Production Sharing in Uganda

Tullow Oil PLC
02 July 2004

2 July 2004



Tullow Oil Signs Production Sharing Contract in Uganda



Tullow Oil is pleased to announce that its subsidiary, Energy Africa, has signed
a Production Sharing Contract with the Government of the Republic of Uganda in
respect of Block 1.  Energy Africa will hold a 50% interest and Heritage Oil
Corporation 50%.  Heritage will act as operator on behalf of the contractor
group.



Block 1 is located immediately north of Blocks 2 and 3 where Energy Africa also
holds 50% interests with Hardman Resources and Heritage Oil Corporation
respectively.    Exploration work undertaken in these areas, including drilling
and seismic surveys, has demonstrated the presence of hydrocarbon reservoir and
potentially large structures in the Albertine Graben of which Block 1 covers the
northern extent.



Aidan Heavey, Chief Executive of Tullow Oil said 'The addition of Block 1 to our
acreage in the Albertine Graben in Uganda consolidates our position in this
highly prospective frontier basin where an accelerated exploration and appraisal
program is planned in the coming months.'



For Further Information Contact:



Tullow Oil plc ([phone])

Aidan Heavey

Tom Hickey



Energy Africa ([phone])

Rhidwaan Gasant



Citigate Dewe Rogerson ([phone])

Martin Jackson



Murray Consultants ([phone])

Joe Murray



College Hill ([phone])

Johannes van Niekerk





Notes for Editors




'Tullow' where referred to in this release means Tullow Oil plc and/or its 
subsidiaries, as appropriate.



Tullow is one of the leading independent international oil and gas exploration
and production companies in Europe. Tullow is quoted on the London and Irish
stock exchanges (symbol TLW) and is a member of the FTSE 250 Index.



Strategy

Tullow's strategy is to build strong and secure cash flow from low risk
production acreage, while applying discretionary funds to exploration
territories with high potential. These activities are undertaken in a manner
that reflects the Company's genuine concern for the environment and the health
and safety of all personnel.



Production and Development Assets

Tullow has interests in over ninety exploration and production licences spread
over three core areas:  UK North Sea, West Africa and South Asia.  Tullow
recently completed the acquisition of Energy Africa, which takes the number of
countries in which Tullow is active to sixteen.



In the North Sea, Tullow's principal interests are in the CMS and the Thames/
Hewett group of licences and the Bacton onshore gas-processing terminal, which
it operates.



In Africa, Tullow has production in Gabon, Cote d'Ivoire, Congo (Brazzaville)
and Equatorial Guinea, and is actively pursuing the development of the Kudu gas
field in Namibia.  Tullow is also active in exploration programmes in Morocco,
Mauritania, Senegal, Cameroon, Uganda and Egypt.



In South Asia, Tullow has production and exploration interests in Pakistan and
exploration activities in India, in addition to Bangladesh.



For further information see www.tullowoil.com




                      This information is provided by RNS
            The company news service from the London Stock Exchange