Uganda’s “oil rush” has attracted an estimated $3 billion in exploration investments since 2006, with companies channelling funds towards prospecting for more recoverable oil deposits as the country seeks to prolong the life span of its commercially viable deposits, currently estimated to last from 20-40 years.
The amount is subject to audit queries, but is estimated to have brought in $120 million in revenue from withholding taxes and stamp duty according to Uganda Revenue Authority (URA).
In addition, URA collects taxes when companies sell off their interests, the latest being $472 million expected from the sale of part of Tullow’s acreage to Total and CNOOC.
Three companies: Tullow Oil, Dominion Petroleum and Tower Resources (formerly Neptune) are the main stakeholders in oil exploration in Uganda. Click here to read more.