Recovery factor key sticking point in Uganda production talks

The amount of oil that can be recovered from fields in western Uganda has emerged as a key issue in negotiations on production licences between the government, Tullow Oil and Total. Minister of energy and mineral development Irene Muloni told the East African Petroleum Conference in Kigali on 4 March that, of 6.5bn barrels of oil in place, the companies were proposing to recover only 1.4bn. Ministry permanent secretary Fred Kabagambe-Kaliisa told reporters the government was looking for a recovery factor of at least 25%. He said he hoped the talks would be concluded within three months.