Jacobsen wins Tullow’s 85MW power deal
Mar 16, 2008
TULLOW Oil, the firm exploring for oil in the Albertine Graben in western Uganda, has agreed with Norwegian power firm Jacobsen Elektro to build and install an 85 mega watts (MW) heavy-fuel thermal plant in Hoima.
By Ibrahim Kasita
TULLOW Oil, the firm exploring for oil in the Albertine Graben in western Uganda, has agreed with Norwegian power firm Jacobsen Elektro to build and install an 85 mega watts (MW) heavy-fuel thermal plant in Hoima.
Tullow intends to build a 4,000-barrel-a-day mini-refinery and a power plant when it begins producing oil next year.
The power will be fed to the national grid. This is part of the agreement with the Government to build a mini-refinery in an early production scheme that will enable the construction of the 100MW plant to tackle load-shedding.
Paul McDade, the Tullow chief operations manager, said last week: “We will be focusing on the production of oil and gas in Lake Albert region. Our partner (Jacobsen) will be focusing on power generation and transmission.â€
Jacobsen is already installing a similar plant with the capacity of 50MW at Namanve expected to be online by April. The firm signed operation and maintenance agreements with Watsila, a Finish firm, after signing a power purchase agreement with the Uganda Electricity Transmission Company.
Tullow plans to invest over $200m (about sh336b) in its exploration activities in Uganda this year.
This expenditure will be focused on onshore and offshore drilling, sismic surveys and the anticipated sanction of an early production scheme.
The programme is also targeting significant oil resources with the ultimate aim of exceeding the threshold required for full development and exportation to international market. Another similar plant with capacity of 10MW will be built by Electro-Maxx, a local independent power producer, in Tororo and initial power is expected in June.
Aggreko International is also in the process of installing a 50MW thermal plant at Mutundwe, which is expected online by June.
Uganda’s electricity supply is 255MW but the country requires about 380MW for the economy to grow at more than 6% per annum.
About 145MW are generated at the two hydropower stations in Jinja, while less than 100MW are generated at Kiira and Lugogo thermal power stations.
This has caused a deficit of about 125MW leading to load-shedding.
This is part of the new strategy for tackling electricity demand head-on instead of the old approach of chasing demand forecasts from behind. The Government is utilising alternative sources of electricity to ensure stable power supply at affordable rates. Heavy-fuel oil is cheaper than ordinary diesel.
TULLOW Oil, the firm exploring for oil in the Albertine Graben in western Uganda, has agreed with Norwegian power firm Jacobsen Elektro to build and install an 85 mega watts (MW) heavy-fuel thermal plant in Hoima.
Tullow intends to build a 4,000-barrel-a-day mini-refinery and a power plant when it begins producing oil next year.
The power will be fed to the national grid. This is part of the agreement with the Government to build a mini-refinery in an early production scheme that will enable the construction of the 100MW plant to tackle load-shedding.
Paul McDade, the Tullow chief operations manager, said last week: “We will be focusing on the production of oil and gas in Lake Albert region. Our partner (Jacobsen) will be focusing on power generation and transmission.â€
Jacobsen is already installing a similar plant with the capacity of 50MW at Namanve expected to be online by April. The firm signed operation and maintenance agreements with Watsila, a Finish firm, after signing a power purchase agreement with the Uganda Electricity Transmission Company.
Tullow plans to invest over $200m (about sh336b) in its exploration activities in Uganda this year.
This expenditure will be focused on onshore and offshore drilling, sismic surveys and the anticipated sanction of an early production scheme.
The programme is also targeting significant oil resources with the ultimate aim of exceeding the threshold required for full development and exportation to international market. Another similar plant with capacity of 10MW will be built by Electro-Maxx, a local independent power producer, in Tororo and initial power is expected in June.
Aggreko International is also in the process of installing a 50MW thermal plant at Mutundwe, which is expected online by June.
Uganda’s electricity supply is 255MW but the country requires about 380MW for the economy to grow at more than 6% per annum.
About 145MW are generated at the two hydropower stations in Jinja, while less than 100MW are generated at Kiira and Lugogo thermal power stations.
This has caused a deficit of about 125MW leading to load-shedding.
This is part of the new strategy for tackling electricity demand head-on instead of the old approach of chasing demand forecasts from behind. The Government is utilising alternative sources of electricity to ensure stable power supply at affordable rates. Heavy-fuel oil is cheaper than ordinary diesel.