Tullow up on West Africa maritime ruling

LONDON, September 26, 2017 – Tullow Oil’s stock rose on Tuesday following the resolution of a border dispute between Ghana and Côte d’Ivoire over the weekend that will allow the company to resume drilling in the TEN fields offshore Ghana.

At 2:08 pm in London, shares traded at GBP 1.94 apiece, about 8% up from Friday’s close. The company also saw an upgrade from RBC Capital Markets, which increased its price target to GBP 2.60 per share.

“Tullow will now work with the government of Ghana to put in place the necessary permits to allow the restart of development drilling in the TEN fields,” the company said in a statement on Saturday, shortly after the Special Chamber of the International Tribunal of the Law of the Sea announced its decision that the fields were on Ghana’s side of the border. “Tullow expects to resume drilling around the end of the year which will allow production from the TEN fields to start to increase towards the FPSO design capacity of 80,000 bopd.”

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