10 firms bid for Tullow’s oil stake
Oct 20, 2009
TEN international firms have shown interest in the $50b oil and gas assets owned by Tullow Oil in Uganda
TEN international firms have shown interest in the $50b oil and gas assets owned by Tullow Oil in Uganda, writes Ibrahim Kasita. Aidan Heavey, the founder and chief executive officer, revealed that the firm had appointed Standard Chartered UK to sell half of its stake in two oil fields.
Tullow Oil has already pre-qualified 10 firms to bid for the stake and hopes to get a buyer by the year’s end. The firm’s exploration licence expires this month.
The firm only engages in drilling activities and needs partners to do the refining. The Government will also need to approve the winner and their development plan.
The oil agreement, according to experts privy to the deal, mandated Tullow to start production within two years after the expiry of its exploration licence.
Tullow is currently working with the Government to define the first phase of oil production from the numerous discoveries along the shores of Lake Albert.
Over one billion barrels of oil have so far been discovered in the Lake Albertine region.
Tullow Oil has already pre-qualified 10 firms to bid for the stake and hopes to get a buyer by the year’s end. The firm’s exploration licence expires this month.
The firm only engages in drilling activities and needs partners to do the refining. The Government will also need to approve the winner and their development plan.
The oil agreement, according to experts privy to the deal, mandated Tullow to start production within two years after the expiry of its exploration licence.
Tullow is currently working with the Government to define the first phase of oil production from the numerous discoveries along the shores of Lake Albert.
Over one billion barrels of oil have so far been discovered in the Lake Albertine region.