London’s Tullow Oil envisages gigantic investment in its operations in Ghana

Tullow Oil is planning to pump out a mammoth investment of USD 250 million in its operations in Ghana in the current year. With this investment plan, the London-headquartered multinational oil and gas exploration company is expanding its operations with more to come in future as the company intensifies its drilling campaign.

Tullow Oil, considered one of Europe’s largest oil businesses, was keen to explore further in Ghana both around its current assets and in new license via Ghana’s inaugural Licensing Bid Round, according to the company’s Chief Executive Officer, Paul McDade.

“We are keen to grow our business in Ghana and look forward to higher production and increased resources at Jubilee and TEN and the results of the on-going Licensing Bid Round,” he said. According to Paul McDade, Tullow had also adopted a new dividend policy to pay shareholders at least USD 100 million annually.

According to the CEO, Tullow Oil has resumed payment of Dividend in 2018 after a hiatus of four-year, paying USD 67 million as dividend to its shareholders for the year 2018. The decision to now pay dividend annually was because of the company’s strong financial performance despite oil price volatility, he said.

“We suspended the dividend, but over the last few years, we have worked very hard to get the company working very well and very profitable. And when we got to the end of 2018, we decided that we were back in very good financial health and therefore we could reinstate the dividend,” he added.

The planned investment of USD 250 million in Ghana is in line with the vision of the parent company, Tullow Oil plc, to increase its investments within Africa. Kweku Awotwi, the Managing Director of Tullow Ghana Ltd., announced this at an interaction with the media persons recently in Ghana’s capital, Accra.

According to him, planned investments would be used to support drilling and production activities in Ghana to ensure the harnessing of new opportunities available in the upstream oil sector.

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