Offshore staff
LONDON – Tullow Oil has identified further cost-cutting measures, following its recent announcement of a 30% capex cut across its E&P operations.
The company is now targeting capex of around $300 million this year (down from $350 million) and decommissioning expenditure of close to $65 million (down from $100 million).
Savings will come primarily through deferral and via ongoing farm-down activities.
Offshore Ghana, the company has implemented an early termination of the contract for the drillship Maersk Venturer and has postponed certain planned well activity.
Also put on hold is any non-critical work that does not focus on safety and asset reliability.
So far, the company says, its production operations in West Africa have not been affected by COVID-19. In addition to the existing Infectious Disease mitigation plans already in place, Tullow has asked all personnel to self-isolate in Ghana for two weeks prior to transferring to its two FPSOs to ensure that the risk of a COVID-19 outbreak offshore is minimized.
If a case of COVID-19 does occur offshore, robust mitigation and personnel evacuation plans are in place, the company said, to ensure that the impact of any outbreak is minimized, and operations are maintained.
Tullow added that it has experience of managing infectious diseases of this nature following the contingency planning put in place during the West African Ebola outbreak in 2014.
Staff at the company’s main offices are currently working from home, in line with host government guidelines.
04/03/2020
