This archive report was first published on 28 December 2019.
On December 28, 2019, Uganda's Ministry of Energy and Mineral Resources renewed exploration licences for Nigeria's Oranto Petroleum Ltd and Australia's Armour Energy, paving the way for the companies to confirm the viability of oil and gas deposits in new blocks.
Oranto Petroleum and Armour Energy had initially been granted exploration licences and production sharing agreements in 2017. The four-year licences were divided into two phases, each lasting two years. The first phase ended in October 2019, and the companies had fulfilled their work programme, which included technical studies and the use of 2D technology.
According to Gloria Sebikari, spokesperson for the Petroleum Authority of Uganda, the minister renewed the licences for the second phase, during which the companies are expected to drill wells.
Armour Energy is conducting exploration activities in the Kanywataba block, covering an area of 344 square kilometres. The company considers the block to be highly promising, given the discovery of oil at King Fisher and the presence of oil seeps, which confirm the presence of working petroleum.
Oranto Petroleum, on the other hand, is exploring the Ngassa contract area, which spans 410 square kilometres. The ongoing exploration activities have raised hopes of additional discoveries, based on current seismic data.
