Uganda Gives Tullow Conditional Approval To Farm Out Stakes To Total, CNOOC
London-listed Tullow agreed early last year to sell Total most of its stake in Ugandan fields to Total for $900 million, but CNOOC later exercised its pre-emption rights to buy 50% of the Tullow assets on sale.
“I gave conditional consent for this transaction, subject to payment of tax obligations, as assessed by the Uganda Revenue Authority of about $167 million,” Energy Minister Irene Muloni said during a news conference.
The three firms currently each hold a 33.3% stake in the fields, and Tullow is now selling 21.5% of its stake, which will be split equally between Total and CNOCC.