Oil Giant Tullow is to resume payment of dividend from next year after halting the payment in 2014. That’s the revelation from its Chief Executive Officer, Paul McDade.
He says the company will pay an annual dividend of at least $100 million from 2019 for a yield of about 3 per cent.
Mr McDade said “having reached our target of being a balanced self-funding exploration and production business and having embedded cost discipline across the group, this is the right time to reinstate a dividend and focus on our plans for growth.”
The oil firm had earlier projected it will produce about 90,000 barrels of oil a day in 2018, rising to 100,000 (barrel of oil per day) bopd next year.
It will then be hitting 150,000 bopd in the early 2020s as it brings online a further 50,000 bopd from east Africa.
Shares in the UK based Oil firm rose more than 3 per cent to 185.5 on Thursday after the announcement of resumption in dividend.
Tullow Oil is a leading independent oil and gas exploration and production company.
The Group has interests in over 80 exploration and production licences across 16 countries which are managed as three Business Delivery Teams: West Africa, East Africa and New Ventures.