Tullow Oil reduces annual production forecast and posts an interim loss

Tullow Oil, a company based in West Africa, lowered Wednesday its production forecast for 2025 to reflect the sale of Gabonese assets. The company is continuing to streamline operations to improve performance and reported a loss for the first half.

The shares of the company fell by 10% in the early morning trading.

Tullow expects to produce 40,000-45,000 barrels equivalent per day (boepd), down from the 50,000-55,000 previously projected. It reported average production of 40,6 kboepd for the first half of this year, excluding Gabon.

Richard Miller, interim CEO and finance chief, said: "In the second part of the year, we will be focusing on refinancing capital structure and production optimization activities as well as continuing to optimize our cost base."

Miller said that Tullow has taken steps to address the recent underperformance of its Jubilee Oilfield in Ghana. Further "optimisation potential" was identified.

Tullow is primarily active in Ghana, Gabon and Cote d'Ivoire. The majority of the company's output comes from Ghana's Jubilee oilfield and TEN oilfield.

The company's first-half loss was $80 million after tax, compared to a profit last year of $106 millions, due to lower revenues, higher costs and impairment charges. (Reporting from Ankita Bora, Bengaluru. Editing by Eileen Soreng.)

(source: Reuters)