As the 90 Days of Oil and Gas media campaign by the Uganda Chamber of Mines and Petroleum enters the sixth week, different officials and technocrats have continued shading light on the milestones so attained by the government of Uganda.
Speaking while appearing on NTV On The Spot show, Peter Muliisa, the Chief Legal and Corporate Affairs Officer Uganda National Oil Cooperation (UNOC) stated that there is no doubt Uganda’s crude oil production at Tilenga and King Fisher fields will be commencing in less than two years from now.
“By 2025, we anticipate commencing crude oil production from our Tilenga and King Fisher fields. The FID (Final Investment Decision) made in February 2022 signifies that investors in the sector are now confident and prepared to invest in Uganda- We are currently in the developmental phase of the oil and gas industry, focused on drilling wells for crude oil production. Each well drilled is sealed, and the drilling will continue until we have a sufficient number of wells to support production in 2025.” Muliisa said.
He added that in the exploration phase, Uganda managed to retain only 28% of the money that was invested, of about $3.2 billion.
“Our objective during this phase is to achieve a 40% retention rate. The laws governing national content, upstream and midstream are designed to facilitate the attainment of this 40% target.” Muliisa said adding that government intends to employ submersible pumps and solar-generated electricity to significantly lower our carbon footprint.
“Our crude oil production, per barrel, is expected to result in approximately 13.3 kgs of carbon dioxide emissions, a notable reduction compared to the global average of 33 kgs- Peter Muliisa. The initial oil target was set for 2017 but was later adjusted to 2021. The timing of events was influenced by various industry dynamics that delayed the journey toward the first oil.” Said Peter Muliisa said.
The third edition of the 90 Days of Oil and Gas Media Campaign is run by Uganda Chamber of Mines and Petroleum (UCMP) with the main purpose of sharing sector information for players to make informed decisions.
“The last days have been amazing for us given the significant feedback that we have received from our members and the general public through different spaces,” said Humphrey Asiimwe, the Chief Executive Officer of UCMP.
“We have shared relevant information regarding the East African Crude Oil Pipeline, tax policy and administration in the oil and gas, insurance and banking, and downstream and upstream projects. Our members, oil companies, and government officials have played a critical role for us to put out information for the last 35 days of the campaign,” Asiimwe said.
The 2023 campaign edition started almost 19 months after the signing of the Final Investment Decision (FDI) to pave the way for investments of between US$15-20million in the sector.
The drilling of production wells for the Kingfisher and Tilenga oil production projects is continuing in preparation for the planned commencement of oil production in 2025.
Remarkable progress has also been reported on the other supporting projects.
Going forward, Asiimwe said, the remaining days of the campaign will provide an opportunity for players to further engage and share updates as sector activities continue.
