Tullow Oil plc

Annual Report and Accounts 2023

throuh responsble

ol nd s development

Buldn 

better future

2023 results

Group worn nterest producton

62,700 boepd

2022: 61,100 boepd

Opertn csh flow

$813m

2022: $972m

Adusted EBITDAX

$12bn

2022: $1.5bn

(Loss)/Proft fter tx

$(110)m

2022: $49m

Cptl nvestment

$380m

2022: $354m

Free csh flow

$170m

2022: $267m

Net debt

$16bn

2022: $1.9bn

Gern

14 tmes

2022: 1.3 times

Read more on pages  to .

1. The Group uses certain performance measures that are not speciically deined under IFRS or other generally accepted accounting principles.

These alternative performance measures are explained on pages 189 and 190.

Cover: A student undertaking a laboratory experiment in one of the schools supported by Tullow under its Educate to Innovate STEM programme in

Ghana’s western region. This initiative has so far supported 6,000 students with teaching and mentorship in science and technology as they transit

intotertiaryeducation.

Strtec report

1 Evolving Tullow

2 Tullow at a glance

4 Chair’s statement

6 Chief Executive Oicer’s review

10 Investment case

11 Market overview

14 Our business model

16 Our strategy

20 Our KPIs

22 Our stakeholders

24 Section 172 statement

26 Sustainability review

38 Task Force on Climate-related Financial Disclosures (TCFD)

48 Risk management and principal risks

57 Viability statement

59 Financial review

65 Non-inancial and sustainability information statement

Corporte overnnce

68 Chair’s letter

70 Board of Directors

73 Board leadership and company purpose

76 Division of responsibilities

77 Composition, succession and evaluation

79 Nominations Committee report

82 Audit Committee report

87 Safety and Sustainability Committee report

89 Remuneration report

114 Directors’ report

118 Statement of Directors’ responsibilities

Fnncl sttements

120 Independent auditor’s report to the members of

TullowOil plc

130 Group inancial statements

179 Company inancial statements

Supplementr nformton

189 Alternative performance measures

191 Commercial reserves and contingent resources

summary (unaudited) working interest basis

192 Shareholder information

Evolvn Tullow

Durn 2023 Tullow contnued to evolve nto more

focused, effcent nd fnncll reslent busness

Frm foundtons hve been ld for the future nd

 mterl step-up n csh flow enerton mrs

n mportnt nflecton pont nour busness pln

We believe the oil and gas industry can and will

contribute long-lasting economic and social beneits

indeveloping economies and our purpose is to

contribute to a better future through responsible

oil andgas development. In this Annual Report we

explain how weare working to do that by building

abetter business and enhancing our ability to create

value for our stakeholders.

Above: An early morning English Language session for young pupils in one of the 12 kindergarten schools built by Tullow to provide quality education

across anumber of ishing communities in Ghana. This project has beneited over 10,000 children in the last decade, providing them with a solid

foundation for education at the primary level.

Tullow Oil plc Annual Report and Accounts 2023 – 1

Financial statements

Supplementary information

Strategic report

Corporate governance

Tullow t  lnce

To fulil our purpose we must implement our strategy effectively

andatalltimes adhere to our values.

Our purpose

To build a better future through responsible oil and gas development.

Our vlues

Am hh

• Have a growth mindset

andadapt to change.

• Seize every opportunity to

learn and improve.

• Work together to uncover

greater impact for our

business, stakeholders,

andthe communities we

work with.

Own t

• Take ownership and

empower others through

trust, clear expectations,

and open communication.

• Balance innovation with

structure and diligence.

• Deliver results with focus

andintention.

Be true

• Promote an inclusive and

fair environment where all

are supported, and every

voice and contribution

isrecognised.

• Act responsibly, with

safetyas afundamental,

non-negotiable aspect

of our work.

• Do what is right.

Our strte

We are working to create a resilient business which gives us full

lexibility to unlock value from our existing resources and take

advantage of organic and inorganic value-accretive opportunities.

We focus on

Opertonl excellence

Maximising asset

performance through

safe, eicient and

reliableoperations.

Cptl effcenc

Managing cost and capital

todeliver a robust balance

sheet with inancial lexibility.

Busness rowth

Developing discovered

resources, near-ield and

infrastructure-led exploration

and securing value-

accretiveopportunities.

Read more on pages  to .

2 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Wht we do

Tullow is focused on unlocking value from oil and gas resources in Africa.

Our activities and business model are described on pages 14 and 15.

Our opertons

Our operations are centred on our West Africa producing assets in Ghana,

Gabon and Côte d’Ivoire. We also have a material discovered resource

base in Kenya.

Our people

Our people strive for excellence in

aninclusive and diverse environment.

We are fostering a culture of

continuous improvement and we are

committed to ensuring every

individual feels recognised, respected

and proud ofthe impact they make.

We emplo

399 people

Read more on page  and pages  and .

Resources at 31 December 2023

Jubilee

TEN

Gabon

Côte d’Ivoire

Kenya

Reserves at 31 December 2023

Jubilee

TEN

Gabon

Côte d’Ivoire

107

143

109

470

Net 2P Reserves

212

mmboe

Net 2C Resources

725

mmboe

1. As at 31 December 2023.

Tullow Oil plc Annual Report and Accounts 2023 – 3

Financial statements Supplementary informationStrategic report Corporate governance

Chr’s sttement

We are on track to create acapital

structure that will support future

growth and shareholder returns.

Phuthuma Nhleko

Chair

Performnce

I am very pleased to report that we have made good

progressacross the entire business during the year.

Despite an increasingly complex and diicult geopolitical

world, together with a challenging regulatory and

operating environment, we have advanced our strategy

and key objectives.

In July 2023 the Jubilee South East development came

on stream, broadly within budget and on time. Delivery of

this key milestone has increased production at the Jubilee

ield to around 100,000 bopd and transformed our cash

generation capabilities. I was delighted to be part of the

Jubilee South East ‘First Oil’ celebrations that took place in

September last year, and I was very pleased to welcome

the President of Ghana, Nana Akufo-Addo, onboard the

Jubilee FPSO to mark this momentous occasion. We are

grateful to the Government of Ghana for their support and

I also would like to thank and congratulate our Ghana team

for their excellent operational delivery.

The safety of our people and all those who work at or

visitour sites is paramount. During the year we recorded

astrong safety performance with a 0.2 recordable injury

rate and zero Tier 1 Losses of Primary Containment.

However, our overall safety performance was not as

good as 2022 and every incident is one too many. We

are committed to the highest safety standards and we

have redoubled our eorts to reinforce our safety culture

andpractices.

We have also strengthened our balance sheet. Net debt

reduced to $1.6 billion as at year end 2023 (2022: $1.9

billion) and, during the inal quarter of 2023, we entered

into a $400 million ive-year notes facility agreement with

Glencore. This loan, which is a powerful endorsement of

our strategy, together with the $800 million of free cash

low we expect to generate over 2023 to 2025, sets us well

on course tobecoming a resilient, low-debt business.

Free csh flow

$170m

2022: $267m

Net debt

$16bn

2022: $1.9bn

1. The Group uses certain performance measures that are not speciically deined under IFRS or other generally accepted accounting principles.

Thesealternative performance measures are explained on pages 189 and 190.

4 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Governnce

During the year, Mike Daly retired from the Board at the

AGM after nine years of service.

To replace Mike’s subsurface expertise on the Board,

we were delighted to welcome Rebecca Wiles as an

independent Non-Executive Director, following her 33-year

career at BP plc (BP). Rebecca brings signiicant emerging

market corporate experience and a wealth of commercial

and operational skills.

We were also pleased to welcome Roald Goethe as

an independent Non-Executive Director. Roald is a

highly experienced oil and gas executive with a strong

track record of buying, selling, inancing and building

businesses in Africa. Roald has spent his career at Traigura

Group, where he worked primarily in West Africa, and

Delaney Petroleum Ltd, a business he founded, trading

crude oil and petroleum products predominantly in West

Africa and the Middle East.

At the beginning of the year Richard Miller was conirmed

as Chief Financial Oicer (CFO), having served as

interim CFO since April 2022, and joined the Board as an

Executive Director.

I would like to take this opportunity to thank Mike for his

years of service and to welcome Rebecca, Roald and

Richard to the Board. Biographical information about each

Director is included on pages 70 and 71.

Our people

Our people are highly experienced and committed to our

purpose. They are playing a key role in Tullow’s evolution

and the Board recognises the importance of engaging with

them to understand their views and their valuable insights

about our business. During the year, Board members met

with employees on a number of occasions, including

during our annual strategy meeting in July and the Board’s

visit to Ghana in September. Our people have worked hard

and diligently to deliver the considerable progress made

during 2023. Tullow’s evolution is gaining momentum, and

I would like to thank every one of my colleagues for their

commitment, dedication and contribution.

