bbl

If TLW sold all their 50% of Kenya 560 bbls Gross = 280 net of 2C = $280m @ $1/bbl

OK when we sold Uganda; TLW was weak, OP was weak.

Even so. Negotiations for entire Kenya 50% stake sale probably in $300m to $600m range?
Plus royalties on price and production as per Uganda.

Above numbers exclude any post sale Gov back in rights.

[xxnjr] 06/8/2022 12:03

Just to close that chapter. Towing operation started this morning. Rig + 2 Tugs now about 20km NW of drill site and headed back to Trinidad where its next job is. Suspect that is the last we will ever hear of Kanuka Block, Guyana.

[mcsean2164] 05/8/2022 15:38

Nice finish, pretty annoyed by the two threads for tullow. Is it possible they could be merged?

[waldron] 05/8/2022 14:50

Oliver Haill

11:56 Fri 05 Aug 2022

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Investor deep dive

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viewTullow Oil PLC
(
LSE:TLW
)
Tullow Oil slides as it gets another duster in Guyana

"Tullow’s disappointing run of high impact exploration wells continues," said one analyst
Tullow Oil PLC -

Tullow Oil PLC (LSE:TLW) said it had plugged and abandoned an exploration well offshore Guyana but had better news elsewhere.

Drilling operations at the Beebei-Potaro exploration well have been completed and the FTSE 250-listed company said the well encountered good quality reservoir in the primary and secondary targets but both targets were water bearing.

Tullow said it would integrate the Beebi results into its regional subsurface models and work with its joint venture partners before deciding on next steps.

Analysts at share price Angel said “Tullow’s disappointing run of high impact exploration wells continues, though we feel that investor focus remains on the proposed all-share merger with Capricorn Energy.”

The shares fell 2% to 49.4p.

PROACTIVEE

[subsurface] 05/8/2022 14:45

Thanks XX your grasp on matters is fantastic.well done.
I hope Tullow can find an overlap somewhere in the block like hammerhead
Ghana is a great place to be but my concern is too many eggs in the basket, I have always thought Guyana would give Tullow more balance so a little disappointed .

[xxnjr] 05/8/2022 14:21

Hi thommie.

Stabroek. License shape is really to do with water depth being beyond 1000m and the industry's capability to drill wells in deep water. Exploration started on the shelf, then moved down the slope to let's say c.800m water depth as drillers and drill ships became more capable. Numerous wells had been drilled on the shelf and upper slope in Guyana. None found commercial oil. Guyana was therefore a 'bad address' in the eyes of explorers, even though the EIA thought the basin held considerable potential. Deep Water Frontier Blocks tend to be quite large as no/not much previous exploration history. Stabroek was originally awarded to Exxon/Shell many years ago with the latter pulling out in an oil price crash. I doubt if there was much, if any, seismic when boundary drawn up. Years 1 to 3 and 4 to 6 or whatever may just have come with a commitment to shoot and process seismic and drill a first well. In other words the block when marked out was a blank canvas. Nobody knew what lay in the depths.

To your other point. Not an expert but basically from what I've read. Offshore Guyana there are very large Canyon Systems feeding sediment into the basin. Most of the sand bypassed our blocks and was deposited in the depths of the basin. Likewise all the organic matter that eventually became source rock migrated to the deeper parts of the basin where Exxon are. What they have are huge sediment fans directly overlying rich source rock. What we have are more smaller sands in a Canyon setting, sometimes channelised, that need to be plugged into a migration pathway to connect to the source rocks. It's a bit like Ghana. There are many uncommercial finds between 0m and 900m water depth but the larger scale commercial oil is basically between say 900m and 2000m water depth.

Basically we've been drilling in the wrong place. At least until someone makes a commercial discovery and it becomes the right place. That is what frontier exploration is: a huge and expensive experiment to see if you have bought the right address.

[ariane] 05/8/2022 09:52

IN BRIEF: Tullow plugs and abandons water-bearing Beebei-Potaro well

Fri, 5th Aug 2022 09:05
Alliance News

Tullow Oil PLC - London-based oil and gas exploration company - Completes drilling at Beebei-Potaro exploration well, in Kanuku license, offshore Guyana. Says primary and secondary targets were water-bearing, but notes good quality reservoir at both targets. The well is now plugged and abandoned. It was drilled to a total depth of 4,325 metres in 71 metres of water by the Noble Regina Allen rig.

"Tullow will integrate the well results into its regional subsurface models and work with its joint venture partners before deciding on next steps," the firm says.

Tullow holds a 37.5% working interest

in the Kanuku license, with operator Repsol also holding 37.5% and TOQAP holding 25%.

Current stock price: 48.98 pence, down 2.8% on Friday

12-month change: up 4.4%

By Elizabeth Winter; [e-mail]

[la forge] 05/8/2022 08:44

Michele Maatouk
Sharecast News
05 Aug, 2022 08:02
Tullow Oil plugs and abandons well offshore Guyana


Tullow Oil said on Friday that it has plugged and abandoned an exploration well offshore Guyana.


The company said drilling operations at the Beebei-Potaro exploration well, drilled in the Kanuku licence, have been completed. The well encountered good quality reservoir in the primary and secondary targets but both targets were water-bearing.

The Noble Regina Allen rig drilled the well to a total depth of 4325 metres in 71 metres of water and the well has been plugged and abandoned. Tullow said it will integrate the well results into its regional subsurface models and work with its joint venture partners before deciding on next steps.

Repsol operates the Kanuku licence with a 37.5% working interest. Tullow holds a 37.5% interest, while TOQAP has 25%.

