Tullow Takes $1.35B Stake in Heritage's Ugandan Assets
Tullow Uganda has completed the US $1.35 billion acquisition of a 50% interest in Blocks 1 and 3A in Uganda from Heritage O&G ("HOGL") with an additional contractual settlement amount of US $100 million.
Following conditional Government approval on July 6, all conditions have now been met and the assets have been transferred to Tullow Uganda. Tullow now plans to enter into transactions with CNOOC and Total to farm down two thirds of its interests in Blocks 1, 2 and 3A in the Lake Albert Rift Basin. This will result in a unified partnership to accelerate development of the basin and turn Uganda into a significant oil producing nation.
Commenting today, Aidan Heavey, Chief Executive, said, "This is a major step forward for Tullow and the Ugandan oil industry. We now look forward to signing the farmdown agreements with CNOOC and Total in the coming weeks and commence work with them on an accelerated basin-wide development plan that is expected to deliver production well in excess of 200,000 bopd from the Albert Rift Basin."