Tullow strikes again off the coast of Ghana

Oil and gas firm Tullow, which released record results earlier this week, had more good news for shareholders with the successful drilling of an appraisal well off the coast of Ghana.

The group said the Enyenra-4A appraisal well, in the deep-water Tano licence offshore Ghana, has successfully encountered oil in very good quality sandstone reservoirs. There might be more to come from this prospect, too, as the company added that there is good evidence of communication with the Owo-1 discovery wells and the Enyenra appraisal wells, which confirms the significant extent of the Enyenra light oil field.

Tullow's boffins reckon the appraisal well has intersected 32 metres of net oil pay. Pressure data from the oil leg has demonstrated that the oil is in static communication with the oil seen in the other wells in the field and indicates a continuous oil column of around 600 metres.

MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

"Proving a 600m oil column over a distance of 21km with three appraisal wells is a significant achievement which was only possible through the use of highly refined geophysical techniques. The appraisal of the Enyenra field will now continue with the monitoring of the pressure gauges deployed in several wells to determine the level of dynamic connectivity within the system and to further refine the estimates of oil in place," said Angus McCoss, Tullow's Exploration Director.

Tullow is the operator of the Tano licence in which it has a 49.95% stake. Other partners in the licence are Kosmos Energy (18.00%), Anadarko Petroleum (18.00%), Sabre (4.05%) and the Ghana National Petroleum Corporation, which has a 10% carried interest.

jh