Tullow increases North Sea portfolio

Tulllow Oil, the gas and oil exploration company, has moved to increase its acreage portfolio in the southern North Sea gas basin.

Tullow's wholly owned subsidiary, Tullow Exploration Ltd, has entered into two agreements to take significant equity stakes in a number of exploration blocks off the British coast.

Tullow chief executive Mr Aidan Heavey said his group was already involved with UK exploration company Conoco and Gas de France (GDF) in a number of gas fields in the North Sea. The two new acquisitions will see the company join withwiththose partners again.

Tullow has agreed to acquire from GDF a 20 per cent stake in an exploration block in quadrant 44 of the south North Sea. A well will be sunk at the block in the first half of 2003. The project is adjacent to an existing Tullow block, which means if gas is discovered the infrastructure at that existing project could be used to extract gas at the new site.

Tullow has also agreed to acquire, from Conoco, a 20 per cent equity stake in five blocks or part-blocks off the Lincolnshire coast in quadrants 47 and 48. A well will be sunk at those sites before the end of 2002.

Both acquisitions are dependent on consent from the UK Secretary of State for Trade and Industry.