By Adam Whittaker

Tullow Oil shares plunged after its trading update indicated risks to a much-need debt refinancing package.

In morning trade, shares in the London-listed oil company fell 30% to 6 pence. They are down more than 70% over the year-to-date.

In a trading update Friday, Tullow said it continued to engage with stakeholders on a refinancing package but said there were ongoing challenges stemming from its performance, market conditions and an upcoming bond maturity in 2026.

As a result, it said it was progressing on alternative options with creditors.

The update could be read in two ways, Jefferies analysts Mark Wilson and Niraj Bhosale write.

The negative take is that the risk to a refinancing package is growing, while the more positive take is that alternative options are progressing, they write.

Either way, no package has been agreed and full year net-debt is forecast to rise to around $1.2 billion as production declines, the analysts add.

Tullow also confirmed that 2025 production is expected to be at the lower end of the 40,000-45,000 barrels of oil equivalent a day range.

Write to Adam Whittaker at adam.whittaker@wsj.com

(END) Dow Jones Newswires

November 21, 2025 04:42 ET (09:42 GMT)

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