Crude oil production at the Jubilee field, which accounts for the bulk of Tullow's oil output, is down by 38%.
It dropped from a little over 100,000 barrels per day to 65,000 barrels per day because of a continuing technical problem which could prompt a lowering of Tullow’s recent upgrade to 2015 production guidance.
In a statement issued in Accra, Tullow said it will review its 2015 Jubilee forecast and provide an update when it presents first-half results on July 29.
Shares in the Africa-focused energy group fell 2% after news that oil and gas exports from the field would be reduced for a further three weeks to fix a gas compression issue that has affected output since July 3.
According to Tullow, gas export from the Jubilee field to the Ghana Gas plant at Atuabo has been suspended since July 3, 2015 due to technical issues with gas compression systems on the FPSO Kwame Nkrumah and is expected to resume by mid-August.
“Oil production is currently constrained to approximately 65,000 bpd and is under constant review but there is no effect on the field’s reservoir or resources,” the statement said.
It said Tullow has mobilised a team of experts to rectify the fault within the gas compression system, and estimates that it will take approximately a further three weeks to reinstate gas export and full oil production.
“Tullow will review its 2015 production forecast for Jubilee and provide an update on progress at its half yearly results on July 29.
“Tullow Ghana Ltd regrets the disruption caused by the suspension of gas export and assures the Ghanaian public that it is working hard to rectify the problem on the FPSO safely and speedily,” it said.
Tullow raised its full-year production guidance as recently as July 1 after bumper output from its West African oilfields, including Jubilee, but the gas compression problem could force it to lower expectations.
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