Buldn  better future

Our purpose is to build a better future through responsible

oil and gas development.

If African nations are to prosper they must have access to

aordable and reliable energy and must be able to beneit

from their vast pool of natural resources. During theyear

we have continued to work eectively with our host

country governments to achieve this, including in Ghana

where the Jubilee South East development was delivered

through collaboration with a number of local suppliers.

Further information about our social and economic

contribution in Ghana is set out on page 30.

We have also continued to progress our sustainability

strategy, including our Net Zero by 2030 plan (see pages

33 and 34).

Concluson

Tullow is evolving. Three years ago, we were a high-

cost exploration and production company with a

geographically diverse portfolio. Today we have a clear

strategy, a disciplined inancial approach, a stronger

balance sheet and a simpliied portfolio focused on Africa.

Based on this strengthened position and the material free

cash low, the Board looks to the future with conidence.

Phuthuma Nhleko

Chair

5 March 2024

Tullow Oil plc Annual Report and Accounts 2023 – 5

Financial statements Supplementary informationStrategic report Corporate governance

Chef Executve Offcer’s revew

Signiicant milestones have been

achieved during 2023. Tullow has

a strong and unique foundation

to create material value for our

stakeholders and we look to the

future with conidence.

Rahul Dhir

Chief Executive Oicer

Successful delver of busness pln

Soon after I joined Tullow in July 2020, we put in place

a plan to transform our business. This plan is achieving

targeted results and since the end of 2020 we have

generated over $1.1 billion of free cash low, reduced

net debt by over 30% and taken the business from peak

gearing of 3x to 1.4x net debt to EBITDAX. We have

achieved this despite our legacy hedge programme

resulting in non-recurring outlows of c.$600 million

between 2021 to 2023, which suppressed the true cash

low generation capacity of our business.

In 2023, Tullow continued to evolve and we now have a

strong and unique foundation to create material value.

Several signiicant milestones have been achieved,

including the start-up of Jubilee South East which

delivered material production growth from our core

operated ield. We generated $170 million of free cash

low, ahead of expectations, and reduced our net debt by

over $250 million, despite a lower realised oil price in 2023

compared to 2022 that drove a year-on-year reduction in

revenue (2023: $1,634 million; 2022: $1,783 million). We

also demonstrated our ability to access capital through the

$400 million debt facility agreement with Glencore.

Our strategy is underpinned by a relentless focus on three

core areas – operational excellence, capital eiciency

and business growth. Through continued execution of

this strategy, we are embedding a performance culture,

retaining our discipline, and establishing a growth outlook.

Importantly, we are now a highly cash generative business

and on track to deliver our target of c.$800 million free

cash low over the 2023 to 2025 period.

Sustnblt nd shred prospert

Tullow is committed to building a better future through

responsible oil and gas development. We believe Africa

has the potential to play a growing role in the global

energy mix and we actively partner with our host nations

to develop their resources in a low-cost, environmentally

and socially responsible manner. We are encouraged by

the commitment to a ‘just and equitable’ energy transition

articulated in the COP28 Agreement. This acknowledges

Africa’s minimal contribution to global emissions and

recognises the right of African developing nations to

beneit from the development of their natural resources.

Our Shared Prosperity strategy creates economic

opportunities for those who need it most. In 2023, we

accelerated our impact through partnerships, supporting

more than 10,000 students and hundreds of businesses

across our countries of operation. We are also driving local

content through increased engagement, support and

training of our local supplier base.

We have made tangible progress on our pathway to Net

Zero by 2030. In 2023, several process improvement

modiications were completed at the Jubilee and TEN

FPSOs, keeping us on track to reach our target to eliminate

routine laring by 2025. To address the hard-to-abate

residual emissions from our assets, we are taking a

hands-on approach to progress a nature-based solution

Group working interest

production (kboepd) FY 2023

FY 2024

Guidance

Ghana oil 42.6 48

Jubilee oil

32.5 39

TEN oil

10.1 9

Non-operated portfolio oil 13.2 11

Gabon oil

12.2 10

Côte d’Ivoire oil

1.0 1

Gas production 6.9 7

Group 62.7 62–68

6 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

in partnership with the Ghana Forestry Commission and

expect to make a Final Investment Decision in 2024. The

project delivers on our 2030 Net Zero ambition while also

advancing Ghana’s national climate goals and aligning

with our Shared Prosperity agenda.

Opertonl performnce

In 2023, full year working interest production averaged

62.7 kboepd, including 6.9 kboepd of gas. Group working

interest production is expected to increase year-on-

year and our guidance range for 2024 is 62-68 kboepd,

including c.7 kboepd of gas production.

Ghn

The start-up of production from the Jubilee South East

project in July was a landmark event, marking a step

change in the ield’s production with average daily rates

c.30% higher in the second half of the year compared to

the irst half with rates reaching levels over 100 kbopd.

Gross oil production from the Jubilee ield averaged

83.4 kbopd (32.5 kbopd net) in 2023. This was below our

expectations, primarily due to water injection reliability

challenges and Jubilee South East starting up slightly later

than planned. The water injection reliability issues were

resolved in the fourth quarter of 2023, with upgraded

capacity delivering record water injection rates and

observable pressure response in the reservoirs which

will beneit 2024 production and beyond. Jubilee gas

processing was also upgraded in 2023 and as a result,

we have increased capacity to produce oil from wells

with higher associated gas content. These important

facility upgrades put us in a strong position to maintain

production in the range of 90-110 kbopd towards the end

of the decade.

Gross oil production from the TEN ields averaged 18.4

kbopd (net: 10.1 kbopd) during 2023, with improved

pressure support from existing injection wells resulting in

better management of decline. A planned shutdown was

carried out in July and work was completed to improve

asset integrity, enhance production through improved

liquid recovery from gas and reduce laring. Flaring

from TEN reduced by over 50% post the shutdown, an

important step forward in our target to eliminate routine

laring by 2025.

Contrbutn to Afrc’s ener future

Prtnern wth

host ntons

We believe Africa

has potential to play

a growing role in

the energy supply

mix and the right

to beneit from its

natural resources.

Shrn

prospert

We deliver

economic and

social beneits

that boost local

economies and

support current and

future generations.

Supportn  ust

trnston

We are on track to

reduce emissions

while meeting

energy demand

and helping reverse

energy poverty.

Hrnessn

opportuntes

We are a responsible

developer and

well placed to

be a steward of

Africa’s material

resource base.

40%

of global new

gas discoveries

in the last

decade were

in Africa

$6 bllon

revenue to

Government

of Ghana

from 2010 to

2022 from

Jubilee and TEN

Our Net

Zero

by 2030

strategy

>30 bllon

bbls

proven

resources

inWest Africa

1. Source: www.spglobal.com/commodityinsights/en/market-insights/latest-news/oil/110821-africa-embraces-gas-in-energy-

transition-debate-amid-fears-of-secure-supplies.

2. Source: www.welligence.com. Welligence proven resources include producing and undeveloped resources.

Tullow Oil plc Annual Report and Accounts 2023 – 7

Financial statements Supplementary informationStrategic report Corporate governance

Chef Executve Offcer’s sttement contnued

initially valued at $0.50/mmbtu, was amended in July 2023

to a price of $2.90/mmbtu and subsequently increased in

November to $2.95/mmbtu, after applying year-on-year

inlation indexation. This agreement represents a revenue

stream for Tullow of c.$4 million per month.

During the year, discussions continued with the Government

of Ghana on the amended TEN Plan of Development (PoD) and

the long-term gas sales agreement. We remain committed to

reaching agreement and progressing a number of identiied

projects at TEN in addition to commercialising the material gas

resource base.

In February, 2023 we announced that Tullow Ghana Limited

(TGL) had iled requests for arbitration with the International

Chamber of Commerce in London in respect of two disputed

tax assessments received from the Ghana Revenue Authority

(GRA). The assessments relate to the disallowance of loan

interest deductions for the iscal years 2010 – 2020 and

proceeds received by Tullow Oil plc during the inancial

years 2016 to 2019 under the Group’s corporate Business

Interruption Insurance policy.

Tullow had also previously iled a request for arbitration

in respect of a separate assessment for Branch Proits

Remittance Tax of $320 million in 2021. A hearing in

respect of this dispute took place in October 2023 with an

outcome expected this year.

We believe that resolution through international arbitration

will bring certainty, which is in the best interest of all

stakeholders. In the meantime, we continue to engage with

the Government of Ghana, including the GRA, with the aim

of resolving these disputes on a mutually acceptable basis.

