The Civil Society Private Sector Forum to monitor oil and gas revenues

27^th-09-2013

 By  Nankwanga Eunice Kasirye-

The Civil Society Private Sector Forum, CSPSF, is a round-table for the private and civil society to spur progressive government positions on key pertinent issues. The forum is meant to close the diversionary positions that often emerge between the civil society, private sector and government on social and economic issues. Now that all concerned is directed onto the extractive industry, the forum plans to ensure policies on national content are well formulated and revenues from the extractive resources are well utilized.

 At the time when Uganda is progressing to development stage of the extractive industry especially the oil and gas, there is  need to find a common ground at policy level between government, civil society and the private sector. The Civil Society Private Sector Forum CSPSF is developed to identify collective and all embracing solutions to possible challenges that could crop up especially during the entire life span of the oil and gas resource.

 Budget monitoring and evaluation are some of the key obligations expected to be accomplished through the amiable coordination of the civil society, the private sector and government. The Civil Society Private Sector Forum CSPSF wants to ensure that revenues from oil and gas are well utilized to finance other sectors that will sustain the economy after the resources life span. The Forum Chairperson Dr Maggie Kigozi says that   through round table forums, the funds accrued from the oil, gas and minerals will be well coordinated with in the national budget where close monitoring and evaluations will be done to that effect.

The  need for Ugandans to fully gain from the oil ,gas and minerals  is critical , the forum will help in advocating for  conducive  factors that spur backward  and forward linkages  for the local entrepreneurs. The Uganda investment Authority is mandated to create a cottage industry park close to the exploitation areas for Ugandans to establish complementary investments. It is also imperative that diversionary sector debaters stay away from the sectors’ critical activity information, otherwise the public seem carried back as foreigners take the juiciest opportunities in the sector.

The Civil Society Private Sector Forum hinges on the desire to develop Uganda socially and economically through a coordination of the private sector, the civil society and the government. The forum activities will minimize mediocrity public submissions on key national subjects through comprehensive research and consultations.

 Key research work will be done on key major frontiers that include national budget reviews and monitoring, trade and investment, taxation and policy reviews, good governance, education and skills development as well as healthcare.

Uganda issues first oil and gas production license to CNOOC

25th-09-2013    

By Nankwanga Eunice Kasirye

The government of Uganda has awarded the first oil production license to China National Offshore Oil Corporation (CNOOC) for the Kingfisher oil field. Kingfisher is the most prospective area for petroleum production in Uganda’s nascent oil and gas industry.

A Production license is awarded when an oil firm demonstrates to the government that it understands the oil field it will operate. China National Offshore Oil Corporation (CNOOC) will  now start preparing its Kingfisher field for four years before it starts oil production and it says this will take up at least $20 billion.

The issuance of the license means Uganda is progressively moving into the production stage expected to begin in 2017. The King Fisher oil field is estimated to hold 635 million barrels, with 196 million barrels recoverable. When production begins, CNOOC is expected to take out 30,000 to 40,000 barrels per day. Oil production will come along with associated gas, some of which will be used to generate electricity fror use in the field.

CNOOC got the production license after government lifted the conditional production license it had imposed on Tullow Oil, the original licensee over a field development plan and petroleum reservoir report. CNOOC  submitted a revised plan in November last year, and upon comprehensive reviews and studies, government was satisfied. 

Government will have a 15% stake in this license. The king fisher oil field is subdivided into sixteen exploration areas , four of these are licensed  to four oil companies:  Tullow Uganda Limited, Tullow Uganda Oil,  Total E and P Uganda BV and CNOOC Uganda Limited.

 Meanwhile, government is in advanced stages its plans to construct a refinery to process the crude oil and produce petroleum products.  An advisory has been identified to help in procuring the lead investor who will have a 60% stake in the refinery. The procurement process is expected to begin in two weeks from now.The government of Uganda will  share the remaining 40%  with  other East African Community member states who will have interest in the refinery.

Interpol teams up into Westgate investigations

26^th Sept-2013

An INTERPOL Incident Response Team (IRT) has been deployed at the request of Kenyan authorities to provide on-site assistance to the Westgate shopping centre terror attack investigation.

Headed by INTERPOL’s Executive Director of Police Services Jean-Michel Louboutin the team includes Disaster Victim Identification (DVI) and data specialists who will carry out real-time comparisons against INTERPOL’s global databases on DNA and fingerprints and other evidence gathered from the crime scene.

