Uganda plans to develop its oil reserves, estimated at 6 Gbl - of which 1.4 Gbl would be recoverable - and to start producing crude oil as soon as 2023. The country has already issued production licences and separate agreements with companies have been signed. Final investment decisions with Total, CNOOC and Tullow Oil, which are already active in Uganda, have been delayed but are expected by the first quarter of 2020. These companies have committed to invest more than US$3bn in the Ugandan oil sector. Uganda now plans to offer five new blocks and expects to have investors by the end of 2020.
The country aims to build an oil pipeline to export its production through Tanzania, after it cancelled a plan in 2016 to build that export pipeline through Kenya. Uganda would have a 15% stake in the 1,440 km pipeline to Tanga (Tanzania), while Tullow would have a 10% interest. The remainder would be shared between Tanzania, Total and CNOOC.
Uganda is also seeking to improve its electricity supply and is considering power interconnections with the Democratic Republic of Congo and South Sudan.