Opertonl performnce contnued

Ghn contnued

During the year, our operational performance continued to

strengthen and average uptime across our Ghana FPSOs

remained high at 96%. The drilling team also had excellent

performance with seven wells (four Jubilee producers and

three Jubilee water injectors) brought onstream during

2023. The cost of drilling wells in 2023 was on average

around 20% lower and c.38 days faster than the previous

campaign in 2018-2020, achieving top-quartile industry

performance. These cost savings and eiciencies have

been driven by reducing non-productive time, improved

well design and more eective contracting.

Five new Jubilee wells (three producers and two water

injectors) are scheduled to come onstream in 2024. The

irst water injector was brought on stream in January, and

two producers were brought on stream in February, with

gross production currently averaging over 100 kbopd. We

expect to complete the current drilling programme around

the middle of the year, approximately six months ahead of

schedule. We then intend to take a drilling break in Ghana

with plans to resume drilling in 2025. During this time, we

will optimise our plans for the next phase of investment in

Ghana while the existing well stock and upgraded water

injection capacity sustains production at Jubilee and TEN

decline continues to be eectively minimised through

improved pressure support.

Net gas production in Ghana averaged 6.4 kboepd in 2023

and marked the irst commercialisation of associated gas

from the Jubilee ield. The interim Gas Sales Agreement,

Evolvn Tullow

2020–2022

Embeddn our new

pproch

2023

‘Inflecton pont’

2024–2025

Reslent, csh-enertve

busness

• Strategic shift.

• Capital discipline.

• Cost reductions.

• Operational transformation.

• Higher production following

Jubilee South East start-up.

• Material step up in free cash

low.

• Addressing debt maturities.

• Flexible capital spend to

sustainproduction.

• Sustain gross Jubilee production

c.100 kbopd.

• Revenue stream from Ghana gas.

• Reinancing plans achieve

sustainable capital structure.

• Net debt reduced to c.$1 billion,

gearing c.1x.

• Growth through organic

opportunities and M&A.

• Kenya remains a key value option.

• Signiicant equity value accretion

of core business.

Ongoing portfolio optimisation

8 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Non-operted nd explorton portfolos

In line with expectations, production from our non-

operated portfolio in Gabon and Côte d’Ivoire averaged

13.7 kboepd net in 2023 (2022: 16.7 kboepd net), including

0.5 kboepd of gas production in Côte d’Ivoire.

Gabon is a key part of our production and infrastructure-led

exploration (ILX) portfolio and in 2023 we took actions that

place the Tchatamba facilities as a core hub for Tullow. In

April, we announced the cashless asset swap agreed with

Perenco that enabled us to take more material positions in

key ields around Tchatamba. In August, the Government

of Gabon approved the extension of several of our licences

to 2046, relecting the future potential of the ields and the

longevity of the Tchatamba facilities. 2P reserves additions

from the licence extensions and the asset swap amounts to

c.6 mmbbls with a further c.3 mmbbls 2P positive reserves

revision from asset performance, overall representing

c.190% reserves replacement in 2023. During 2024,

operations in Gabon will focus on inill drilling to sustain

production or minimise decline across the licences, as well

as two ILX wells at the Simba licence.

On Espoir in Côte d’Ivoire, we continue to work with the

operator to establish the best way forward for the asset. On

exploration licences CI-524 and CI-803, we are maturing

the prospect inventory ahead of drill candidate selection

for an exploration well to potentially be drilled in 2025.

In line with our strategy to focus on producing assets, we

no longer have licences in Guyana following the sale of

Tullow Guyana B.V. to Eco Atlantic and the expiry of the

Kanuku licence. Through the sale, which completed in

November 2023, we retain exposure to potential future

success on the Orinduik licence through contingent

considerations and royalty payments.

In Argentina, our exploration team has continued to mature

a signiicant prospective resource base and continues to

assess opportunities from these licences.

en

Kenya remains a material option to drive value and

growth for Tullow. An updated Field Development Plan

(FDP) which intends to develop 470 mmboe of 2C

resources to produce up to 120 kbopd, was submitted to

the Government in March 2023. We have since worked

collaboratively with the Government as they evaluate

the FDP. Once their evaluation is concluded, the FDP will

be submitted to the Cabinet Secretary for Energy and

Petroleum for review before submission to Parliament for

inal approval. The development has been designed to be

robust at lower oil prices and we continue discussions with

prospective strategic partners for this project.

In June 2023, our interest in Kenya increased from 50%

to 100% as a result of the withdrawal of our Joint Venture

Partners for diering reasons. The increased interest

provides us with greater strategic lexibility. While we

continue to progress the FDP, we are also actively working

with the Government of Kenya in developing options to

accelerate production and cash low to unlock value from

this well-matured resource base.

Reserves nd resources

At the end of 2023, audited 2P reserves were 212 mmboe

(2022: 229 mmboe). During the year, 23 mmboe of 2P

reserves were produced, with a replacement ratio of 26%.

Additions were primarily from the extension of production

licences in Gabon and the maturation of several inill wells,

both in Gabon and the Jubilee area. These additions were

partly oset by reductions in TEN 2P reserves, mainly driven

by a reduced near-term development programme, in light

of the ongoing delays to gain Government approval for the

TEN amended PoD. Around 30 mmboe of net gas resources

remain classiied as 2C pending the approval of the TEN

amended PoD and Gas Sales Agreement. Commercialisation

of these gas resources would place TEN on a much irmer

economic footing and support the maturation of several

identiied projects.

Tullow’s asset base continues to have signiicant value, and

as of 31 December 2023, Tullow’s audited 2P NPV10 was

$3,406 million. This is slightly down from 2022 ($3,895

million), driven largely by TEN revisions and a lower long-

term oil price assumption as deined by independent third-

party reserves auditor, TRACS.

The Group’s audited 2C resources increased to 745

mmboe at the end of 2023 (2022: 605mmboe), relecting

the material scale of opportunity Tullow has to convert

resources into reserves to sustain long-term production. As

we now hold 100% of our Kenya licences, net contingent

resources have doubled to 470mmboe. 54mmboe of

contingent resources has also been removed following the

sale and exit from Guyana.

Outloo

After reaching an important inlection point in our business

plan in 2023, Tullow has a strong and unique foundation to

create material value for our investors, host nations and wider

stakeholders and we look to the future with conidence.

We will continue to run our business with the same rigorous

inancial discipline, prioritising the highest returns and

focusing on value-accretive investments. Our balance sheet

will continue to strengthen as we further reduce our debt

and optimise our capital structure. We have made good

progress toward delivering our target of $800 million of free

cash low between 2023 and 2025 and given the quality of

our resource base, the opportunity set ahead of us and a

reducing cost outlook, we expect to maintain these levels of

free cash low generation in subsequent years.

With a strong balance sheet and this sustainable free cash

low outlook, our business will be well placed to deliver

value to our shareholders through organic and inorganic

growth and capital returns.

I thank our shareholders for their continued support as we

realise value across the portfolio in 2024 and beyond.

Rahul Dhir

Chief Executive Oicer

5 March 2024

Tullow Oil plc Annual Report and Accounts 2023 – 9

Financial statements Supplementary informationStrategic report Corporate governance

Investment cse

Strong inancial and operational

performance.

30% rowth

Jublee 1H to 2H 2023 producton

Cash-generative business.

$800m

Free csh flow

over 2023-2025

t $80/bbl

Signiicant equity value accretion

as debt is repaid.

<$1bn nd 1x

Expected net debt

nd ern

b YE 2025

Optionality for investment, growth

andreturns.

Sustnble

Free csh flow

Building a unique African platform.

Growth

From ornc nd nornc

opportuntes

Attrctve sset portfolo

Ghn

Signiicant opportunities for inill

drilling, facilities expansion and new

oil and gas production from currently

undeveloped parts of the ields as

well as near-ield exploration.

Gbon nd Côte d’Ivore

Low-risk investment projects

with potential for fast

commercialisation, high

returnsand rapid payback.

en

Opportunity to realise value from

discovered resources.

A compelln vlue proposton

1. The Group uses certain performance measures that are not speciically deined under IFRS or other generally accepted accounting principles.

Thesealternative performance measures are explained on pages 189 and 190.

10 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements

Supplementary information

Strategic report

Corporate governance

Mret overvew

A number of global dynamics are shaping the markets we operate in.

Geopoltcs

Geopolitical tension around the world continues

to drive uncertainty and signiicantly impact the

global economy.

During 2023, geopolitical tensions, including the conlict

in the Middle East and the ongoing war in Ukraine, have

resulted in heightened market instability and disruptions

to global trade routes, thereby creating uncertainty and

aecting global economic growth.

Across sub-Saharan Africa, our key market, political

instability has continued with several military

coup d’états occurring, including in Gabon during

August 2023.

In these geopolitically unstable times, nations are

seeking to secure domestic energy supply which

is driving a decline in global trade and increasing

energy costs.

