West Africa-focused Tullow Oil on Wednesday cut its 2023 production forecast for a second time, mainly due to delays to its Jubilee oilfield’s southeast extension off Ghana.
In September, the London-listed company lowered the upper end of its estimated production range for the year to 58,000-60,000 barrels per day (bpd) from 58,000-64,000 bpd.
It now expects output to be marginally below these forecasts, also citing “reduced water injection”.
The company, however, raised its full-year free cash flow estimate to $150 million from $100 million, amid increased sales in Gabon and deferral of some capital expenditure.
On Monday, Tullow signed a $400 million five-year debt deal with Glencore to help manage its senior notes maturing through 2026 and will see the trading house take over marketing the crude from its flagship Ghana and Gabon oilfields.
On Thursday, Tullow also launched tender offers to buy back $300 million on its 2025 bonds which amount to $633 million, and $100 million on its 2026 bonds which stand at $1.6 billion.