Tullow Oil (TLW) H1 2026 TU earnings summary

Executive summary

• Strong operational performance in H1 2026, with new wells exceeding expectations and high asset uptime.

• Upgraded full year free cash flow guidance to $170-250 million at $70-100/bbl, reflecting robust production and oil price realisations.

Financial highlights

• H1 2026 sales revenue was approximately $496 million, including $47 million in hedge costs.

• Average pre-hedge realisations for six cargoes were about $95/bbl ($86/bbl post-hedge).

• Pre-financing cash flow was around $135 million; free cash flow was $4 million after $64 million in cash interest and $68 million in one-off refinancing costs.

• Gross debt reduced by $100 million to $1.6 billion; net debt at $1.4 billion as of June 30, with liquidity headroom over $250 million.

Outlook and guidance

• 2026 working interest production expected at the high end of 34-42 kboepd guidance.

• Full year free cash flow guidance upgraded to $170-250 million (from $70-175 million) at $70-100/bbl.

• Capital and decommissioning expenditure guidance remains at $200 million and $25 million, respectively.

• 14 cargoes expected to be lifted in 2026, up from initial guidance.