Uganda's oil reserves rival Saudi Arabia’s, says US expert

If this is true this could be a boon for the region. With the right infrustructure in place, Mombasa and Dar ports could benefit considerably.

	Quote:
	Uganda's oil reserves rival Saudi Arabia’s, says US expert Written by EDRIS KISAMBIRA Tuesday, 02 June 2009 KAMPALA, UGANDA - Uganda's oil reserves could be as much as that of the Gulf countries, a senior official at the US Department of Energy has said. Based on the test flow results encountered at the wells so far drilled and other oil numbers, Ms. Sally Kornfeld, a senior analyst in the office of fossil energy went ahead to talk about Uganda's oil reservoirs in the same sentence as Saudi Arabia. "You are blessed with amazing reservoirs. Your reservoirs are incredible. I am amazed by what I have seen, you might rival Saudi Arabia," Kornfeld told a visiting delegation from Uganda in Washington DC. The group of Ugandans was in Washington on an international visitor programme and looked at the efficient use of natural energy resources. The group comprised Ministry of Energy officials, a Member of Parliament, members from the civil society and one journalist. At present, Uganda has four oil prospectors on the ground including Heritage Oil, Tullow Oil, Tower Oil and Dominion Oil. Of the four prospectors, Tullow and Heritage have registered success at wells in two blocks in the Albertine basin, which lies in the upper-most part of the western arm of the Great Rift Valley. According to data so far aggregated since the first discovery was made by Australian prospector Hardman Resources (now taken over by Tullow) in June 2006, Uganda has established reserves at 3.5 million barrels of oil per day. Experts in oil exploration say this could be just a tip of the iceberg. The sites are still building pressure and production might well exceed the current figures if what has happened elsewhere like Angola is anything to go by. Flow tests at various wells have indicated flow rates ranging from as low as 1,500 to highs of 14,000 barrels per day. According to earlier releases, the prospectors are now certain that the commercial threshold for development has been exceeded. Mr. Aidan Heavy, Tullow Oil's chief executive officer revealed early in the year that they assigned a dedicated team of experts to deliver a commercial development plan for the entire basin. In April last year, Tullow embarked on what it termed as a major drilling campaign in the Butiaba area around Lake Albert targeting an overall reserve potential in excess of a billion barrels. The Butiaba campaign was preceded by successes in two drilling campaigns in the Kaiso-Tonya area and the Kingfisher field and all these have been 100% successes so far. The Butiaba campaign has thrown up successes but the two biggest so far have been the Buffalo-Giraffe wells - described as "one of the largest recent onshore oil discoveries in Africa". "Combined with our other finds in the region, we have now clearly exceeded the thresholds for basin development," the chief executive of Tullow commented then. The Giraffe-1 exploration well, which is located in the Butiaba region, came up with over 38 metres of net oil pay within an 89-metre gross oil bearing interval. The data from the Giraffe discovery indicate a net reservoir thickness of 38 metres, the largest encountered in the area to date. The Buffalo-1 exploration well in Block 1 encountered 15 metres of net gas pay and over 28 metres of net oil pay. The gas and oil columns encountered are 48 metres and 75 metres respectively with the potential to be even larger. As Kornfeld marveled at Uganda's oil finds, she was quick to add that for the country to benefit from the oil and gas resources but also avoid the pitfalls of oil producing countries like Nigeria, it is extremely important to set up strong governance structures. Kornfeld and the other United States officials said they are ready to help Uganda's nascent oil and gas sector with anything including the key environmental issues that are crucial to the efficient management of oil and gas. "Anything you might want us to help you with we will and we have a lot of expertise in environmental issues relating to oil and gas," Kornfeld said.

http://www.busiweek.com/index.php?op...=1607&Itemid=2

[Nono]

	Quote:	Koba
	Museveni further said the government had rejected calls from oil exploration companies to drop the idea of building a refinery, in favour of exporting unrefined crude. "We shall not export unrefined crude, Uganda is not a place for playing games," he said. "When I went to Iran, the Iranian president told me Iran has nine refineries, and is in the process of building seven more." Uganda and Iran have since signed an agreement for the establishment of a refinery in Uganda.

Hili limenifurahisha mno!