Inlation has started to reduce towards target levels

but interest rates remain high. While most economies

are absorbing persistently high interest rates, showing

resilience over the past year, core inlation remains

elevated in several parts of the world, especially

the US and parts of Europe. If major central banks

keep interest rates higher for longer in order to tame

inlation, risks to the world economy are likely to remain

skewed to the downside

. In Europe, rising wages

and higher incomes are boosting the economy, but

short-term wage pressures combined with longer-

term tightness in labour markets could stoke further

inlationary pressures

In terms of global politics, in 2024, elections will take

place in the US, UK and in many countries in Africa

including Ghana, our primary country of operation.

Elections can cause signiicant market volatility as

investors cope with uncertainty about a country or

region’s direction.

1. Source: www.imf.org/en/Blogs/Articles/2023/10/10/higher-for-longer-interest-rate-environment-is-squeezing-more-borrowers.

2. Source: www.imf.org/en/Blogs/Articles/2023/11/07/europes-wage-rises-are-aiding-recovery-but-economies-face-risks.

Instability is causing

nations to seek to

secure domestic

energy supply.

How we re respondn

We work to build relationships with host

nations and governments. We also have a

proven track record of ensuring business

continuity during political uncertainty,

as demonstrated in Gabon where our

operations were unaected during the

recent coup.

Tullow Oil plc Annual Report and Accounts 2023 – 11

Financial statements Supplementary informationStrategic report Corporate governance

Ol prces

For much of 2023 oil prices oscillated in a much

narrower range compared with the volatile

markets of 2022.

Oil prices luctuated in the irst six months of 2023,

following the EU’s ban on Russian crude oil imports,

interest rate hikes by global central banks, and worries

about inlation and recession. Price strength was

driven through OPEC+ cuts combined with improved

macroeconomic sentiment. Brent prices rallied in the

second half of 2023 with prices hitting yearly highs.

Russia and Saudi Arabia’s decision to extend production

cuts of a combined 1.3 mb/d through to the end of 2023

triggered a price spike towards the middle of September

2023. This raised the prospect that sustained high

interest rates may slow oil demand and economic

growth. This ambiguous demand outlook, together

with deteriorating macroeconomic indicators and a

sharp escalation in geopolitical instability in the Middle

East, saw prices increase again in early October, before

decreasing into mid-December as concerns around

wider conlict and supply disruptions eased.

Oil prices increased in mid-December following attacks

on shipping vessels in the Red Sea driving Brent up to

$78/bbl by the end of the year.

Mret overvew contnued

1. All data in this section is taken from the monthly IEA Oil Market Reports available at www.iea.org/energy-system/fossil-fuels/oil.

Oil price movement 2022 v 2023 (Dated Brent) $m

Jan Feb March April May June July Aug Sep Oct Nov Dec

$/bbl

160

140

120

100

2022 2023

2023 oil prices oscillated in a

muchnarrower range compared

with 2022 prices.

How we re respondn

Hedging forms a key part of our

inancial risk management and allows

us to protect our revenue from oil price

volatility. We re-introduced our hedging

policy in 2023 which sees us protect 60%

of our expected production for the year

ahead, and 30% of the following year.

We also ensure 60% of our production

is exposed to rising oil prices by using

a mixture of straight put and collar

hedge structures. We continue to focus

on reducing our costs to ensure our

business is resilient at lower oil prices.

12 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Clmte chne nd ener trnston

Since the Paris agreement was signed in 2015, 75% of

cities, regions and countries now have net zero targets

enshrined in national legislation or policy. In addition,

more than two thirds of the world’s largest 2,000

companies have committed to a net zero target. With

88% of emissions, 92% of global GDP and more than

$25 trillion in revenues covered, progressing a path to

net zero has now become the global norm

Despite these developments, national climate action

plans remain insuicient to limit global temperature

rise to 1.5 degree Celsius and meet the goals of the

Paris Agreement

. The UNEP Emissions Gap Report

2023 showed that the growth of GHG emissions has

signiicantly slowed since 2015, but still needs to

decrease by between 28–42% more by 2030

When leaders gathered in the United Arab

Emirates for COP28, the political focus was on the

‘Global Stocktake’ to close existing gaps between

commitments, action and a 1.5C-aligned pathway

to net zero. With the UAE Presidency hailing the

agreement to transition away from fossil fuels as

“historic”, the inal text asks countries to set ‘ambitious’

targets over the next two years ‘in the light of dierent

national circumstances’. But progress on climate

adaptation, resilience and inance was slow, particularly

frustrating African nations that bear the brunt of the

impact of climate change

The uncertain geopolitical situation in 2023 is expected

to continue through 2024 and is likely to impede

further progress. Nevertheless, the consensus from

COP28 was that a more measured approach that gives

regard to the development needs of all regions is a

better approach.

While the pace of the energy transition is uncertain,

it is clear that fossil fuels such as oil, natural gas and

coal will remain a major part of the energy mix for the

foreseeable future.

African countries are disproportionately aected by

the global temperature rise – experiencing escalating

physical climate risks – but have limited ability to

respond due to debt and economic disparity . In

response, The Nairobi Declaration called for new

inancing mechanisms to restructure Africa’s debt

and unlock climate inancing

to ensure that African

countries can work together to face this challenge

1. Source: www.zerotracker.net/insights/net-zero-targets-among-worlds-largest-companies-double-but-credibility-gaps-undermine-progress

2. Source: www.unfccc.int/news/new-analysis-of-national-climate-plans-insuicient-progress-made-cop28-must-set-stage-for-immediate-action.

3. Source: www.unep.org/resources/emissions-gap-report-2023#.

4. Source: www.ft.com/content/3d821c-6200-4808-b16d-ac9cb2207f11.

5. Source: www.africaclimatesummit.org/about.

How we re respondn

Our purpose is to build a better future

through the responsible development of

oil and gas. In support of global targets to

reduce emissions, we are implementing

our Net Zero by 2030 strategy. Further

detail about our Net Zero by 2030

strategy and progress to date is included

on pages 33 and 34.

We recognise the importance of

meaningful engagement with a wide

spectrum of stakeholders to address the

complexity of the energy transition and

we regularly engage with host countries

to understand their long-term climate-

change strategies. For example, in Ghana

we are pioneering a nature-based carbon

oset project which is aligned with

the Government of Ghana’s Reduced

Emissions from Deforestation and Forest

Degradation strategy and its Nationally

Determined Contributions under the

global Paris Agreement. This project is

being undertaken in partnership with the

Ghana Forestry Commission to mitigate

hard to abate, residual emissions. See

page 33 for further information.

Tullow Oil plc Annual Report and Accounts 2023 – 13

Financial statements Supplementary informationStrategic report Corporate governance

Our busness model

Building a better future through responsible oil and gas development is our

purpose and ensuring that we generate value for all our stakeholders shapes

our business model and our strategy.

Our resources nd reltonshps

• Experienced and skilled

employees including local

teams in Africa with

engineering and subsurface

technical expertise.

•

Attractive portfolio of assets

including material reserves and

resources in West Africa and

signiicant resources in Kenya.

•

Strong reputation as a

responsible oil and gas

operator and trusted partner.

•

Positive relationships with

localcommunities, host

nationgovernments and

regulatory bodies.

•

Network of dependable

suppliers, including local

suppliers in Africa, supporting

business continuity and growth.

•

Financial resources that fund

business continuity and growth.

Produce

nd sell

We responsibly produce oil and

gas from our West African assets

and sell to international and

domestic markets.

Develop nd

explore

We invest in further

development and exploration

around our existing ields to

maintain and grow production.

Hrness

opportuntes

We seek opportunities to bring

undeveloped resources to

production and acquire existing

producing ields to grow and

diversify our business.

Wht we do

14 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

How we operte

• We strive to operate in a safe,

eficient and sustainable way

at alltimes.

•

Our success is dependent on

building trust and delivering

positive outcomes for all our

stakeholders.

•

Our values-led culture guides

our approach to everything. It

drives ethical behaviour to

ensure that at all times we do

what is right and promotes an

open team culture of

empowerment, performance

and continuous improvement.

•

We actively engage with the

communities and

governments where we

operate to understand their

needs and invest to support

their social development.

Our strte s focused on

Operational

excellence

Capital

eficiency

Business

growth

Read more about our strategy on pages  to .

The vlue we crete

Our people

We provide employment,

competitive compensation and

beneits, and development

opportunities.

Emploees

399

Trnn nd development hours n 2023

+7,000

Host communtes nd overnments

Economic growth and

sustainabledevelopment, through

infrastructure developments, STEM

education and high-skill job

opportunities.

