Tullow Oil Abandons Mauritanian Well

PUBLISHED: Apr 25 2014 @ 03:51 | Comments (0) | More info about Kenneth G. Mondero

Tullow Oil (LSE:TLW) has decided to plug and abandon its second exploration well offshore of Mauritania after tit failed to show hydrocarbon, the independent oil and gas explorer said Friday.

In a statement, the FTSE 100 oil producer said the Tapendar-1 well, which was drilled to test two targets, encountered water-bearing sands in one and no sands in the other at a depth of 3,752 metres.

Said well was Tullow Oil’s second exploration well in its exploration campaign in the west African state following the discovery of 30 metres of gas condensate and oil through its Fregate-1 well in February 2014.

The Tapendar-1 well is located in the C-10 block operated by Tullow Oil for a 59.10 percent interest, with another London-listed firm Premier Oil (LSE:PMO) owning 6.23 percent, Kuwait Foreign Petroleum Exploration Company (KUFPEC) for 11.12 percent stake, Malaysia’s Petronas with 13.5 percent, and the remaining 10% controlled by SMHPM.

Tullow Oil currently has eight offshore licences in Mauritania, with a total expanse of over 45,000 square kilometres with one producing field.

“We and our partners will now pause to analyse the data gathered from the exploration campaign thus far. We will then decide on the location and timings of the next wells which will continue to focus on exploring for conventional oil plays,” Tullow Oil’s Exploration Director, Angus McCoss, commented on the result.

In London, Tullow Oil shares shed 23 pence, or 2.7% of the company’s closing price yesterday, to 838 pence at 9:33 AM GMT, following the announcement.

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