Tullow Oil Share Discussion Threads

[eipgam] 16/12/2010 17:14

Read 85garys last two posts.... they may calm you down as far as the UG is concerned

[comcols] 16/12/2010 15:35

Be a nice Xmas prezzie to get this cleared once and for all.. Im holding and nervous to tell the truth, Ghana was great but UG could easily spoil the mix with the way it's going. GLA, not trying to sound negative, more realistic..

[tomgorham12] 16/12/2010 13:17

Been here too many times - until I hear Onek's pips squeak I still won't believe it.

[85gary] 16/12/2010 13:16

.....which part of "this week" is ambiguous ringer? If you doubted Daily Monitor surely a cut and paste of same article by Mr Ojambo of Bloomberg swings it for you?
lol


Tullow Oil Plc expects to seal an unspecified deal with the Ugandan government
this week after putting the necessary requirements in place, the Daily Monitor newspaper reported today citing Elly Karuhanga, the chairman of Tullow's Ugandan unit.

The company, whose exploration license over Block 3A was revoked in September, has been conducting 'behind the scenes' talks with government which will result in the expected deal, the Kampala-based newspaper reported citing Karuhanga.

Tullow also plans to float shares on the Ugandan Security Exchange when the government renews an exploration license over Block 3A, the Daily Monitor said.

To contact the reporter on this story: Fred Ojambo in Kampala at [e-mail]

To contact the editor responsible for this story: Agnes Nikoi at [e-mail]

[ringer12] 16/12/2010 12:42

End of which week?

[jeddicat] 16/12/2010 09:26

85Gary- Good find, well done.

I agree that this is very possitive news, I liked the end of week bit!

We can now await a flury of new versions of the above now though!

I hope they DON'T let ENI down slowly1

[niceyman1] 16/12/2010 09:20

The shareprice and lack of volume tells me that everyone will believe these stories when they see it in an rns. Am as confident as ever myself and think the ugandan government must be kicking themselves when they saw the oil taps turned on in Ghana! when everything is resolved can see the shareprice spiking past the broker targets as the share is re-rated. Patience is needed......................

[85gary] 16/12/2010 08:53

A little snippet in Bloomberg this morning that a deal has been done as reported in Monitor, and Mr Karuhanga's quote below in full article gives me renewed confidence. I wondered why Tullow delayed floating in Ghana, given the opening celebrations provided perfect opportunity, but I think they are playing their cards carefully to put pressure / save face / on Ugandans. Maybe share price heads north from here after all.



Tullow Oil Plc will float shares on the Uganda Stock Exchange as soon as its exploration licence is renewed by government.

The revelation was made by Mr Elly Karuhanga, the Tullow Oil Chairman and also the President of the Chamber of Mines and Petroleum, an association of key players in the minerals and petroleum sector in Uganda on Tuesday during celebrations to mark the chamber's first anniversary.

"As soon as we have finished our agreement with the government, Tullow Oil will float shares on the USE," Mr Karuhanga announced.

Though he did not explain as to why Uganda's oil production is behind schedule, he disclosed that by close of this week, Tullow would have inked a deal with the government as all other requirements that he did not disclose were now in place.
"We have been working behind the scenes, anytime we shall give you the announcement," Mr Karuhanga said.

The Tullow Oil Legal Counsel, Martin Graham revealed that had everything gone according to plan, Uganda's oil tap would have been not only launched yesterday alongside the one of Ghana but arrangements to have the two countries float at their respective securities exchanges at the same time would have been instituted.

"We needed to do it together with Ghana (float shares), however, as soon as we get the license, we shall proceed with our plan of floating shares,"Mr Graham said.

However, observers are cautious over the whole deal, saying that Tullow Oil's move to float shares on the USE could be a wider scheme to compromise government into renewing its license.
Observers advise that this must be well brought out in the agreement between the two, such that Tullow can still be held accountable in case of backtracks or failure to implement required commitments.

In September, government withdrew Tullow Oil's exploration licence for Block 3A in the Albertine Graben region, after it (Tullow oil) failed to renew its mandate to exploit oil in the country.

[85gary] 16/12/2010 08:12

Rumour is they did, but Hilary wanted his airticket, hotel and expenses paid for......alledgedly!

[5mally] 16/12/2010 07:43

think the ugandans should read
....The speed with which Tullow Oil has developed this asset from exploration to production in a country with no oil infrastructure has been impressive and highlights the company's ability to tackle large scale projects in developing countries....

Perhaps Tullow should have invited the Ugandans to the celebrations!

[85gary] 15/12/2010 18:15

The speed with which Tullow Oil has developed this asset from exploration to production in a country with no oil infrastructure has been impressive and highlights the company's ability to tackle large scale projects in developing countries. This is a real credit to them but they are being punished today by the market.

The objective of minimising flaring and reinjecting gas / water via this floating vessel is achieved for up to 120kb/d within six months. Broker price targets are being revised upwards, yet share price goes down. Crazy.



HOUSTON, Dec. 15 -- Production from Jubilee oil and gas field off Ghana has started, and partners expect output to reach 55,000 b/d of oil by yearend and 120,000 b/d during the first half of 2011 when additional wells are completed, operator Tullow Oil PLC and partners said Dec. 15.

The first tanker of oil from Jubilee field is expected to leave in January 2011, Tullow said. The field in the Gulf of Guinea came on stream 42 months after the 2007 discovery (OGJ, Nov. 22, 2010, p. 24).

Tullow said Ghana officials celebrated with Dec. 15 events both offshore and onshore. Oil flowed into the floating production, storage, and offloading vessel on Nov. 28. That oil was used to commission facilities, Tullow said.