Wakati sisi tunauza madini yetu ghafi pamoja na mchanga tusiojua una kitu gani ndani yake. Kwa mujibu wa M7 Tanzania ni nchi ya kuchezea kamari. Je, hili ni kweli, Kikwete na serikali yako mtujibu watanzania

[TzPride]

Kornfeld and the other United States officials said they are ready to help Uganda's nascent oil and gas sector with anything including the key environmental issues that are crucial to the efficient management of oil and gas.
"Anything you might want us to help you with we will and we have a lot of expertise in environmental issues relating to oil and gas," Kornfeld said.

You see these Americans! That's why they are befriending Saudi Arabia! mijamaa minyonyaji kinoma...inaomba kusaidia!

[Nasolwa]

Hii ni habari njema kwa wananchi na uchumi wa Uganda kwa ujumla. Hata hivyo nina hofu ya mambo mawili:
1) Haya mafuta yasijekuwafaidisha wajanja wachache kama vile dhahabu yaTanzania isivyoifaidisha nchi kwa kiasi cha kutosha.
2) Haya mafuata isije ikawa ni chanjo cha machafuko na migogoro mbali mbali ya kijamii

[ByaseL]

	Quote:	Smatta
	What can I say about your judgment of Ugandans or other nationalities so to speak? Minerals, not just oil are a curse to Nations.. Tanzania has minerals, its a blessing to them not a curse, SA the same and so many African countries, dont you think Ugandans can do the same and benefit us from the discovered oil, ama sifa zao zita wa prevent ku succeed. You simply come out as a jealous, pesimistic simpleton, who thinks he is much better because he comes from another country. Why do you doubt the availability of vast oil reserves in Uganda, just because you didnt read it in your favourite Ugandan paper doesnt mean its false or doctored. Ama you think UG doesnt have any mineral potential according to your research.

Well you are entittled to your opinion. I mean just last week President Museveni gave a speach in Parliament on the State of the Nation and he talked much about the economy and there was not a single mention about the so called "vast oil" discovery in the country. Normally he does not miss that kind of information.

I was in Uganda from 10th May to 17th May 09 and was involved in a lot of economic and political discourse of Uganda with some people who are well informed including one top Ugandan jounalist but there was nothing like " vast oil" in the offing. Yes, there is oil in Uganda but not to the level of Saudi Arabia. It would take the whole of Uganda to be full of oil underground! I am afraid this is bourbon talk at this particular point in time. A wishful thinking if you like. Ni udaku fulani. It is up you to take this fantasy hooker, line and sinker.

The reason I say oil could be a curse to Uganda is because of the history of that country. It is not a secret that Uganda unlike Tanzania has rarely enjoyed peace and tranquility since 1970s due to armed conflict for varied reasons. Kama Nyerere alivyosema ukila nyama ya mtu huachi. As we speak Kony is killing and maiming in DRC and we have not seen the end of him. With new riches like "vast" oil, the motivation for the likes of Kony is not only likely increase but to entrench as well. That is where I am coming from and by the way even Tanzania could go the same root if the mining policies do not change for the better. I mean no country is out of the woods yet. Sio wive wa kike kama unavyodhani.

[Makanyaga]

	Quote:	[SIZE="4"
	Nziku;481037]Hivi kunaweza kukawa na mafuta Uganda, wakati huohuo Tanzania na Kenya yasiqepo? mimi nadhani hatujatafuta vizuri. Kama mafuta yaliyopo Uganda ni mengi kiasi cha kuwa rival wa Saudi, that means Tz na Kenya yatakuwa zaidi kwasababu ya bahari. Just by a simple geologic knowledge. Endapo Uganda kungekuwa na coal then isiwepo Tanzania au Kenya ningeelewa, au hayo mafuta yangekuwa kiduchu pia ningeshawishika, bali sasa natumaini kuwa Tz na/au Kenya kunamafuta tena mengi tu.[/SIZE]

Ndg yangu nziku,
wewe sasa unataka kutuingiza kwenye matattizo, sababu wataalaamu wanajua kabisa kuwa mafuta sisi yapo mengi kuzidi hata saudia, ila wanaogopa wanapotoa analogy ya madini. projection yao ni kwamba tukianza kuchimba mafuta, watanzania wote kuanzia wenye pHd na kushuka chini, tutageuzwa kuwa vibarua, pengne with the exception of just a few political leaders!
Tafadhali tusije tukaibua balaa jingne kubwa kama hili!

[Koba]

	Quote:	Smatta
	For the first time you are right, I simply cant, I have tried (even gone for counseling) but it doesn't help. Thats me, thats how I communicate, I know no better, but there is no disrespect at all, its just a form of communication.