Totl soco-economc contrbuton

n lst fve ers

$31bn

Investors

2023 free csh flow

$170m

Supplers

Spent wth locl supplers n lst fve ers

$11bn

1. As at 31 December 2023.

2. The Group uses certain performance measures that are not speciically deined under IFRS or other generally accepted accounting principles.

Thesealternative performance measures are explained on pages 189 and 190.

Tullow Oil plc Annual Report and Accounts 2023 – 15

Financial statements Supplementary informationStrategic report Corporate governance

Our strte

Through effective execution of our strategy we have continued to evolve our

business. We have relentlessly focused on operational performance, cost

control, capital discipline and investments to drive growth. As a result, Tullow

today is a much-improved business.

As our cash low continues to increase we will continue to run our business with the same rigorous inancial discipline

prioritising the highest returns and focusing on value-accretive investments. This will enable us to further reduce our debt

and put in place a sustainable capital structure. It will also enable usto grow our business to create lasting social and

economic beneits for our host nations and value for our wider stakeholders.

Our strtec themes

Opertonl excellence

• Operating in a safe, eicient

and sustainable way at

all times.

• Promoting an inclusive

performance-driven culture

focused on continuous

improvement that

empowers employees.

• Building a track record

of consistent top-tier

operating capability and

performance.

• Leveraging our engineering,

technical and subsurface

expertise to realise

operating eiciencies

and maximise return on

investments.

Cptl effcenc

• Operating within a strict

cost framework.

• Allocating capital in a

disciplined way focused on

delivering investor returns

and capital to fuel our

growth plans.

• Generating material free

cash low of c.$800 million

between 2023 and 2025.

• Deleveraging our balance

sheet to become a low-

debt business by 2025 with

less than $1 billion net debt

and under 1x gearing.

Busness rowth

• Growth from our existing

assets, including new

production from discovered

resources, production from

undeveloped parts of ields

and near-ield exploration.

• Leveraging our deep

expertise in two ways:

to identify low-risk

investments with potential

for fast commercialisation,

high returns and rapid

payback; and create future

optionality from signiicant

prospective resources.

• Leveraging our strong

reputation as a trusted

partner and ethical and

responsible operator to

secure value-accretive

opportunities to diversify

our asset base.

Link to KPIs:

Link to principal risks:

Read more about our KPIs on pages  and .

Read more about our principal risks on pages  to .

16 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Strte n cton

During the year we have achieved a number of strategic milestones.

Operational

excellence

Enhncn drlln

performnce

Top-tier drilling performance is being achieved

during our ongoing programme in Ghana. Thecost

of wells in this programme has averaged c.$56

million, around 20% lower than wells drilled during

the 2018–2020 programme. This cost saving has

been delivered by signiicantly reducing non-

productive rig time, simplifying well designs and

more eective contracting. Our well engineering,

subsurface and operations teams are building

an excellent track record for eiciently delivering

complex wells onschedule and on budget with

results in line withexpectations.

Avere Ghn well costs n 2023

c$56 mllon

Tullow Oil plc Annual Report and Accounts 2023 – 17

Financial statements Supplementary informationStrategic report Corporate governance

Strte n cton contnued

Capital

eiciency

Delevern our

blnce sheet

We have made signiicant progress in reducing our

debt and addressing our debt maturities. During

the year we purchased portionsof our Notes

due in 2025 and 2026 and in November 2023 we

entered into a $400 million ive-year notes facility

agreement with Glencore (see page 24). These

developments, together with our expected cash

generation through to 2025, will allow us to fully

address all outstanding 2025 Notes and positions

us for a successful reinancing of the 2026 Notes.

Yer-end 2023 net debt

$16bn

2022: $1.9bn

18 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Business

growth

Incresn

productont

Jublee

Following the completion of the Jubilee South

East project, gross production from our Jubilee

ield in Ghana grew from c.70,000 barrels of

oil per day (bopd) at the start of the year to

c.100,000 bopd. This increased production is a

result of the three-year c.$1 billion investment we

and our partners have made to bring previously

undeveloped reserves to production via the

Jubilee South East project. Sharing the value

we create is core to our purpose and we are

pleased to have delivered this growth through

collaboration with a number of local suppliers. In

particular, a signiicant proportion of the complex

Jubilee South East oshore infrastructure was

fabricated by local companies in Ghana, whose

workforces are over 90% Ghanaian. Over the

next few years, we plan to maintain this increased

level of production through active reservoir

management and inill drilling.

Forecst 2024 Jublee ross producton

c100,000 bopd

Tullow Oil plc Annual Report and Accounts 2023 – 19

Financial statements Supplementary informationStrategic report Corporate governance

Our PIs

We measure our performance using the inancial and non-inancial metrics

detailed below. These metrics are used to determine performance-related

rewards

across the Company ensuring that remuneration and delivery of our

strategy are aligned.

The operational and inancial metrics below (our 2023 corporate scorecard) relect our strategic priorities. Their purpose

is to drive performance and provide a clear measure of progress achieved during the year. As part of our remuneration

arrangements, at the start of each inancial year we set targets and weightings in relation to each metric. Further detail

in relation to each performance metric and the targets set for the inancial year ended 31 December 2023 are set out on

page 91 and pages 94 to 96.

Performance metric Why we measure this 2023 performance

Sfet

The safe and responsible operation of

our assets is always our irst priority.

One recordable injury in 2023, maximum

score achieved.

No Loss of Primary Containments (LOPCs) at

Tier 1. Three Tier 2 LOPCs.

Fnncl performnce

(Cost and working capital

management)

Helps determine how eectively we are

deploying our strict cost framework and

our progress in maintaining cost discipline.

Normalised operating cash low at $902 million.

Producton

Maximising oil production and revenues is

critical if we are to continue to deleverage

our business and deliver our targeted

material cash low over the next two years.

Group oil production at 56.3 kbopd. Jubilee

production eiciency at 96%; TEN production

eiciency at 95%.

Busness pln

mplementton

Eective implementation of our capital

investment programmes underpins our

strategy and ensures capital eiciency.

100% of the 2023 capex work programme

completed in line with Budget. Delivery of

the Jubilee South East project represented a

signiicant 2023 milestone.

Part of the Mauritania decommissioning

programme deferred due to operational

issues. Operations to restart in 2024.

Sustnblt

If we are to fulil our purpose, we must

mitigate the impact of our operations

while generating social and economic

beneits for our host nations and

otherstakeholders.

A number of ESG initiatives were completed

including planned engineering works on TEN

and Jubilee to eliminate routine laring, social

projects in our countries of operation and people

initiatives to improve our employee engagement.

Unlocn vlue

Provides laser focus on key strategic

operational projects.

Performance assessment focused on six

critical actions including the successful

delivery of reinancing initiatives to address

near-term debt maturities, Ghana gas

commercialisation via an interim gas sales

agreement, and in Gabon, swap agreement

and licence extension boosting reserves.

Ledershp effectveness

Ensures we have the right balance of

skills, experience and knowledge to

deliver our strategy.

In 2023, the leadership team worked

cohesively and, together with a highly

energised workforce, achieved 100 kbopd on

Jubilee and progressed activities to unlock

value in the identiied critical areas. With

strong support from the Board in the year, the

leadership team continued to position the

Company for sustainable success in the future.

1. Our scorecard also includes a relative total shareholder return performance metric which makes up 50% of the total and only applies to our CEO

(see page 96).

20 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Trets nd performnce

Set out below are overviews of the targets and performance achieved in 2023 and the two prior years.

2023 corporte scorecrd

2022 corporte scorecrd

2021 corporte scorecrd

Safety Financial performance Production Business plan implementation Sustainability

Unlocking value Leadership eectiveness

Safety Financial performance Production Business plan implementation Sustainability

Unlocking value Leadership eectiveness

Safety Financial performance Production Business plan implementation Capital structure Sustainability

Leadership eectiveness

Target

10%

2.2%

10%

2.7%

3.8%

7.5%

3.8%

4.2%

7.5%

4.9%

Achieved

Target

1.9%

10%

6.3%

10%

4.8% 3.2%

7.5%

5.6%

2.6%

7.5%

5.6%

Achieved

Target

9.8%

7.0%

13%

9.9%

6.5%

4.7%

6.5%

5.2%

9.8%

9.1%

9.8%

5.5%

Achieved

Tullow Oil plc Annual Report and Accounts 2023 – 21

Financial statements Supplementary informationStrategic report Corporate governance

Our steholders

To fulil our purpose and build a better future for all our stakeholders we must

understand their expectations and concerns and take account of them in the

way we run our business.

Enn wth

oursteholders

During the year, Board members visited a newly

built 14-unit dormitory block for students at Axim

Girls’ Senior High School in Ghana’s western

region. Tullow provided funding for the build as

part of the Ghana Government’s initiative to make

education more accessible to students who live

long distances from schools. In the picture, Board

member Sheila Khama engages Tullow Ghana’s

Associate General Counsel, Hannah Agbozo, in

a conversation as they make their way through

the facility.

