Kampala 23/11/2007
 
HERITAGE SELLS ITS SHARES TO FINANCE OIL EXPLORATION IN UGANDA’S LAKE ALBERT

By Leo Odera Omolo

Heritage Oil Corporation one of the oil exploration companies has been reported as having raised USD 182 million (Ushs 312 billion) to finance its accelerated operations in Western Uganda.

This is in response to the fast expanding petroleum resources potential in and around Lake Albert in western Uganda.

The Canadian firm announced recently that it had mobilized the money from sales of 3 million common shares on the Toronto stock exchange where it is listed.

Its statement, which was released in Kampala early this week says that part of that money, was to “support drilling programme in Uganda and a planned high-impact exploration programme in the Khudistan region”.

Heritage has discovered Oil at all the three wells it has drilled Kingfisher one, Kingfisher 1A and Kingfisher 1B in the Albert Basins block 3A exploration area, and the gusto from that rare rate of success has since driven it to intensify its operations there.

An assessment of the seismic data acquired over the Kingfisher and pelican hydrocarbon structures in Blocks 3A,the statement said, suggested that they are large estimates at 70 and 40 square kms respectively and that they are structurally uncomplicated.

Also the company said it will start drilling target locations as appraised wells in early 2008 aimed at delineating the extent of the Kingfisher hydrocarbon deposits .A more powerful rig, the Nabors 221, with a capability to reach the full depth of the Kingfisher structure, will be mobilized to start working on kingfisher 2 also in block 3A.

So far Heritage has a confirmed production capacity of 13,900 barrels of oil per days both from the wells drilled

Heritage’s upping for its Ugandan operative reflects a soaring interest by global energy players (governments as well as companies) in Uganda as one of the nearest petroleums in notespots in Sub-Saharan Africa.

In a recent interview published by the Daily Monitor ,the Commissioner for petroleum exploration and production department at the Ministry of Energy Mr.Reuben Kushambuzi said Uganda’s Lake Albert basin had posted one of the best success rates.And this fact already had global player whetting their appetites.

The United States has for instance already signed its interest in active participation in Uganda’s petroleum industry with the Us trade and Development Agecny (USTDA) contracting a company to commence studies of Uganda’s petroleum and gas sector and locate specific areas where the US government could advance aid.

Tellow oil, the other company in the forefront of exploration in Uganda is hastily working on a scheme that will see the country start pumping and refining oil by 2009 to fuel a thermal power plant. The scheme is chiefly to tackle the country’s aenemic electricity sector.

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leooderaomolo@yahoo.com