Kosmos Energy LLC, a private company based in Dallas and the project's technical operator for development, said the "accelerated timetable represents one of the shortest cycles for any deepwater FPSO-based oil project of this scale in ultradeep water."

The next phase of development likely will include infill wells, which will not require installation of other subsea facilities. Jubilee field is on the deepwater Tano Block and extends into the West Cape Three Points Block (OGJ, July 27, 2009, p. 35).

Plans are under way for the appraisal and development of additional discoveries on those blocks, Kosmos said.

The turret-moored FPSO, the Kwame Nkrumah, was created by converting a very large crude carrier in Singapore's Jurong shipyard.

The FPSO is capable of processing 120,000 b/d and 160 MMscfd of gas and storing up to 1.6 million bbl of crude. It's also capable of treating and injecting 232,000 b/d of water for reservoir pressure maintenance, and it can offload or reinject 160 MMscfd of gas.

Tullow operates Jubilee with 34.7%. Partners are Kosmos and Anadarko Petroleum 23.49% each, Ghana National Petroleum Corp. 13.75%, Sabre Oil & Gas 2.81%, and EO Group 1.75%.

[pr4w2b0y] 15/12/2010 17:05

Congratulations Tullow! okay so the price has retraced a bit but the wells Ghana are expected to last 25+ years, so then the question is what will tlw share price be then.

[comcols] 15/12/2010 15:00

Incredible really, i know we had a run up but to think that the pipes have officially opened and we sink 25p is simply amazing.....
This Uganda nightmare needs clarification, surely it's this that is weighing heavy on TLW.

[85gary] 15/12/2010 14:53

Oil market uncertaintity affecting most majors.

Brunei Shell Petroleum Co., the Southeast Asian country's biggest oil producer, reduced official crude selling prices for the first time in three months on reduced profits from making naphtha.

The company posted its Seria Light Export Blend at $84.36 a barrel retroactively for November, an official, who asked not to be identified because of company policy, said today in a mobile text message. That's a drop of $4.85, or 5.4 percent, from October. The Champion grade, fixed at 15 cents below Seria Light, sold for $84.21.

Refining profits for naphtha, used to make gasoline or petrochemicals, has declined as crude costs surged. Naphtha's premium to Brent crude, known as the crack spread, is trading this week below $158 a metric ton, down more than 8 percent so far this month. Brent crude on Dec. 7 climbed above $92 a barrel, the highest in 26 months. Seria Light is refined mainly for naphtha, kerosene and gasoil.

Brunei Shell Petroleum is a joint venture between Royal Dutch Shell Plc and the Brunei government.

To contact the reporter on this story: Yee Kai Pin in Singapore at [e-mail]

To contact the editor responsible for this story: Clyde Russell at [e-mail]

[tomgorham12] 15/12/2010 14:40

It's the Tullow way. Positive news and the share price drops. It's quite uncanny.
(Mind you, other oilers not doing so well either.)

[85gary] 15/12/2010 14:28

All seems to be priced in. Shame really because to get this onstream in three years is some going and I don't think Tullow is being given due credit on its big day. Uncertainty in East Africa seems to be holding Tullow back. Uganda and Congo could learn a lot from Ghana who, while not perfect, are getting on with things quickly.

[anotherardbeg] 15/12/2010 14:10

Lol you couldn't make it up. First oil and look at the graph ffs!!!

[tomgorham12] 15/12/2010 13:42

"Jubilee partners can count on our support. We will give you a stable environment and a reasonable return on your investment. In return, we expect you to continue to respect local laws and regulations and as much as possible Ghanaians must be involved in activities that can be sourced locally."
John Atta Mills

[tomgorham12] 15/12/2010 13:39

Live video event still continuing:



Tullow getting plenty of praise from the President.

[blunderbuss] 15/12/2010 07:42

Close above 1250 will break the downtrend

[85gary] 15/12/2010 06:57

Good day for Tullow and Ghana. Enjoy.

The President of Ghana, John Evans Atta Mills, would symbolically press the button to officially commence full-scale production of oil in commercial quantity at the Jubilee Fields in the Western Region today.

Today's event is remarkable in the annals of the country as the sitting president is joined by the two surviving former presidents of Ghana for the historic pouring of the Jubilee Oil.

Both former presidents, Jerry John Rawlings and John Agyekum Kufuor, who played significant roles in the discovery of Ghana's crude oil have official confirmed their participation in the ceremony offshore at the FPSO Kwame Nkrumah terminal.

It marks a three-year journey which began with the announcement in June 2007 that crude had been discovered in commercial quantities offshore.

The Jubilee Field is estimated to hold 1.8 billion barrels of crude, but there have since been other discoveries which would boost the reserves significantly once appraisal works are completed.

There would also be a grand durbar of chiefs and people of the Western Region with government officials and other dignitaries to celebrate the discovery of oil.

As part of the first oil celebrations, the Jubilee Partners are also organizing 'The First Oil Thanksgiving Service' on Sunday, December 19th 2010, at the Accra International Conference Centre.

The interdenominational Thanksgiving Service will feature a sermon by Pastor Mensa Otabil, General Overseer of the International Central Gospel Church.

The First Oil Thanksgiving service is an initiative of the Jubilee partners –Anadarko, E.O Group Ghana Ltd, GNPC, Kosmos Energy, Sabre Oil and Gas and Tullow Oil.


Source: Myjoyonline.com

[eipgam] 14/12/2010 19:38

Mac... you may have got your dates mixed up? See RNS 15th November?

[mccracken227] 14/12/2010 16:38

nothing from Tullow on this!!!!

[niceyman1] 14/12/2010 16:07

Am expecting a spike towards close . Going to be interesting day tomorrow ,live webfeed at 9.30!