Security at the west-gate

The IRT, which arrived in Nairobi on yesterday, will also ensure the swift dissemination of all forensic information, photographs of the suspected terrorists, details of arrested individuals and any other suspects linked to the deadly assault, to INTERPOL’s 190 member country network for comparison against national databases to identify any potential leads.

“INTERPOL’s role is to help coordinate the international response in support of the Kenyan authorities as they investigate this horrific incident, and to assist their actions at the regional and international levels,” said Mr Louboutin.

“Whether it be through comparison of information against INTERPOL’s global databases, or the issuance of a notice to identify a victim, locate a wanted person, or seek additional information about suspects, we will offer all necessary assistance to help bring those responsible to justice,” added Mr Louboutin.

In addition to the IRT deployment, support is also being provided to Kenya’s national authorities via INTERPOL’s Regional Bureau in Nairobi and the 24-hour Command and Coordination Centre (CCC) at its General Secretariat headquarters in Lyon, France.

The CCC will also act as a central liaison to the INTERPOL National Central Bureaus of all the involved countries to ensure any ante mortem data on those killed during the attack, both victims and suspected perpetrators, is received as quickly as possible by Kenyan authorities.

INTERPOL also stands ready to mobilize additional support from its global network of DVI and other experts, with officers from its Counter-terrorism and Criminal Analysis Units examining all INTERPOL databases to determine whether any links can be drawn between this terrorist act and other incidents around the world.

UGANDA TRULY GIFTED BY NATURE

23-09-2013

By Nankwanga Eunice Kasirye

The enormous mineral discoveries in Uganda place the country at a better future in foreign exchange earnings likely to directly reflect in individual and household livelihoods. The fact that Uganda discoveries always present rare composites on the world, positions it at a better position globally. Vermiculite is one of the prestigious mineral catch Uganda boasts of, it is the cleanest in world with high quantity and quality compared to none.

Vermiculite blocks

Uganda will soon lead in the trade of one of the largest high grade mineral called vermiculite in the entire world. the country is proud of good clean deposits of vermiculite with quantities not found anywhere around world, it is an ingredient used to make inorganic fertilizers, building and roofing  material , fire extinguishers, insulators  brake materials for planes and cars among several other uses. Paul Sherwen, the commercial Director at Ortec group, a member of the Chamber of Mines and petroleum in Uganda, says the deposits will not only improve the country’s export proceeds from the mineral exports but also improve   farm productivity hence guaranteed food security.

PAUL SHERWEN

Vermiculite occurs in various geological environments worldwide, and each deposit is different from the other. But most of these deposits contain asbestos fibre beyond the international permissible limit unlike the Uganda deposits which are rated the cleanest. It is projected that in the next five years Uganda will be able to trade at least 200,000 tones of vermiculite to the world market of the 600000 tones demand. Uganda boasts of one million tons of clean and pure vermiculite deposits which offer Uganda a better position on the mineral world market.

The Uganda Vermiculite has a number of industrial applications such as fireproof board manufacture, soundproof boards, lightweight concrete, break liners and Energy Saving Stoves, saving thousands of cubic meters of wood fuel. The flamboyant mineral is found in a small place called Namekara in Manafa district eastern of the country close to Mbale town. However the mineral is bulky which require the full refurbishment of the railway line for transportation. The mineral cannot be exported on road therefore it is important to ensure that the railway line is well connected with supportive logistics.

Uganda has made positive strides in the mineral sector with a number of new discoveries of metallic and industrial minerals. Among the metallic mineral deposits discovered is gold, copper, iron ore diamond among others. The industrial discoveries include limestone, rock salt, and vermiculite among others. The discoveries are enormous that almost everywhere in Uganda something prestigious lies underneath.

The challenge however lies in land acquisition for investors. The small scale and artisan miners are uncooperative when it comes to relegating the land to investors. Elly Karuhanga the chairman Uganda Chamber of Mines and Petroleum says the small scale traders don’t want to give up the plots because they are too much taken up into smuggling the minerals which deprive the country a lot of monies. 

Elly Karuhanga

He wants the public to be sensitized on the modalities of managing the entire life of the mineral resources. The lack of clarity on who does what on which terms, is the reason for continual community strife.

The 2012 airborne geological surveys aided with on-site scientific assessments provided evidence about the existence of gold deposits in Arua, Hoima, Masindi and Buhweju districts as well as Karamoja, eastern and south-eastern sub-regions. This improves Uganda chances of attracting more sector investors since speculation costs would be reduced.