Energy Minister Ruth Nankabirwa (2nd R) is joined by other officials to cut the ribbon to officially launch the PC1 works for the Kingfisher Oil Development Project
CNOOC Uganda Limited, an oil and gas company, Friday announced the PC1 contractor for the Kingfisher Development Project. Excel Construction Limited, a Ugandan company, has scooped the US$23.2m (UShs81.9bn) deal to construct the well pads, access roads, and water intake points.
Following the official announcement of the final investment decision by President Yoweri on 1st February 2022, the sector is transitioning into the development phase in preparation for the sustainable production of these resources.
Speaking at the ground breaking event for PC1 works for Kingfisher Oil Development Project held in Kikuube district on Friday, Chen Zhuobiao, President of CNOOC Uganda Limited, said a responsible company, CNOOC ensures that all its contractors adhere to national content regulations and that their operations are in strict compliance with the relevant laws and regulations, to live up to the industry’s best practices.
“Having Excel construction Limited as the PC1 contractor reflects CNOOC Uganda Limited adherence to the national content principles and we shall continue doing so to ensure that more Ugandans have the opportunities to be involved to and benefit from the oil industry,” Zhuobiao, said.
On 8th February 2022, CNOOC Uganda Limited awarded the EPC-3 contracts and the integrated drilling services contracts.
“With these newly awarded contracts and others to come, we expect to enhance employment of Ugandans through direct, indirect and induced jobs, training of workforce and procurement of locally available goods and services,” Zhuobiao said, adding: “Priority shall be given to local suppliers on the national supplier database as guided by Petroleum Authority of Uganda, enhancement of knowledge and technology transfer in Uganda.”
Ruth Nankabirwa, the Minister of Energy and Mineral Development commended CNOOC Uganda Limited for their efforts towards national content enhancement which is key to the social and economic development of Uganda and Ugandans. She urged Ugandans to strategize and reap big from the ongoing oil related activities.
“I urge you to continue working closely with the government of Uganda to ensure that we have sustainable exploitation of the oil and gas. We look forward to first oil in early 2025 now that FID was announced on 1st February 2022,” Nankabirwa said.
Speaking at the same event, Mwine Jim Kabeho, a Director at Excel Construction Limited said as of 7th February 2022, the company (Excel Construction Limited) mobilized their equipment and machinery to ensure that work programs are delivered by the end of 2022.
He said the works will include demolishing old oil pads and constructing new ones.
He noted that all the land needed for the project facilities has been acquired according to international best practices.
“We have attained 99% of land acquisition for all the project required land. Currently, 57 resettlement houses are being constructed for the affected persons in the 3 sub-counties of Kyangwali, Kabwoya & Buseruka,” Kabeho said.
A number of speakers appealed to CNOOC and Excel to ensure environmental protection to which CNOOC Uganda Limited reaffirmed its commitment to the efficient and effective development of the Kingfisher development area in an environmentally friendly and sustainable manner.
The event was attended by officials from Energy Ministry, Ernest Rubondo, the Executive Director at Petroleum Authority of Uganda and Proscovia Nabbanja, the Chief Executive Officer of Uganda National Oil Company (UNOC) among others.