22 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Our e steholders nd how we ene wth them

Colleues

Enable us to deliver

our strategy

Host overnments

nd communtes

Impacted by what

we do

Investors nd

lenders

Provide capital

Supplers

Support our

business activities

ESG experts,

non-overnmentl

ornstons nd

ndustr peers

Share best practice

Wht mtters to them

• Safe working

environment.

• Fair compensation

and beneits.

• Purpose and values-

based culture.

• Engagement

including regular

and timely business

updates.

• Development

opportunities.

• Responsible

operator of national

assets.

• Revenues and

taxesfrom

operations.

• Socio-economic

investment and

support.

• Consultation

on operational

initiatives.

• Strategy and

delivery.

• Sustainable returns.

• Regular

communication and

transparency.

• Strong ESG

performance

especially on

climate change

mitigation.

• Long-term

relationships.

• Safe working

environment.

• Fair terms.

• Commitment to

invest in local

content.

• Safe and sustainable

operations.

• Input into debates

and consultations in

relation to industry

practices.

• Proactive

engagement in

relation to issues.

Group-level enement overvew

• Town hall and team

meetings.

• Engagement

surveys.

• Local-level

engagement

including team

meetings.

• Employee advisory

panel (the TAP).

• Leadership coee

mornings and

brunches.

• Senior

management

proactively engage

with government

oicials.

• Regular interaction

through our local

Social Performance

teams.

• Regular meetings,

discussions,

surveys, advocacy

and industry

collaborations.

• Investor relations

programme

including quarterly

updates and regular

group and 1-2-1

meetings.

• Participation

in industry

conferences.

• Regular commercial

dialogue.

• Quarterly

performance

reviews with key

suppliers.

• Supplier training

events in relation

to our business

requirements.

• Corporate

memberships

including the

Extractive Industries

Transparency

Initiative, Chatham

House and Royal

African Society.

• Participation in ESG-

focused investor and

industry events and

conferences.

• Attendance

and academic

submissions to

technical peer-to-

peer events.

Bord-level enement overvew

• Quarterly meetings

with the TAP, our

employee advisory

panel.

• Town hall meetings

hosted by CEO

including open

Q&A sessions.

• Annual Board site

visit.

• On-site in-person

small group

discussions

with CEO.

• Chair and CEO

meet with national

government

representatives.

• Regular Social

Performance team

Board updates.

• Annual Ghana

Energy Evening

hosted in London.

• Annual General

Meeting.

• Chair and Senior

Independent

Director meet with

shareholders as

required.

• Board receive

regular updates on

investor relations

programme,

including investor

feedback.

• Chair, CEO and CFO

meet with supplier

counterparts

to assess

performance and

build relationships.

• Oversee overall

sustainability

strategy.

• Visit social

investment and

oset projects.

• Regularly

updated on ESG

developments

aecting our

business.

Outcomes

• Most recent

employee survey

results (2022)

returned an average

positive score of

70% across all

survey questions.

• $713 million total

socio-economic

contribution

in2023.

• See pages 30 to 32.

• Supportive

shareholder base.

• Ethical

procurement.

• Motivated suppliers

performing to high

standards.

• Responsible

business practices.

• Sustainability

strategy addresses

stakeholder issues.

Tullow Oil plc Annual Report and Accounts 2023 – 23

Financial statements Supplementary informationStrategic report Corporate governance

Secton 172 sttement

The Directors are required by law to act in a way that promotes the success

ofthe Company for the beneit of shareholders as a whole. In so doing they

must also have regard to wider expectations of responsible business behaviour

and have regard to the Company’s stakeholders and the matters set out in

Section 172(1) of the Companies Act 2006.

During the year the Directors have actively engaged with a number of our stakeholders to build understanding of their

position and what matters to them (see page 23). This understanding is factored into the Board’s decision-making

process. In circumstances where stakeholders’ interests are conlicted, the Directors endeavour to balance all interests

and make decisions that align with our purpose and support the delivery of the Company’s strategy and its long-

term success.

In relation to the decisions made by the Board during the year ended 31 December 2023, the Board consider, both

individually and together, that they have acted in the way they consider, in good faith, would be most likely to promote the

success of the Company for the beneit of its shareholders as a whole, having regard to its stakeholders and the matters

set out in Section 172(1) of the Companies Act 2006.

Set out below are examples of Board principal decisions made during the year which illustrate how the Directors have

fulilled their duties.

Decson Areement wth Glencore Ener U Lmted (Glencore)

Context nd

ln to strte

In November 2023 we entered into a $400 million ive-year notes facility agreement with

Glencore (the Agreement). The facility will be available to draw for 18 months and proceeds are

available for liability management of the Company’s senior notes maturing in March 2025. The

interest on the facility will be term secured overnight inancing rate plus 10% on drawn amounts.

We also entered into oil marketing and otake contracts with Glencore for Tullow’s crude oil

entitlements from the Jubilee and TEN ields in Ghana and the Rabi Light entitlements in Gabon.

Steholder

consdered

Investors, Colleagues, Suppliers.

Process

The Board considered the terms of the Agreement and decided it was in the best long-term

interest of the Company and the stakeholders above based on a number of factors including:

• Proceeds from the facility, together with cash on balance sheet and free cash low expected to

be generated during 2023 to 2025, will allow all outstanding 2025 Notes to befully addressed

and positions us for a successful reinancing of the 2026 Notes.

• By entering into the Agreement Tullow seeks to manage its debt proiles and ultimately achieve

a sustainable capital structure, including our Company goal of becoming a low-debt business

with gearing of 1x or below, and the inancial lexibility to pursue value-accretive opportunities

or consider future shareholder returns.

• A sustainable capital structure, together with successful execution of growth opportunities, will

create value for our shareholders, lasting social and economic beneits for our host nations, job

security for our people and commercial beneits for our suppliers.

Read more about our strategy on pages  to .

Strategy key

Operational excellence Capital eiciency Business growth

24 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Decson Asset swp reement wth Perenco Ol nd Gs Gbon SA (Perenco)

Context nd

ln to strte

In April 2023, we entered into an asset swap agreement with Perenco to optimise our equity

ownership across key ields in Gabon through the cashless swap of interests held by both parties

in certain licences in Gabon.

Steholder

consdered

Host communities and governments, Investors, Colleagues, Suppliers.

Process

The Board considered the terms of the Agreement and decided it was in the best long-term

interest of the Company based on a number of factors including:

• The transaction simpliies and equalises our equity ownership across key ields in Gabon, creating

better alignment between the participating interest partners and streamlining processes.

• The transaction is aligned with our growth strategy which is focused on maximising the value

ofour key producing assets and low-risk exploration with potential for fast commercialisation,

high returns and rapid payback.

• Successful execution of growth opportunities will create value for our shareholders, lasting

social and economic beneits for our host nations, job security and development opportunities

for our people and commercial beneits for our suppliers.

Decson South Lochr Bsn – en updte

Context nd

ln to strte

In May 2023, Tullow Kenya B.V., operator of the Company’s licence in Kenya, was informed by its

two minority partners of their intention to withdraw from Blocks 10BB, 13T and 10BA in the South

Lokichar Basin (the Project). As a result, the Group had an opportunity to increase its working

interest in these blocks and assume 100% ownership, resulting in the Company having full rights

and liabilities.

Steholder

consdered

Host governments and communities, Investors, Suppliers.

Process

The Board considered the factors associated with 100% ownership of the Project and decided it

was in the best long-term interests of the Company and its stakeholders, based on a number of

factors, including the beneits, and decided:

• 100% of the Project created more optionality, providing the Company with more lexibility in the

ongoing process to secure strategic partners. It also created a simpler joint venture partnership

and as a result, streamlined delivery.

• The opportunity is aligned with our growth strategy. It is a low-cost development that has the

potential to unlock material value for Kenya.

Tullow Oil plc Annual Report and Accounts 2023 – 25

Financial statements Supplementary informationStrategic report Corporate governance

Sustnblt revew

2023 sustnblt hhlhts

Safe operations Shared Prosperity Environmental stewardship Equality and transparency

0.2 Total Recordable Injury

Frequency across our global

operations.

$221 million local supplier spend

- an increase of 28% compared

to 2022.

Completed process

improvements to increase gas

handling capacity on Jubilee

and TEN separator upgrades to

progress elimination of routine

laring to meet our Net Zero

commitment.

$713 million total socio-

economic contribution in our

host countries, bringing total

ive-year socio-economic

contribution to $3.1 billion.

Zero Tier 1 process

safety Loss of Primary

Containments (LOPC) and

three Tier 2 LOPC incidents.

