Start of oil production in Uganda pushed back to 2022
Output has been repeatedly delayed by disagreements with field operators over taxes and development strategy
New Delhi — Uganda expects to begin producing oil in 2022, its energy minister Irene Muloni said on Wednesday, indicating a slight delay from the east African country’s revised target of 2021. Uganda discovered crude reserves more than 10 years ago but production has been repeatedly delayed by disagreements with field operators over taxes and development strategy. A lack of infrastructure such as a transportation pipeline and a refining facility have also held up output. “Production we are now looking at by 2022, our first production, from Kingfisher and Tilenga blocks,” Muloni said on the sidelines of the Petrotech conference. China’s CNOOC and France’s Total and London-based Tullow Oil have the stakes in the two areas. CNOOC is the operator of Kingfisher area while Total leads the development of Tilenga. “We are preparing for production. We have to build a pipeline for exports and a refinery to add value. So unless those two projects are done we can’t start producing,” she said. I...
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