Oil production from Ghana's Jubilee Oil Field decreased to 89,000 barrels per day (bpd) in October 2024, which is slightly down from 90,000 bpd recorded in July 2024.

According to the latest trading updates released by Tullow Oil PLC, the decline is attributed to operational setbacks, with outstanding debt owed by the government of Ghana being a major factor.

The report further revealed that the government owes $40 million in overdue gas payments, which is a crucial amount required to boost its liquidity amid operational challenges.

Tullow Oil mentioned other production-related challenges that have impacted its cash flow, including constraints with the J69-P well, unplanned downtime at the Ghana Gas Company's onshore plant, and power outages affecting water injection.

Additionally, the oil production firm highlighted certain corrective measures aimed at stabilizing oil production output in the coming months.

Meanwhile, a 4D seismic program is expected to take place in January 2025 to enhance data quality and optimize drilling locations to boost medium-term production.

In the face of these operational challenges, Tullow Oil said it remains optimistic about achieving a stronger year-end performance as it implements improved strategies and production optimization.

MA

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