Tullow, Uganda sign production sharing agreements

Tullow Oil Plc said February 3, 2012 it has signed two new Production Sharing Agreements (PSAs) with the Government of Uganda.

According to British-based oil explorer, the new PSAs cover the EA-1 and Kanywataba licences in the Lake Albert Rift Basin in Uganda. It has also been awarded the Kingfisher production licence.

The signing gives way for Tullow to “now finalise arrangements with the China National Offshore Oil Corporation (CNOOC) and Total for completion of the farm-down and the related transfer of monies as soon as possible.”

In a short statement, CEO of Tullow, Aidan Heavey said “Today’s signing is a vital step towards the development of the Lake Albert Rift Basin and the oil and gas industry in Uganda and East Africa.”

Tullow has interests in over 90 exploration and production licences across 22 countries including Ghana.

By Ekow Quandzie