Educational activities reached

more than 10,000 pupils and

students.

3% reduction in total energy

consumption.

$492 million paid to host

countries including payments

in kind.

Completed Jubilee ield

FPSO safety culture

assessment which

evidenced strong

improvement in safety

systems and practices.

Ongoing investment in Ghana

ishing communities with a

total of loans worth $770,000

granted to 2,411 ishing

businesses to date.

34% reduction in total water

consumption.

21% women in senior

management (compared to 14%

in 2022).

Two Environment, Health &

Safety (EHS) Forums held for

contractors in Ghana.

Major programme to identify

salient human rights issues and

training rolled out within Tullow

and across our supplier base

inGhana.

84% total waste recycled,

reused or treated (compared to

74% in 2022).

43% Africans in management

(compared to 42% in 2022).

Employee engagement with

our Global Wellness Agenda

with colleagues attending

an average of eight wellness

events throughout the year.

500 local companies attended

six training workshops delivered

through the Petroleum

Commission / Tullow Business

Academy Partnership

Initiative in Ghana.

Positive results received in

the fourth marine benthic

environmental assessment

undertaken in Ghana.

Localisation in Ghana at 76% on

track to achieve our target of

90%, through implementation of

various initiatives.

We strive to operate in a safe, ethical and sustainable way at all times.

Duringthe year we have continued to implement our sustainability strategy

andhave achieved progress in a number of areas.

Tullow Ghana

received the

Health, Safety

and Environment

Excellence Award

at the 2023 Ghana

Energy Awards.

Our investment and achievements in

developing and delivering outstanding

local content in Ghana’s upstream oil

and gas sector over the past 10 years

were recognised at the 2023 Local

Content Conference hosted by the

Petroleum Commission. Read more at

www.tullowoil.com/sustainability.

Assurnce

Quantitative data in this section relates to the 2023 calendar year and covers our global operations unless otherwise

stated. Greenhouse gas (GHG) emissions reporting includes our operated and non-operated assets. Descriptions of

data collection methodologies and notes to reported metrics are available in our GHG Emissions Scope & Calculation

Methodology and Basis of Reporting documents which are available at www.tullowoil.com/sustainability. GHG emissions

and other environmental data from our operated assets have been externally assured by Integrated Reporting and

Assurance Services (IRAS) and the Assurance Statement is also available at www.tullowoil.com/sustainability.

26 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Our sustnblt frmewor

Our sustainability strategy addresses our material economic, social and environmental impacts, and is fundamental to

delivering our purpose. It is built around four pillars (see below) which are aligned with the issues that are most relevant to

our business, our stakeholders (see page 23) and the relevant broader UN Sustainable Development Goals (SDGs).

The Safety and Sustainability Committee (see pages 87 and 88) supports the Board in directing our sustainability strategy

and targets and oversees its implementation. Sustainability-related topics are discussed at every Board meeting.

I believe 2024 will provide an

opportunity to refresh our strategy

and reassess our priorities. A focus

on nature, including biodiversity

and ocean health, will be higher on

our agenda, for example, and we

will continue to reinforce the ways

in which we inspire and empower

our people and attract strong new

candidates to join our business.

Julia Ross

Director of People and Sustainability

Social Environment Governance

Sfe opertons Shred Prospert Envronmentl

stewrdshp

Eqult nd

trnsprenc

• Employee health and safety

• Process safety

• Emergency response

• Local content and capacity

• Community development

• Social investment

• Climate change

• Biodiversity

• Spills

• Waste

• Compliance

• Anti-corruption

• Human rights

• Inclusion and diversity

• Tax transparency

In 2023, we commenced a review of the issues which

represent our most signiicant sustainability impacts as

a precursor to updating our sustainability strategy and

targets to relect changes in our business, our operating

environments, new reporting standards and frameworks

as well as stakeholder expectations since our last

assessment. We plan to provide an update and a refreshed

sustainability strategy next year.

Further information about our progress in advancing

our sustainability programmes is included in

our Sustainability Report which is available at

www.tullowoil.com/sustainability.

Tullow Oil plc Annual Report and Accounts 2023 – 27

Financial statements Supplementary informationStrategic report Corporate governance

Sfe opertons

There is nothing more important than the safety of our

people and all those who work at or visit our sites. Safe

operations management and practices are overseen by

the Board with the support of its Safety and Sustainability

Committee. We believe all injuries are preventable and

work proactively every day to make this our reality.

Occuptonl helth nd sfet

We delivered a year of positive safety performance

in 2023, achieving our target of below 0.6 for Total

Recordable Injuries Frequency (TRIF) and a reduction in

the number of High Potential Incidents (HiPos)

by more

than 50% compared to 2022. Disappointingly, there was

one Lost Time Injury (LTI) involving an oshore worker in

the Jubilee ield who sustained injuries which required

osite treatment. We also recorded three Tier 2 Loss of

Primary Containment (LOPC) incidents compared to

one Tier 2 LOPC in 2022. All injuries and incidents were

subjected to full investigations and corrective actions were

taken to prevent recurrence. In 2024, we will continue with

further intensive activities to reinforce our safety culture

through awareness and training at all levels.

Safety performance

2023 2022 2021

Lost Time Injuries

Frequency (LTIF) 0.2 0 0.21

Total Recordable Injuries

Frequency (TRIF) 0.2 0 0.43

High Potential Incident

Frequency (HiPoF) 0.6 1.5 1.06

Workforce fatalities 0 0 0

Process sfet

Our process safety management system includes policies,

standards and risk management activities and covers all

our operations from exploration and production through to

decommissioning. In 2023, we maintained zero Tier 1 LOPCs

for the fourth consecutive year. However, we did experience

an increase in Tier 2 LOPCs, which, although less severe,

reinforced the opportunity for further improvements.

Process safety events

(PSE) 2023 2022 2021

Tier 1 0 0 0

Tier 2 3 1 0

Total 3 1 0

Asset protecton nd emerenc response

We maintain a high level of preparedness to respond to

any emergency to minimise negative impacts on people,

the environment and our assets while assuring business

continuity. We adhere to our detailed asset protection-

related policies, standards and plans which include crisis

and emergency management, ensuring employees are

fully trained to respond to emergency situations.

In 2023, we conducted two major exercises in Ghana to

test our emergency response protocols and business

continuity planning. The exercises included testing

procedures to be adopted during oshore emergencies

and to ensure our teams are updated with all relevant

procedures including full understanding of oil spill

reporting and strategic response options. As a result of

these exercises, we adjusted our processes to improve

ouroverall emergency response preparedness.

Embeddn

proctve sfe

worn prctces

We launched our Learning from Normal Work

campaign to shift mindsets from reactive learning

(after incidents) to proactive learning (preventing

incidents). Based on the guidance of the

International Association of Oil & Gas Producers,

our campaign ran for 13 weeks across Tullow

Ghana and included workshops covering skills and

tools to embed proactive safe working into daily

activities and encourage employees to challenge

potential safety risks they encounter.

Sustnblt revew contnued

1. HiPos are deined as any incident or near miss that could, in other circumstances, have realistically resulted in one or more fatalities.

2. Our data collection methodologies and notes to reported metrics are available in our Basis of Reporting document.

28 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Enn contrctors nd supplers

nsfet

At any given time, many workers at our facilities onshore

and oshore are contractors. It is imperative that everyone

who works at our sites or supplies materials or services

to our facilities has a full understanding of our safety

procedures and knows our requirements on how to

comply. To engage our contractors on EHS matters,

and promote learning and sharing, we hold bi-annual

EHS Forums, with each meeting focusing on a dierent

aspect of EHS. Our irst forum of 2023 focused on ‘Safety

Leadership: The Key to Healthy and Safe Workplaces’ and

covered a number of areas including enhancing attention

to medical emergencies and ensuring ongoing learning.

Emploee wellness

We operate a year-round Global Wellness Agenda to

support employees in maintaining a healthy lifestyle

and we retain in-house medical professionals to provide

guidance to employees as needed. Our Employee

Assistance Programme oers individual counselling on

any personal issue, including mental health challenges.

In 2023, we again encouraged physical health with our

annual sports day and employee on-site health check-ups.

During the year, we also expanded our wellness activities

to include inancial health and ran our irst ‘Financial

Wellbeing’ seminar which was attended by 180 employees.

Employees received a ‘Wellness Afternoon O’ to support

their wellbeing. In addition, towards the end of the year

employees enjoyed a ‘Tullow Appreciation Day’, a day of

paid leave oered to all employees as an appreciation for

their hard work during the year.

