In 2011, we moved our social enterprise strategy to the next level, to focus on projects that support capacity building for the oil and gas industry and improve education and training. In 2011, we launched the pilot phase of the Tullow Group Scholarship Scheme with bursaries to 24 Ghanaians from the public sector to study industry related Masters Degrees in the UK. This year up to 110 scholarships will be awarded to local nationals, mainly in Africa. In 2012, we are undertaking a macro socio-economic study in Ghana to document the impact of Tullow's activities to date and to highlight areas for future development. In Uganda and Kenya we are undertaking socio-economic baseline studies to identify ways that we can mitigate our impacts and create a wide range of social and economic development opportunities. We have also decided to review our social investment strategy in Uganda and Kenya to evolve these into a long-term, measurable set of strategic objectives. None of this would be possible without the commitment and enthusiasm of Tullow people. Our 2011 global employee and contractor survey demonstrated high levels of engagement as well as some inevitable growing pains. Maintaining and enhancing our culture and building our organisational capacity remain key priorities for the Board.We are evolving into the leading global independent exploration and production company, giving us a higher profile that attracts more attention and scrutiny. Tullow operates in a diverse political, social and environmental arena and we are dealing with an increasingly complex group of stakeholders. We are making good progress with creating shared prosperity and I look forward to reporting on another year of achievement against our objectives in my next review.Aidan Heavey Chief Executive OfficerExecutive DirectorsAidan Heavey Chief Executive OfficerGraham Martin General Counsel & Company SecretaryPaul McDade Chief Operating OfficerAngus McCoss Exploration DirectorIan Springett Chief Financial OfficerRisk managementExternal riskGovernance riskOperational riskExploration riskFinancial riskRisk assuranceExecutive teamComplianceCommitteeDevelopment & Operations Leadership TeamGlobal Exploration Leadership TeamFinance Risk CommitteeCR ResponsibilitiesExternal affairs, Stakeholder engagement, Social performancePeople, Localisation, Governance, Ethics, ComplianceEnvironment, Health & Safety, Crisis managementInformation systems management and securitySustainable supply chain, Local content, Shareholder relationsTullow's 2012 principal risks and uncertainties in relation to the Group's financial and operational performance are set out in detail in the 2011 Annual Report. These include completion of the Uganda farm-down and timely approvals from Ugandan authorities for basin-wide development, delivery of production targets, exploration and appraisal risks with 40 wells planned in 2012, management of shareholder expectations and strong financial and portfolio management.Tullow also has a number of specific corporate responsibility risks, in particular government relations and stakeholder engagement, in reference to the 2012 Board objective to significantly improve political and economic risk information and country risk profiling. In addition, the Group has a range of long-term risks, including corporate responsibility risks, which could potentially adversely impact our employees, operations, performance and assets. For more information visit www.tullowoil.com/riskMore information PageGhana baseline study 29Tullow Group Scholarship Scheme 7715www.tullowoil.comOVERVIEW1

Environmental team members reviewing GIS data, London office, UK.