Norway gives Uganda US$13m to establish oil institutions
Norway intends to give Uganda an amount of 80 million Norwegian kroner approximately about $13 million to establish institutions to manage the country’s oil resources, the Bloomberg news service has reported quoting statements by Uganda’s deputy secretary to the Treasury Keith Muhakaniza as saying in an advert in a Ugandan newspaper, the New Vision.
Uganda’s nascent oil industry spearheaded by London-based oil and gas explorer, Tullow Oil hopes to start commercial production in three or four years.
Tullow Oil announced in early August it had found more oil in Uganda.
In a press release copied to ghanabusinessnews.com, Tullow oil announces that the Ngara-1 exploration well, which is located in the Butiaba region of Uganda Block 2, has encountered over eight metres of net oil pay.
Oil was first found in Uganda by Royal Dutch Shell in the 1930s, but it was not considered to be significant.
Exploration activities however continued until President Yuweri Museveni announced in October 2006 that oil has finally been found in commercial quantities. At that time he said commercial production would start in 2009.
The leading foreign exchange earner for Uganda is coffee.
By Emmanuel K. Dogbevi