The government of Uganda has said that it will complete the oil licencing round by June 2016 once it finalizes talks with successful bidders and sign production sharing agreements.

The ministry of Energy and Mineral Development has said that it will assess the best bidder based on proposed work program, technical and financial capability, national content, health safety and environment, proposed royalty and signature bonus.

Before now, environmentalists have advised the public to continue pressurizing the government not to licence out an oil block that could upset the ecological system around the Virunga national park.

“It may only be a matter of weeks before Uganda issues the oil licence in Lake Edward, effectively opening up Virunga by the back door. Don’t let this happen. Oil drilling here would be a disaster for the people and animals that depend on it. Uganda and Congo should make a deal with Unesco to protect Virunga from oil activities,” George Boden, the lead campaigner on Uganda for Global Witness told the Observer.

Seven companies had bids for blocks which were put up for licencing in Albertine Graben. The companies are amongst the 16 potential bidders that were given the bidding documents on October 1, 2015.

According to F.A Kabagambe-Kaliisa (photo), Permanent Secretary of the Ministry of Energy & Mineral Development, the attraction of seven bidders was significant to the country which is yet to start production, taking into consideration the current low Oil and Gas prices in the global market.

Anita Fatunji