[la forge] 05/8/2022 08:43

IF in saudi, they would be well pleased

[thommie] 05/8/2022 08:37

But why do we keep finding this top tier high permeability good quality reservoirs that dont hold hydrocarbons? Do we drill it on the wrong locations? I mean hitting it down dip instead of up dip?It was the same in Suriname...I have the feeling that because of the success in stabroek the surrounding partners are making the wrong decisions, trying to chase the same plays that possibly dont exist outside of stabroek...Maybe the surrounding geology lead to a different migration of the oil... I mean maybe without stabroek success they would have gone different directions by logic which they instead neglected.Anyway every exploration play would need billions of front investment to first oil and would be at least 5-10 years away. It's far more important that they have drilling success in ghana, or even in their cote the ivory exploration licence, as both could be tied into the existing TEN fpso that is underutilised!

[thommie] 05/8/2022 08:19

As I said before, rahul is doing the right things by stopping to chase this cash holes that never gives back by investing in production enhancements.Stabroek is the sweet spot. There was a reason the licence got designed that big and in an unusual form. I guess it includes all gusher plays. On the other hand I guess that you could find big amounts of heavy oil in Orinduik, it's just that currently none is interested to extract it...At least the tullow drills dont cost 150-200m like in some of our neighbour licences. Tullow invested around 20m into this drill. So no big problem at all... But ofc sad they didnt find anything, because otherwise they would have been able to farm out their interest for some money.Kenya will be the important part of the puzzle... If recent articles are right in assuming that the farm in WI of the Indiana consortium is expected to be worth between 2-3billion that would be a much higher amount than I would have ever thought it's worth!I do trust the decisions of our CEO. He did an outstanding job with his team since He joined. Just what would have happened if he arrived 2-3 years earlier?

[xxnjr] 05/8/2022 08:14

That rainbow was painted by the previous CEO. Rahul is working from a different canvas (other than the legacy commitments the exiting and discredited McDade saddled the company with).

[badger36] 05/8/2022 08:13

If they were in Saudi they would find water. Clowns

[rose_by_another_name] 05/8/2022 08:11

Not a dry well, then.

[badger36] 05/8/2022 08:04

Always a buying opportunity with Tullow. How many more dusters and at what cost. Can't see Capricorn holders happy to sink their cash chasing Tullow rainbow ends

[xxnjr] 05/8/2022 07:32

Guyana farm down? Doubt it.

[xxnjr] 05/8/2022 07:30

Right folks. I'm glad thats over. Sooner we exit Guyana the better. Fools gold. Liquid gold for drilling contractors. On a brighter note - another cargo departed from Jubilee yesterday. Still seems to be >90K bopd.

[waldron] 05/8/2022 07:30

Published on:
5 August 2022
BY TULLOW

Locations:

South America
Guyana

Topics:

Exploration and Appraisal

Tullow Oil plc (Tullow) announces that drilling operations at the Beebei-Potaro exploration well, drilled in the Kanuku licence, offshore Guyana, have been completed. The well encountered good quality reservoir in the primary and secondary targets but both targets were water-bearing.

The Noble Regina Allen rig drilled the Beebei-Potaro well to a Total Depth of 4325 metres in 71 metres of water and the well has been plugged and abandoned. Tullow will integrate the well results into its regional subsurface models and work with its joint venture partners before deciding on next steps.

Repsol is the operator of the Kanuku licence with a 37.5% working interest. Tullow holds 37.5% with TOQAP holding 25%.

[subsurface] 05/8/2022 07:26

Did they manage to farm down?

[xxnjr] 05/8/2022 07:13

Must be tugs!.....

"Tullow Oil plc (Tullow) announces that drilling operations at the Beebei-Potaro exploration well, drilled in the Kanuku licence, offshore Guyana, have been completed. The well encountered good quality reservoir in the primary and secondary targets but both targets were water-bearing."

[la forge] 04/8/2022 10:32

allArica


Ghana: Tullow Ghana, Invest in Africa Collaborate to Deliver Supplier Finance Readiness Programme

3 August 2022

Ghanaian Times (Accra)

Tullow Ghana has concluded a 10-month-long Supplier Finance Readiness Programme designed to provide selected suppliers impacted by the COVID-19 pandemic in the oil and gas industry in Ghana, financial and business advisory support to build financially resilient and sustainable businesses for the future.

The programme, which was implemented by Invest In Africa (IIA), a private sector-led initiative focused on growing local businesses, brought together more than 150 individual participants and over 35 companies to undertake a rigorous training in financial modelling, business plan preparation, financial management, corporate governance, and business risk management over the programme period.

Speaking at the graduation ceremony in Accra, Managing Director for Tullow Ghana, Wissam Al-Monthiry, said "Tullow Ghana will continue to support local capacity development through various targeted knowledge sharing interventions to equip local companies and increase their participation in the industry while making them globally competitive."

The training also gave participants, important financial toolkits to enhance their interactions with lending institutions and strengthen their capacity and preparedness to access finance.

Overall, 151 suppliers gained knowledge of various funding options as well as insights into financial restructuring opportunities, while 36 businesses received one-on-one business advisory services.

Participating businesses were selected from Tullow's supplier list and IIA's African Partner Pool (APP) companies operating in the oil and gas industry in Ghana.

Read the original article on Ghanaian Times.

[xxnjr] 04/8/2022 09:36

Guyana Beebei update. The original 3 supply vessels have been inactive for a bit now. 2 new recent arrivals at the rig. Could be new supply ships coming on contract, or possibly Tugs to drag the rig to next location.