South African Investors Show Interest In Uganda’s Oil Refinery

While addressing the press, Irene Muloni, the Minister for Energy confirmed that Government had given oil companies a grace period to draw a new sale agreement.

“We are very keen for the oil companies to make the final investment decision, we had a meeting with them at the end of last month and as government, we gave them a package to try and resolve the outstanding issue between them and the URA.

This comes months after a deadlock on tax has caused a rift between the government and three oil companies, Total, Tullow and Cnooc. The deadlock relates to a capital gain’s tax dispute from the sale of an oil well by Tullow that now hangs in balance with the whole deadlock leaving the future of Uganda’s oil in balance.

Irene Muloni, however, disclosed that on the refinery front, the government met investors in South Africa last week who have shown a keen interest in investing in the refinery.

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