Uganda is still dealing with Libyan company although UN instructed that
Libya’s property be confisicated because of Gaddafi’s stand off.
Uganda government spokesman, Kabakumba Matsiko has said
that Uganda government is still engaging Libyan based oil firm
Tamoil to finalize the deal where both partners will have to revamp
the country’s oil reserves.
The oil reserves located 80 kilometres east of Uganda’s capital Kampala
have capacity of over 10 million litres of oil.
They were constructed by former Uganda president Idi Amin in the 70s after
Kenya stopped Ugandan oil trucks carrying oil to pass through the
country after Amin had threatened to invade it.
Kabakumba Matsiko, said, “the government and Tamoil are having certain
challenges hindering the finalization of the deal but soon
or later this year the deal will be done and this will see Uganda regain oil
reserves as it used to.”
The oil reserves became old and started licking 10 years ago leaving the
country with no any oil reserve.
Matsiko said, “after the revamp, the country will not face any kinds
of fuel shortages which most of the time result into increased
prices.”