Investn

nemploee

wellness

Our Global Wellness Fortnight event, which took

place in November 2023, oered employees the

opportunity to participate in a range of activities

including a meditation session, neck and shoulder

massages, mindfulness art therapy and nutritional

advice. Hundreds of employees also took part in

the ‘Move It Challenge’, a competition involving

teams led by our senior leaders to clock up the

most exercise safely over the fortnight.

More than 3,100 instances of employee

participation in more than 24 global wellness

events in 2023, amounting to, on average,

each colleague participating in 8events

during the year.

Tullow Oil plc Annual Report and Accounts 2023 – 29

Financial statements Supplementary informationStrategic report Corporate governance

Shred Prospert

Shared Prosperity is a key element of our strategy to go

beyond access to energy and deliver economic and social

beneits in our host nations by accelerating progress through

partnerships whilst managing the impacts of our operations.

Our investment in education and skills development

enhances employability and enterprise development,

empowering local entrepreneurship and building local

capabilities in our sector. Our investment in the development

of local businesses helps them to grow and thrive.

Sustnblt revew contnued

Our mcro soco-economc

mpct n Ghn

$504 million value added (taxes,

salaries and proits) across

the value chainfrom our direct

operations and upstream spending

in Ghana.

0.65% of total GDP.

$318 million tax payments

supported across the value chain

from our direct taxes and royalties

and through our upstream spending

in Ghana.

3.6% of total government revenue

$119 million in household incomes

(or salaries) supported across

the value chain from our direct

operations and upstream spending

in Ghana.

20,400 estimated formal

employment opportunities

supported across the value chain

from our direct operations and

upstream spending in Ghana, as well

as induced jobs from re-spending of

salaries throughout the value chain.

0.39% of the total workforce in

Ghana.

10,000+ people supported

through our investment in

skills development through our

educational programmes.

Fshermn’s

Anchor Proect

The Fisherman’s Anchor Project (FAP) has

generated signiicant economic beneit for ishing

communities in Western Ghana since 2019. In

addition to micro-credit to support livelihoods,

reaching more than 2,400 beneiciaries, FAP

has engaged more than 1,400 business owners

in inancial management workshops and other

training sessions. FAP highlights include:

• Approx. $770,000 (GHC 9,002,900) disbursed

in small loans.

• 2,773 credit applicants assessed.

• 2,411 loan beneiciaries from 34 communities.

• 80% of beneiciaries were women.

• Beneiciaries included ish processors (75%),

canoe owners (19%), pig farmers and other small

business owners.

• 100% loans repaid in full.

Assessn our soco-economc contrbuton

In 2023, we completed a macro socio-economic impact

assessment of our activities in Ghana to calculate the extent

of our contribution to advancing the Ghanaian economy

and improving life for the people of Ghana; this is core to

delivering on our purpose of building a better future through

responsible oil and gas development. The assessment,

conducted by an external impact and sustainability

consultant, Steward Redqueen, demonstrates the strong

impact of our local procurement, taxation, employment,

livelihoods and skills development during 2023.

Accelertn entrepreneurshp

Enterprise development is fundamental to helping our host

country communities develop and maintain sustainable

livelihoods. Our lagship enterprise development initiative,

The Fisherman’s Anchor Project (FAP), which started in

2019, is a micro-credit scheme funded by Tullow and

JV Partners and administered by OIC International. FAP

provides critical inancial support to boost income and

economic activity in ishing communities in the coastal

districts of Western Ghana, where ishing is the primary

source of income, providing jobs for more than 80% of the

coastal communities. In particular, FAP provides ishermen

1. Data includes Tullow’s net equity share of joint ventures. Upstream

impact was modelled based on Tullow’s procurement data.

2. Total government revenues during 2022 amount to GHS 96.65

billion, or USD 8.77 billion. Source: www.bog.gov.gh/wp-content/

uploads/2023/07/Annual-Report-2022.pdf (page 22).

30 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance

Advncn locl

busnesses

In 2023, we transformed the supply chain of

customised steel tube lying leads which are

used in our oshore operations. Instead of

sourcing components and assembly of this critical

equipment in the USA and India, we engaged a

local supplier to complete the inal assembly work

in Ghana. Our initial purchase order of more than

$3.5 million and a forward procurement forecast

provided the supplier with conidence to make the

capital investment to support this change. This

development has enhanced our local supplier

capabilities, increased local content and improved

the cost eiciency and reliability of our supply

chain in Ghana.

More than 4,000 students across eight schools

were provided with accommodation and

classroom facilities through our investment

in seniorhighschool education as at the

end of 2023.

and local entrepreneurs with tools to help them thrive through the o-season, during which ishing activities generate lower

revenues, such as working capital inancing or the establishment of a secondary income source.

In 2023, progress was made in transitioning the FAP into a Cooperative Credit Union, with the registration of the

Fishermen Anchor Cooperative Credit Union (FACCU), which will provide continuous, aordable and easily accessible

inancial services to ishing communities in Western Ghana. The FACCU has established four district oices and recruited

ive mobile bankers to advance the provision of critical inancial services to community members. The FACCU has already

registered more than 430 members, exceeding its initial target of 400 in 2023.

Investn n educton

We strive to provide access to STEM education and the technical skills needed to open doors to meaningful and fulilling

careers for thousands of young people in our host countries. Working with partners in Ghana, Kenya, Guyana and

Suriname, we enabled more than 10,000 students to access education in 2023 (up from 9,000 in 2022). More than 260

students have transitioned to tertiary education and we have held 13 mentoring sessions to support students in learning

and acquiring soft skills. Concurrently we supported the training of more than 150 teachers to support and improve the

quality of teaching which is expected to beneit over 8,000 students.

Our multiple initiatives include our partnership with the Youth Bridge Foundation which manages Ghana’s Educate to

Innovate programme. Through this programme we have supported access to education and skills development and

directly engaged more than 5,000 students. We also progressed our commitment to provide $10 million over ive years

to support the Government of Ghana in providing free access to quality senior high school education. At the end of 2023,

our investment has provided accommodation and classroom facilities for more than 4,000 students across eight schools.

Tullow Oil plc Annual Report and Accounts 2023 – 31

Financial statements Supplementary informationStrategic report Corporate governance

Sustnblt revew contnued

Promotn trust-

bsed prtnershp

reltonshps

Our third Supplier Market Day of 2023 brought

together our local leadership and 165 suppliers

to deepen our engagement and relationships.

A delegation from the PC, led by the Director

of Local Content, Mr. Kwaku Boateng, attended

to share key insights on strategic alliances,

progressive partnerships, local content and other

licensing requirements.

Shred Prospert contnued

Proressn locl content

Local content is how we refer to advancing local

businesses in our host countries. A fundamental pillar

of our Shared Prosperity objective is the investment we

make in nurturing and engaging with local suppliers to

enhance their capabilities to grow with Tullow and expand

their activities within the oil and gas industry in their home

country and beyond.

We further expanded our collaboration with the Petroleum

Commission of Ghana (PC), providing our industry

expertise to advance local suppliers through the Ghana

Upstream Petroleum Business Academy and the PC’s

local content programme. During the year, we delivered

six training workshops through the PC/Tullow Business

Academy partnership initiative for more than 500 local

companies, as well as other joint programmes.

As part of our ongoing partnership with Accenture in

Ghana, the Tullow Supplier Mentoring and Training

Programme continues to enhance the capability of

service providers in Ghana’s upstream oil and gas sector

and improve the knowledge of PC sta. The programme

consists of online access to Accenture Supply Chain

Academy’s i-cloud learning platform as well as a tailored

one-to-one mentorship and coaching programme with

customised business support. More than 180 local

companies and 17 PC oicers have completed the

programme.

In 2023, we expanded the reach of the

LCR Tool from 30 to 45 Tier 1 suppliers

with contract values in excess of

$5 million. 100% of these suppliers

submitted information to the LCR Tool.

Our local supplier spend in 2023 was $221 million (up from

$173 million in 2022).

To further promote transparency, trust-based partnership

relationships with our suppliers and increase the

involvement of Ghanaian suppliers in our procurement

activities and operations, we hold quarterly Supplier

Market Days which raise awareness and host discussion on

speciic topics related to supply challenges in our sector.

We also publish quarterly newsletters for the beneit of our

suppliers, helping them understand how best to engage

with Tullow and providing additional opportunities for

contact with them throughout the year.

Also in 2023, we expanded the reach of our innovative,

proprietary local content reporting tool (LCR Tool), which

requests suppliers to self-report their social impact

performance against several metrics including spend on

goods and services, employment, investment in facilities

and social investments. Data from the LCR Tool enables us

to assess the overall reach and eectiveness of our local

content programmes whilst providing a rich database that

local governments can use to understand the broader

beneits our business generates, and the wider economic

impact of our supplier spend.

32 – Tullow Oil plc Annual Report and Accounts 2023

Financial statements Supplementary informationStrategic report Corporate governance