Exploration company Tullow says that because of the current 'unprecedented' strength in oil and gas prices, it has never been in a better position to enhance shareholder value.
In a trading statement, the Dublin and London listed firm said that it has performed 'exceptionally well' over the first half of 2008. It said it had a solid production performance, outstanding appraisal results in Ghana and continued exploration success in Uganda.
Tullow said its capital expenditure in the first half was £170m sterling, while planned expenditure for the full year is forecast to be £480m.
The company said that production for the first half of 2008 average 70,500 boepd, up 1% on the previous year. Sales volumes for the first six months of 2008 average 60,000 boepd.
During the first half of 2008, Tullow said it had disposed of a number of non-core assets for a total of about $1 billion. These included the sale of its 11% interest in the M'Boundi field to the Korea National Oil company and its 40% interest in the Ngosso licence, offshore Cameron, to MOL.
In Europe, the sale of some CMS assets to Venture Production for £35m was completed last month. Tullow also announced the proposed sale of its 51.68% interest in the Hewett-Bacton complex to Eni for £210m last month.
Tullow shares closed down 21 cent at €10.99 in Dublin.
