Uganda’s proposed National Oil Company will have the right to acquire a 15 percent stake in the oil fields that Tullow Oil, TOTAL and CNOOC are developing, according to Eoin Mekie, Tullow’s General Manager in Uganda, speaking exclusively to Oil in Uganda.
The arrangement was included in the agreements signed between Tullow and the government in early February, in defiance of a parliamentary moratorium on further oil contracts.
Mr. Mekie welcomes the creation of a National Oil Company, saying that “It will certainly cement our relationship with the government once we actually start working alongside them.” He adds that Tullow, CNOOC and TOTAL are ready to build the capacity of a National Oil Company that may also want to take up exploration options in other blocks when new licensing rounds begin.
However, Mr. Mekie also reveals that the government has “not yet shared its refinery plans” with the international oil companies, and that the companies and government need to reach “a concensus on what a basin-wide development will look like over the next five to ten years.” Read More
The first graduating class from the Uganda Petroleum Institute-Kigumba has gone to Trinidad and Tobago for hands-on training in the oil industry. This is a great opportunity for the lucky 24 students—but shows how much remains to be done for Uganda’s rapidly increasing and largely jobless young population. Vocational training for the sector lags way behind demand, and oil is unlikely to bring direct employment on the scale that Uganda needs.
Amid the excitement and uncertainty surrounding Uganda’s impending oil production, the Kitara Heritage Development Agency (KHEDA) has set out to provide information on the latest developments to people in the oil-rich Bunyoro region. Oil in Uganda talked to Wilberforce Bigabwenkya, the Project Manager of the KHEDA Oil Information and Resource Centre, about the project. Read More