Profits at Tullow Oil stretch beyond €1m

Oil and gas group Tullow Oil has announced a profit on ordinary activities before tax of €1.27 million (£1 million) for the year to December 31st, 2000. This compares with a loss of €19.27 million for the previous year.

Operating profit before exploration costs for the year was up 125 per cent to €2.12 million, from €944,622 in 1999. Turnover rose by 50 per cent to €12.5 million and cash in hand at year-end was €57 million. Mr Aidan Heavy, managing director, said several major investments made by the company in recent years were coming to fruition.

There was no turnover or profit contribution from the company's £201 million sterling (€324 million) acquisition of BP Amoco assets in the North Sea, which is nearing completion.

Following the completion of its re-domicile to the UK, Tullow will report in sterling in future. Future annual meetings will be held in the UK, with similar meetings being held in Ireland the following day. Last Monday the company entered the FTSE All-Share index.

Tullow yesterday announced a successful natural gas well in the southern sector of the North Sea which, it said, could yield expected production of more than 80 billion standard cubic feet of gas. The Tullow share price closed at €1.41, up 13 cents.