Samuel Dossou-Aworet-backed Tullow agrees to sell Gabon unit for $300 million

Key Points

• Tullow Oil agrees to sell 100% of its Gabon subsidiary for $300 million, exiting all Gabonese oil assets producing 10,000 barrels per day.
• The Gabon sale proceeds will reduce Tullow’s net debt and strengthen its balance sheet, aiding focus on core profitable assets.
• Tullow also sells Kenyan assets to Gulf Energy for $120 million as part of a broader strategy to simplify operations and cut debt.

Tullow Oil Plc, the London-listed oil and gas explorer in which Gabonese-Beninese oil magnate Samuel Dossou-Aworet holds a significant stake, has signed an agreement to sell 100 percent of the shares in its subsidiary, Tullow Oil Gabon S.A for $300 million. Tullow Oil Gabon holds all of Tullow’s non-operated working interests in Gabon, and the buyer is Gabon Oil Company.

The deal, made through Tullow’s wholly owned subsidiary Tullow Gabon Limited, will bring in $300 million in cash, net of tax, to the company linked to Samuel Dossou-Aworet. The sale is still subject to usual adjustments and regulatory approvals before it can be finalized.

Tullow exits Gabon Oil assets

This latest sale marks Tullow’s exit from its entire Gabonese portfolio. The assets produce about 10,000 barrels of oil per day, according to the company’s 2025 production forecast, and include nearly 36 million barrels of proven and probable reserves, based on an independent audit as of the end of 2024. The deal’s completion depends on meeting all necessary conditions, including government approvals, and the transaction is expected to close around mid-year.

Richard Miller, Tullow’s Chief Financial Officer and Interim Chief Executive Officer, said, “We’re making solid progress with this important sale of our Gabon assets. The proceeds, expected in the coming months, will significantly reduce our net debt and strengthen our balance sheet. This will help us improve our financial position as we continue focusing on our core, profitable assets. The transaction supports our ongoing efforts to unlock value and grow reserves for the benefit of our shareholders and stakeholders.”

Tullow exits Kenya to cut debt

Tullow is an independent energy company focused on responsible oil and gas development in Africa. In April, the company also agreed to sell its Kenyan assets to Gulf Energy Limited, a Kenyan energy and infrastructure firm, for $120 million.

This sale is part of Tullow’s broader plan to simplify its operations and reduce debt. The deal includes an upfront cash payment of $80 million, and all past and future liabilities related to the Kenyan assets will transfer to Gulf Energy. Under the agreement, Gulf Energy will acquire Tullow Kenya BV, the subsidiary that holds Tullow’s full working interests in Kenya.