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Energy

Tullow Oil on track to be at 'upper end of guidance'

Tullow Oil PLC (LSE:TLW) said first-quarter production has put it on track to deliver at the upper end of 2026 guidance, as the Ghana-focused producer looks to convert a recently completed refinancing into operational momentum.

Group working interest production averaged 43.4 kboepd in the first quarter, underpinning expectations that full-year output will be at the higher end of its previously announced 34–42 kboepd range, including around 6 kboepd of gas.

The update came alongside full-year results for 2025, when production averaged 40.4 kboepd, down from 51.5 kboepd a year earlier. Revenue fell to $847 million from $1.29 billion, adjusted EBITDAX dropped to $586 million from $1.01 billion, and free cash flow declined to $99 million from $156 million.

Net debt reduced to $1.35 billion from $1.45 billion after Tullow completed the sales of its Gabonese and Kenyan assets, generating $347 million of proceeds during the year.

Tullow guided free cash flow of $70–$175 million at $70–$100/bbl for 2026, and raised pre-financing cash flow guidance to $260–$365 million. Four new Jubilee wells are expected onstream before year-end, with capital expenditure forecast at around $200 million, mostly in Ghana.

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