...wee mkuda jifunze kuongea vizuri!

[ByaseL]

Kuna report kweye JF toka The Monitor paper, Uganda inayosema "No oil in West Nile". Mafuta yapo Uganda lakini sio kulingana na Saudi Arabia.

[Kikojozi]

As long as they dont possess the vast capital and know-how to exploit and add value to their resources, no African country will enjoy the lion's share of its petroleum and mineral wealth.

[Nzokanhyilu]

Hivi waafrika tunamatatizo gani ya kushindwa ku-analyse vitu kiurahisi with just a carefull eye and internet search?

Hivi Uganda kungekuwa na mafuta kuzidi Saudi Arabia, unafikiria makampuni kama Chevron, Shell, BP etc yangekuwa yanaangalia? Kampuni zilizongudua mafuta ni 'choka mbaya', hazina hata funds za ku-develop hizo 400 million barrels.

let us put this into perspective. LOOK AT THE NUMBERS CAREFULLY!!
Wanasema wana atleast 400 million barrels (which I aint doubting), wanasema wanaweza kutoa 1 point something million barrels per day. It will take less than 400 days for the oil to run out. LOL. Ofcourse stuff dont work that way, but thats a quote from the author of the article.

Saudi Arabia = above 260 Billion barrels (proven reserves), that is 260 thousand, million barrels (i.e. 260,000 Million barrels, Uganda has only several hudred million barrels).
Nigeria = 36 Billion barrels, that is 36 thousand, million barrels (uganda ina kidunchu) i.e 36,000 vs 400
Gabon = 3.2 Billion barrels.......(where apparently since the first barrels was produced, marehemu president alikuwa anapata cut ya $1 kwa kila barrel itokayo ardhi ya Gabon. I think since the 60s.....daaamn, how greedy can you get?).

Naomba mtu afanye conversion ya proven gas reserves za Tanzania, halafu abadilishe to barrels equivalent (ofcourse price ya gas na oil ni tofauti, just food for thought!).

Also, Kenya wana pipeline tayari from Kisumu to Nairobi then Mombasa. Nadhani kuna-pipeline nyingine karibu na border ya Uganda. So it makes business sense to work along those lines.

Pia, Kenya nadhani wana refinery. With 400million barrels huwezi kuwekeza kwenye refinery mpya. Refinery zinachukua decades ku-recover investments. Mfano, jaribu kuangalia lini refinery mpya imetengenezwa marekani? wakati bado wanapump mafuta from gulf of mexico. On that note, Tanzania wajitahidi washughulikie refinery yao Dar, that is a goldmine right there. Am suprised Mkapa didnt get a piece of that (lol, you know am playin!)

I could go on and on, I just want you guys to be carefull with numbers!!

Finally, ugomvi wa Zanzibar na serikali ya Tanzania kuhusu mafuta unasikitisha. Kwa data nilizopata, inaonekana kweli 'hakuna mafuta'...by this it means, yapo kiduchu labda kwa level za Uganda (labda a couple of billion barrels if we lucky). I pray am proven wrong, but looking at the dynamics of exploration and who is doing what and where, then I believe there is zilch in East Africa.

Kuna kampuni moja kubwa wana acrerage kubwa huko maeneo ya zenji. Walitaka kuuzia kampuni jingine kubwa acreage yao miaka iliyopita (wont say the year). Lile kampuni lingine likashitukia. Ni kwamba, bahari iliyo- east africa, haina 'cap-rock', yaani miamba inayozuia mafuta yasitoroke. Ofcourse zipo cap rocks, ila haziko continuous kuweza kutunza mafuta kwa wingi (hili tatizo Uganda pia, ndio maana kuna kampuni wamechimba hewa, ofcourse kuchimba hewa inawezekana katika field yoyote). Kama kuna geologist anayejua structure ya east africa, ata-confirm au kubomoa hoja hii. Ila naamini nilipopata data na ninasimama na hii analysis.

Data nyingine niliyopata, from a different persepective ni kwamba, east africa hakuna 'source rock', lakini hii hoja sikubaliani nayo kwasababu kusingekuwa na oil leaks wala gas inayopatikana. Nadhani hoja ya cap rock stands. having said that, hii group walianalyse sana data za east africa. Ila nadhani huyu mtu alichanganya tu kunielezea vizuri.