Tullow oil makes new discovery in Kenya

Tullow oil makes new discovery in Kenya

African independent oil firm Tullow Oil (LSE:TLW) has unearthed a new oil reserve at the South Lockichar basin, in the north-eastern region of Kenya.

The Erut-1 well in onshore Block 13T was drilled to a depth of 1,318 metres, although Tullow says the overall oil column is somewhere between 100-125 metres.

In a press release, Tullow emphasised that the Erut-1 drilling results revealed how oil had migrated north, effectively de-risking many prospective exploration projects in the area.

Angus McCoss, exploration director at Tullow said: “This extends the known hydrocarbon limits of the basin beyond the successful Etom discovery into the underexplored northern part of the basin where we have several undrilled prospects.

“Following the scheduled appraisal wells at Amosing-6 and Ngamia-10, further exploration drilling of this area is now being planned.”

Tullow currently estimates that there is up to 750 million barrels of recoverable resources across its Kenya operations, with further exploration potential supporting an upside of 1 billion barrels.

@RGNonline