The Mitchell Group

Management - Oversight - Efficiency

Tag : Oil

Oil Discovery in Uganda: Managing Expectations

:: by Nicole Bridge :: Game Changers

This paper discusses the management of expectations associated with the recent discovery of commercialisable oil (and gas) in Uganda. No commercial oil was flowing at the time of research and no oil revenues are expected until after 2013.

The ‘early production agreement’ reached between Uganda and the oil companies (particularly Tullow Oil and Gas company) prioritizes the production of 50–100 megawatts of electricity that will be added on to the national grid by the late-2009.1 However, the additional electricity will remain below the country’s requirements. Yet, Ugandans – at the national, local government and community levels – appear to ...

Oil Extraction and the Potential for Domestic Instability in Uganda

:: by Nicole Bridge :: Game Changers

Abstract: The exportation of oil offers tremendous opportunities for Uganda. It also poses several risks to Uganda’s domestic security. Drawing on field research in Uganda, as well as archival research, this paper identifies three potential sources of domestic instability stemming from oil exportation: increased urbaniza-tion, unpredictability in tax revenue collection, and the formation of rebel groups. The paper concludes that government transparency is crucial in avoiding most of the pitfalls associated with oil extraction and makes several recommendations for improving transparency in Uganda.

This article explores the potential risks associated with oil development and exportation in Uganda. It ...