Hi distef, yeah the rhetoric from African media contrasts what...

Hi distef, yeah the rhetoric from African media contrasts what we are being informed from Europe sources re Ugandan permits, this is partly caused by upcoming Ugandan election in Feb'.
The way the Ugandans see it Tullow only wanted to exploit the masses out of "their" oil which apparently "they" always knew was there in billions of barrels under Lake Albert just waiting for someone to drill a hole in the Lake and "discover" it.
This story from Reuters today our time [sept15th 4:44pm GMT] confirms the ongoing dilemna which confronts Tullow and also the GoU politicians who can't afford to be seen to be accommodating to the oil companies.
Let's hope good news is truly 'imminent' mate and not just an attempt to pressure GofU because it has not worked over the last 7 months or so we have waited.

INTERVIEW-UPDATE 1-Tullow Oil to exit Uganda tax dispute
Wed Sep 15, 2010 4:44pm GMT


* Tullow will soon "disconnect" from Heritage Oil tax issue

* Sale of some Uganda assets to CNOOC, Total "imminent"

* Target for first oil by Q4 2011 on track

(Adds details, quotes)

By Joe Brock

LONDON, Sept 15 (Reuters) - British oil exploration company Tullow Oil said on Wednesday it would soon exit the tax dispute between Heritage Oil and the Ugandan government, allowing it to sell some assets to new partners.

"The issue of Heritage's capital gains tax dispute and our desire to farm down to Total and CNOOC are in the process of being disconnected," Angus McCross, Tullow Oil's exploration director told Reuters at the sidelines of an investment conference in London.

The Ugandan government repossessed the Kingfisher field, which is part of exploration block 3A, last month after Heritage Oil failed to apply for a production license within six months of the expiration of its exploration license in February.

Heritage has sold all its Ugandan assets -- half shares in blocks 1 and 3A -- to Tullow for $1.45 billion, but the Ugandan government has said the transaction is incomplete until Heritage pays capital gains tax of about $404 million.

However, McCross said Tullow's purchases from Heritage had been completed and the sale of a third each of blocks 1, 2 and 3A to France's Total and China's CNOOC was imminent.

"We have already purchased Heritage's interests. The completion of the whole transaction is imminent, by that I mean the signing with Total and CNOOC," McCross said.

The tax dispute brought about some project delays but this would not derail plans to produce Uganda's first barrel of oil by the fourth quarter of 2011, McCross said.

"It is worth us taking a few weeks out to work out what the rules and regulations are but it doesn't change our production targets."

Uganda, east Africa's third-largest economy, discovered commercially viable hydrocarbon deposits in the Albertine basin along its western border in 2006.

Tullow expects Uganda to be producing over 200,000 barrels per day of crude oil by 2014-2015 and estimates recoverable reserves to be 2 billion barrels, although some analysts say that figure is conservative. (Editing by Louise Heavens)

http://af.reuters.com/article/commoditiesNews/idAFLDE68E1NK20100915