TOTAL E&P Uganda Chairman and General Manager, Pierre Jessua told the Stanbic Enterprise conference they expect a final investment Decision expected in the coming months.
President Museveni’s meeting with the
chief executive officer of French oil major Total E&P could unlock stalled
investments oil and gas sector.
President Museveni ant Total chairman, Patrick Pouyanne met
in mid-January to resolve issues that have delayed international oil companies
from taking a Final Investment Decision into Uganda’s oil and gas sector.
TOTAL E&P Uganda Chairman
and General Manager, Pierre Jessua told the Stanbic Enterprise conference they expect a final investment Decision expected in the coming
//// “The main blocking
points had been discussed and resolved….
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Government had hoped that
Joint Venture Partners Total, CNOOC and Tullow to would take a Final Investment
Decision(FID) for the Lake Albert Oil Development by last year.
FID is expected to trigger the project
execution or what generally called engineering, procurement and
The Government in August 2016 approved the development plans
to develop the first 1.2 billion barrels of oil but the developments have not
taken place because the Joint Venture partners had not reached the Final Investment.
The Joint Venture Partners had
disagreed with the government on financing the oil pipeline and the refinery.
They had reportedly asked the government to have the East African Crude oil
pipeline constructed first before the refinery in Hoima.
Construction of the
pipeline is expected to cost $3.5 billion. Pierre Jessua however told
the conference in Kampala that they have not abandoned the refinery project.
said the partners are still considering the project with its Final Investment Decision
expected at the end of the year or later.
///Cue in “I think we are ….
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Total is expected to have participating
interest in the 60,000 barrels per day refinery
The delay in oil production has been of concern to some of
the players in the oil and gas sector. Professor Jackson Mwikali, is one of the
experts who questioned the delay.
/// “What is the problem….
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Petroleum Authority’ s head of Communication, Gloria Sebikali
accepts there have been some delays from both the government and International
Oil Companies but adds that there is progress in some aspects.
////Cue In” We have made….
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