- Tullow Oil said it expected to post a gross profit of $500m in the first half, though it also flagged an $85m exploration write-off.

Revenue for the six months through June was seen at $900m, the company said.

In the previous corresponding period, Tullow Oil posted a gross profit of $521m on revenue of $905m.

'Tullow has made steady progress overall across the business in the first half of the year,' chief executive Paul McDade said.

'Our balance sheet remains strong and we expect another year of solid free cash flow generation.'

'I am particularly pleased with the significant progress we have made in Kenya and the agreement with the Government over a number of key commercial principles will greatly assist us in driving the project to FID.'

'Our exciting and potentially material drilling campaign in Guyana will get underway later this month with the spud of the first of three wells planned for 2019.'

Production in the first half was 89,300 barrels of oil per day. The company guided for annual production of 95,000 bopd.

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