“We are therefore confident that as Tullow moves to re-initiate a new sales process, the JVPs will remain committed to fulfilling tax obligations” said Kasande in a statement.
Total’s exploration & production President, Arnaud Breuillac in a statement said despite the termination of this agreement, Total together with its partners CNOOC and Tullow will continue to focus all its efforts on progressing the development of the Lake Albert oil resources.
Tullow's Paul McDade’s statement said the Joint Venture Partners had been targeting a Final Investment Decision for the Uganda development by the end of 2019, but the termination of this transaction is likely to lead to further delay.
The letter of notification sent early last week seeks governments permission to allow the planned sale of Tullows assets to proceed. Tullow Oil, in January this year, agreed to transfer 21.57 percent of its 33.33 percent interests in Lake Albert Development Project covering exploration areas 1, 1A, 2 and 3A to Total for a total consideration of USD 900 million 3.27 trillion Shillings.
Tullow Oil, in January this year, agreed to transfer 21.57 percent of its 33.33 percent interests in Lake Albert Development Project covering exploration areas 1, 1A, 2 and 3A to Total for a total consideration of USD 900 million 3.27 trillion Shillings.
The announcement came just few hours after an international maritime tribunal backed cleared Ghana of allegations that it was drilling for oil within Ivory Coast boundary cutting through lucrative offshore oil fields.
Managing public expectations remains a challenge for the government of Uganda as the country edges ever closer to producing her first crude oil. Dr. Earnest Rubondo, the Petroleum Authority Executive Director, is however excited that Uganda has smoothly navigated through the anxiety and expectations than previously thought.