CNOOC invests in Uganda

    April 14, 2011 | BY

    clpstaff &clp articles

    China National Offshore Oil Corporation (CNOOC), the state-owned oil giant, has acquired a one-third interest from UK's Tullow Oil to explore the areas…

    China National Offshore Oil Corporation (CNOOC), the state-owned oil giant, has acquired a one-third interest from UK's Tullow Oil to explore the areas 1,2 and 3A in Uganda. CNOOC entered into US$1.467 billion worth of sale and purchase agreements, the amount payable in cash subject to closing adjustments.

    The closing of the transaction is subject to approvals from the relevant authorities in the Republic of Uganda and the PRC.

    The exploration areas are located in the Lake Albert Rift Basin in Uganda. It is expected that the basin-wide production rate will eventually exceed 200,000 barrels per day. Tullow estimates that more than 1 billion barrels of P-50 recoverable volume of oil have been discovered over since 2006.

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