Tullow finds more oil offshore Ghana

LONDON (SHARECAST) - Tullow Oil has found oil at its Mahogany-5 appraisal well immediately to the southeast of the Jubilee field offshore Ghana, making it four out of five strikes in the region.

The well, drilled down to 3,988 metres in water nearly three quarters of a mile deep, penetrated a total net oil pay of 23 metres in sandstone reservoirs over a gross interval of 51 metres.

Studies are being carried out to refine the potential resource range and to advance development planning activities for the area following successes at the Mahogany-3, Mahogany-4 and Mahogany Deep-2 wells.

The rig leaves Ghana now, but will return in the fourth quarter of 2010 on a planned nine-month drilling programme in the West Cape Three Points licence in which Tullow has a 22.9% interest.

“Future exploratory drilling in the West Cape Three Points licence, including the adjacent Teak, Dahoma-Updip and South Central Channel prospects, aims to discover even more hydrocarbons to further enhance the commercial development of this licence,” said exploration director Angus McCoss.

The Jubilee field was discovered in 2007 and has been described by Tullow as a world-class reservoir. First oil is on schedule for the fourth quarter of 2010.