Uganda is going into oil production sharing agreements with a Nigerian firm, enabling the company to begin exploration work.Ugan
The firm, Oranto Petroleum International, is one of the companies which bid in the country’s first competitive oil exploration licensing last year.
The ministry of energy and mineral development said the deal with Oranto covers the Ngassa Shallow Play and Ngassa Deep Play exploration blocks located near the southern part of Lake Albert.
Uganda discovered oil in 2006 in the Albertine rift basin along its border with the Democratic Republic of Congo.
Gross crude reserves are estimated at 6.5 billion barrels of which between 1.4 to 1.7 billion barrels are considered recoverable.