Tullow - Kosmos singing from the same hymn sheet
All,
Please find our unchanged analysis on Tullow here.
Kosmos, who are Tullow’s JV partners in Ghana have released their Q1 results this morning. Overall the numbers are encouraging confirming Tullow management’s guidance for the Jubilee and TEN fields.
Production
Production was slightly above guidance in Q1, and the higher reliability in Ghana was demonstrated by the better operational stats shown. The FPSO uptime in Jubilee was c.98% in Q1, with consistent water injection at the highest level since 2012. Additionally, gas off-take by the Ghanian government was almost double what it was in 2019. At the TEN fields, gross production was c. 39,000 boepd, highest level ever, the FPSO uptime of 99%. Away from production, in early 2021, the Jubilee Catenary Anchor Mooring (CALM) buoy was operational, which will replace the need for shuttle tankers, reduce operational expenditure.
Drilling
Kosmos re-confirmed the Maersk Venturer arrived in early April and has finished drilling the Jubilee well and has now moved to drill a water injector at Jubilee. When that is completed, the impact of the two wells is to increase production by 15-20k boepd (gross). Our model is based on a 12-16k boepd (gross).
Call
We will dial into the Kosmos call at 4 pm UK time - http://investors.kosmosenergy.com /investor-events. The dial-in telephone number for the call is +1-877-407-3982/ (UK) 0800 756 3429.
Tomás
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E: tmannion@sarria.co.uk
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