Guyana discovery drives up Tullow shares

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(Energy Voice) Shares in Tullow Oil soared almost 20% on Monday after the exploration and production firm announced an oil discovery offshore Guyana.

The London-based company said Jethro-1 was the first discovery on the Orinduik licence and was made up of “high-quality oil-bearing sandstone reservoirs”.

Tullow said it would evaluate the logging data and map out the appraisal activity, but said Jethro-1 exceeded pre-drill forecasts.

The discovery also serves to de-risk other Tertiary age prospects on the Orinduik licence, Tullow claimed.

The non-operated Carapa 1 well will be drilled, later this year, on the adjacent Kanuku licence to test the Cretaceous oil play.

Tullow is the operator of the Orinduik block with a 60% stake.

Total holds 25% with the remaining 15% being held by Eco Atlantic.

Tullow shares finished the day up 19.77% to £2.14.