Close Menu
    Facebook X (Twitter) Instagram
    Facebook X (Twitter) Instagram
    SweetCrudeReportsSweetCrudeReports
    Subscribe
    • Home
    • Oil
    • Gas
    • Power
    • Solid Minerals
    • Labour
    • Financing
    • Freight
    • Community Development
    • E-Editions
    SweetCrudeReportsSweetCrudeReports
    Home » End in sight for Tullow assets-sale woes in Uganda

    End in sight for Tullow assets-sale woes in Uganda

    December 9, 2011
    Share
    Facebook Twitter LinkedIn WhatsApp

    9 December 2011, Sweetcrude, NEW DELHI – The Ugandan government is likely to approve Tullow Oil’s assets sale plan in the East African country in the next seven weeks, the country’s oil minister has said.

    The UK firm plans to sell one-third in each of its assets in Uganda to China National Oil Corporation and France’s Total in a deal worth $2.9 billion, and has, indeed, been waiting since last year for approval for the deal.

    “This week we have asked them to furnish some information in two weeks,” Irene Muloni, Ugandan oil minister, told reporters at the India-Africa hydrocarbon summit in New Delhi.

    Asked if the farm-down could be approved by the end of January, she said: “Once they provide the information then we should be able to discuss it. It could be earlier than that.”

    Uganda President Yoweri Museveni last month indicated to parliament he is not likely to delay approval of the tie-up any further, because it would diminish his government’s credibility in future negotiations.

    Muloni also said the government was not considering an out of court settlement with British explorer Heritage Oil over a tax dispute.

    “They are the ones who chose for arbitration. We have to attend (and) defend,” the minister said.

    The dispute centres on tax claimed by the government on the $1.45 billion Heritage Oil made from the sale of its Ugandan assets to Tullow Oil last year.

    Last month Heritage said it would launch an appeal against a Ugandan tribunal which has ruled the company is liable to pay $404 million in capital gains tax, as part of a year-long row over the tax bill.

    Uganda, which is east Africa’s third largest economy, discovered commercial deposits of hydrocarbons in its west along the border with the Democratic Republic of Congo in 2006. Production is expected to start early next year.

    Tullow says it has found 1.1 billion confirmed barrels of oil and believes there are 1.4 billion barrels left to find, while a Ugandan energy ministry official says 2.5 billion barrels of oil are confirmed in place, of which between 1 billion to 1.2 billion barrels are recoverable.

    Related News

    Despite NPA’s intervention, export cargoes still stuck at EPTs for days

    Crude oil rebound reflects optimism over the U.S.-China dialogue

    Stakeholders hail PINL’s achievements in protecting TNP

    E-book
    Resilience Exhibition

    Latest News

    Moody’s says tariffs may hit African banks through China slowdown

    May 10, 2025

    Rivers State to curb maritime crimes in Opobo Nkoro

    May 10, 2025

    Gold decline as US-China trade optimism tempered safe-haven demand

    May 10, 2025

    Nigeria’s Senate passes tax reform bills to boost government revenue

    May 10, 2025

    Nigeria unlocks intra-African trade with new PAPSS policy boost

    May 10, 2025
    Demo
    Facebook X (Twitter) Instagram
    • Opec Daily Basket
    • Oil
    • Power
    • Gas
    • Freight
    • Financing
    • Labour
    • Technology
    • Solid Mineral
    • Conferences/Seminars
    • Community Development
    • Nigerian Content Initiative
    • Niger-Delta Question
    • Insurance
    • Other News
    • Focus
    • Feedback
    • Hanging Out With Markson

    Subscribe for Updates

    Get the latest energy news from Sweetcrudereports.

    Please wait...
    Please enter all required fields Click to hide
    Correct invalid entries Click to hide
    © 2025 Sweetcrudereports.
    • About Us
    • Advertise with us
    • Privacy Policy

    Type above and press Enter to search. Press Esc to cancel.