Tullow - comment

What a difference a word makes.  Tullow and Kosmos have both made statements stating the preliminary discussions between the two are taking place, with a view that Kosmos would make a share offer for Tullow’s outstanding stock.  Although Kosmos included the word “very” in its description of the preliminary talks.  The initial view is this is unlikely to be completed, with Kosmos stock also at its year low, but expect significant press coverage over the next two months.  Kosmos didn’t want to buy the Ghanian assets at the time of the Occidental deal, so it is hard to fathom why they would want more now.  But we note that the arbitration is about to finish.