Tullow Oil has recorded a loss after tax of US$101 million for the first half of 2026, widening from the US$61 million loss reported over the same period in 2025.
The results, contained in the oil producer’s latest half-year financial report, show that the loss was largely driven by refinancing costs and other associated fees, including one-off refinancing transaction expenses.
Despite the loss, Tullow recorded US$495 million in revenue and US$276 million in gross profit during the six-month period.
Production performance improves
Tullow said its turnaround strategy is beginning to deliver results, particularly in production.
Net production averaged 35.7 thousand barrels of oil per day (kbopd) in the first half of 2026, supported by strong output from new wells and work completed during the 2025 Jubilee scheduled shutdown.
The company also reported FPSO uptime of more than 99 per cent, alongside production optimisation measures such as dual-riser operations and riser-based gas lift.
“A number of existing wells drilled in the previous campaign have seen the benefit of production optimisation activities in the first half of 2026,” the company said.
Production from the TEN fields averaged 14.8 kbopd, equivalent to net production of 8.1 kbopd. Tullow said the performance was above expectations.
More oil cargoes planned
Tullow expects to lift 14 cargoes in 2026, comprising 11 from the Jubilee field and three from TEN.
The revised outlook represents an increase of two Jubilee cargoes compared with the company’s initial guidance issued in November 2025.
Six cargoes were delivered during the first half of the year, with eight additional cargoes scheduled for the second half.
Tullow said its broader turnaround measures are expected to support the long-term development and production performance of the Jubilee and TEN fields.
The company also welcomed the government’s decision to extend the development agreement covering the two fields.
According to Tullow, the extension provides a more stable investment environment and includes a gas payment security mechanism, as well as heads of terms for the potential supply of gas from the TEN fields.
Tax dispute continues to weigh on Ghana operations
The financial results come amid Tullow’s ongoing fallout from a tax dispute with the Ghana Revenue Authority (GRA).
An International Chamber of Commerce arbitration tribunal in London ruled in favour of the Ghanaian government in a dispute involving a nearly US$400 million tax charge against Tullow Oil.
Tullow had challenged the assessment, arguing that the tax charge breached the terms of its Petroleum Agreement with Ghana. A penalty was also imposed.
The tribunal, however, ruled in favour of Ghana and determined that the government’s action was lawful.
Following the ruling, Finance Minister Dr Cassiel Ato Forson said government would take steps to ensure that Ghana receives revenues due from Tullow Ghana Limited.
At the same time, he said government would seek to protect Tullow’s ability to sustain its operations and investments in the country.
Dr Forson described Tullow as “a vital partner to Ghana” and the country’s largest petroleum producer.
Despite the widened first-half loss, Tullow’s improved production performance, increased cargo outlook and progress on its turnaround strategy point to continued efforts to strengthen its operations in Ghana and across its portfolio.
