Tullow Sells Uganda Stakes to CNOOC, Total for $2.9 Billion
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Tullow Oil Plc sold stakes in three Ugandan exploration blocks to Total SA and Cnooc Ltd. for $2.9 billion, paving the way for the development of the Lake Albert Basin after the deal was delayed by a tax dispute.
Tullow will retain a one-third interest in the blocks, the company said today in a statement. Once Tullow makes tax payments to Uganda, final approval will be granted by the government. Oil production may start later this year or in early 2012, Andy Oliver, head of operations in Uganda, told reporters in the capital Kampala.