(RTTNews) - Independent oil and gas company Tullow Oil Plc (TLW.L: News ) said Wednesday that its overall operational and financial performance is in line with expectations for the period between July 1 and November 11, with a year-to-date exploration success rate of 85%.

The company said production performance from all African assets is in line with expectations with production from Equatorial Guinea in particular currently exceeding expectations.

Tullow said its exploration programme delivered material successes in Uganda, Ghana and Sierra Leone and which contributed to a year-to-date exploration success rate of 85%. The company added that Jubilee development drilling and facilities fabrication in Ghana will deliver first oil in the fourth quarter of 2010.

In October, Tullow has opened a dataroom to facilitate the sale of up to 50% of its interests in the Lake Albert Rift Basin Uganda. The company said it has received response from both National and International oil companies, and it will select the most suitable partner early in the New Year.

In terms of the rest of the world, Tullow noted that gas production performance in the UK over the period has been stable and benefited from the successful Boulton B4 well, which started production in July, and a series of Boulton well interventions. Tullow's South Asian business continues to perform in line with expectations. Production from the Bangora field in Bangladesh has increased to 120 mmscfd following the successful workover and tie-back of the Bangora-3 well.

In September, Tullow has received formal notification from Petrobangla awarding Tullow offshore Block SS-08-05. "Discussions with Petrobangla to finalise the Production Sharing Contract for this licence are ongoing and it is expected that exploration work will commence in 2010," said the company.
Tullow said its financial performance for the period is in line with expectations and it maintained production guidance at 58,000 boepd. Capital expenditure for the full year is expected to be in the region of £750 million. Tullow's net debt at October 31 stood at £664 million.

According to the company, its recent successes in Sierra Leone and Ghana have enhanced the potential of its West African portfolio and the inclusion of Shell as a partner in French Guiana is a strong endorsement of Equatorial Atlantic acreage.

A full year trading statement and operational update will be issued on January 20, 2010.

TLW.L is currently trading at 1,265.00 pence per share, down 0.31%, on the London Stock Exchange.

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by RTT Staff Writer

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