Uganda ‘readies Tullow approvals’

Tullow14 January 2014, News Wires – Tullow Oil could see a plethora of oil production licences in Uganda approved by the end of March but France’s Total is likely to have to wait longer on its sole application, according to a report.

The independent giant Tullow has submitted applications to develop oil discoveries in Uganda, with the African country’s authorities looking to award the company seven of them by the end of March, Reuters reported.

“Tullow, we hope to finalise in two months,” the news wire quoted Ugandan Energy & Mineral Development Irene Muloni as saying on Monday.

“It is back and forth. We will finalise the process based on completeness of data that they submit.

“Total has just submitted the data so we will take some time.”

The ministry has received 10 applications for production licences in the Albertine Graben under the terms of last year’s Petroleum E&P Act.

China National Offshore Oil Corporation was the first to receive a production licence, for the Kingfisher field.

Tullow Oil submitted applications to develop eight discoveries in Mputa, Nzizi, Kigogole, Nsoga, Ngara, Ngege, Kasamene and Wahrindi, all on Exploration Area-2. Tullow will also be appraising its Waraga discovery through April this year.

Total also applied last month for a licence to develop the Ngiri field in Exploration Area-1 in Buliisa district, and has extended the appraisal period for the Jobi, Rii, Gunya, Jobi-East and Mpyo discoveries until June 2014.

Rapid resurgence of exploration and production is expected now that the ministry has announced phase two of its public tender for a lead investor to develop and operate a 60,000 barrels per day oil refinery and construct related downstream infrastructure in Hoima district.

Shares in Tullow soared at the end of last week on speculation that Norwegian state oil player Statoil may be readying a takeover approach. They were down more than 2% in London on Monday afternoon, however.


– Upstream

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