Mafabi has informed our spies at Parliament today that president Museveni’s plans to shield his ministers who reportedly received bribes in order to grant licences to Tullow Oil Company will not work out as the head of state expects.

Recently reports emerged that President Museveni had requested the MPs on the government ticket to save the ministers involved in the oil saga. The ministers believed to have received bribes to pass oil deals are Hilary Oneke, Sam Kutesa and Amama Mbabazi.
Ultimate Media

Things will not be easy when oil debates resumes in the Uganda’s ninth parliament anytime from now according to Budadiri west MP Nandala Mafabi.

Mafabi who president Museveni’s advisor in charge of the media issues John Nagenda recently termed as an improvement of FDC leader, Col. Kiiza Besigye has today told the executive to get prepared for a “showdown” over reported government attempts to shield corruption in the oil sector.

Mafabi has informed our spies at Parliament today that president Museveni’s plans to shield his ministers who reportedly received bribes in order to grant licences to Tullow Oil Company will not work out as the head of state expects.

Recently reports emerged that President Museveni had requested the MPs on the government ticket to save the ministers involved in the oil saga. The ministers believed to have received bribes to pass oil deals are Hilary Oneke, Sam Kutesa and Amama Mbabazi.
Ultimate Media

The post MP Mafabi promises showdown over attempts to shield corruption in oil sector first appeared on Uganda Multimedia News & Information.

Mafabi who president Museveni’s advisor in charge of the media issues John Nagenda recently termed as an improvement of FDC leader, Col. Kiiza Besigye has today told the executive to get prepared for a “showdown” over reported government attempts to shield corruption in the oil sector.

Mafabi has informed our spies at Parliament today that president Museveni’s plans to shield his ministers who reportedly received bribes in order to grant licences to Tullow Oil Company will not work out as the head of state expects.

Recently reports emerged that President Museveni had requested the MPs on the government ticket to save the ministers involved in the oil saga. The ministers believed to have received bribes to pass oil deals are Hilary Oneke, Sam Kutesa and Amama Mbabazi.

Ultimate Media

The post MP Mafabi promises showdown over attempts to shield corruption in oil sector first appeared on Uganda Multimedia News & Information.

Through Bwambale , Musede and Co. Advocates, Mulumba states that 50% of the stake Tullow Bought from Heritage Oil was had already reverted to the government. Mulumba wants a declaration that Kingfisher discovery ceased to form part of the petroleum exploration area for Heritage and Tullow when Heritage failed to ask for a production license for block 3A after the exploration lincense had expired beyond the renewable eight years provided by the law.

Mulumba wants court to restrain the Attorney General, Heritage Oil and Gas Limited and Tullow Oil Uganda from “undertaking any further dealings including but not limited to exploration, production, selling, assigning, transferring any interest in exploration Area 3A (EA-3A) kingfisher (Kajubirizi) of the Albertine Graben.” Tullow which co-owns 3A with Heritage bought the later interests at 1.5billion US dollars in 2010. The company which now owns almost 100% of all the oil wells so far identified is planning to farm out 33% of its stake of France’s Total and another 33% to China’s CNOOC. The government is yet but expected to approve the sale by end of January 2012.

Here is a summary of the key issues of concern

1. The government is not ready to undertake oil production (more preparation and laws needed)
2. All Heritage Oil and gas assets sold to Tullow were null and void as the former’s license on Block #A (Kingfisher exploration had ended) and as per 19 (1) (b) of the Act they reverted the government.
3. The Memorandum of understanding signed between Tullow and Uganda government to normalize the license issue is null and void as it is inconsistent with the Petroleum Exploration and Production Act 1993
4. Licenses for the oil blocks should be made in accordance with the Public Procurement and Disposal of Public Assets Authority Act (open bidding).
5. The Court cases between Tullow oil and Heritage Oil and gas, as well as between the Uganda Revenue Authority (on behalf of the Uganda Government) and Heritage Oil and Gas –are warning signs of how uncertain it is that Ugandans will benefit from the oil sector.
6. The recent corruption allegations that top ministers have received hefty bribes from oil companies to give the companies favourble deals have further increased worries on the running of the oil sector and increased concerns that Ugandans might not benefit from the oil resource.
7. The increasing insistence by the government to keep oil production sharing agreements secret raises issues at what the government is hiding, how much has been given away and whether oil companies and not taking advantage of the country.
8. The confidentiality (secrecy) clauses in the Production sharing agreements no longer apply since the license with the companies with which the agreements were signed have since expired. According to section 59 of the Production Sharing agreement, the confidentiality clauses cease to exist when the license ceases to exist. It is for this very reason Ultimate media decided to publish the oil agreements.

Here is a Detailed review article on the case and especially its implication for Tullow Oil

Also see our other Uganda oil related articles

Uganda government production sharing agreements with oil companies

Uganda government approves Tullow oil takeover of Heritage assets

Ugandans ponder oil benefits

Fosterwheeler final report on Uganda oil industry refinery

Parliament pins Bank of Uganda Governor for spending first oil money on buying fighter jets

Government of Uganda outlines oil production program

Parliament calls for censure of key ministers Sam Kutesa, Amama Mbabazi and Hillary Onek over oil bribery allegation

Uganda urged to invest oil revenues in income generating activities

Uganda buoyant over oil prospects as Museveni outlines key strategy

Government asked to solve land purchase conflicts in oil producing areas

Ultimate Media

The post Key issues of contention in Uganda’s oil sector reflected in case against Tullow and Government first appeared on Uganda Multimedia News & Information.

The info we have got from statehouse indicates that Mbabazi even though he is being probed over his reported illegal oil deals, he is traversing the country mobilizing support for NRM while selling his personality to people.

His position as NRM secretary general puts him in direct possibility of running as NRM’s presidential candidate if Museveni leaves. And to keep his dream well, we are told that Mbabazi recently recruited his own pressmen to cover him wherever he goes to avoid being misquoted.

Ultimate Media

The post Uganda’s prime minister Amama Mbabazi starts own press unit first appeared on Uganda Multimedia News & Information.

Lenina, according to Amama’s relatives in Ntinda, has told her dad that he is innocent and bowing down to pressure will mean that he is guilty whereas not.

Ms Lenina is also known as Nina on face book. Lenina has also been telling people on face book that Mbabazi is clean and he is only being prosecuted by his political enemies within and outside government.

Mbabazi among other government officials are investigated over their reported involvement in bad oil deals.

 Ultimate Media

The post Amama Mbabazi’s daughter tells him not to bow down to pressure first appeared on Uganda Multimedia News & Information.

Mafabi who president Museveni’s advisor in charge of the media issues John Nagenda recently termed as an improvement of FDC leader, Col. Kiiza Besigye has today told the executive to get prepared for a “showdown” over reported government attempts to shield corruption in the oil sector.

Mafabi has informed our spies at Parliament today that president Museveni’s plans to shield his ministers who reportedly received bribes in order to grant licences to Tullow Oil Company will not work out as the head of state expects.

Last week reports emerged that President Museveni had requested the MPs on the government ticket to save the ministers involved in the oil saga. The ministers believed to have received bribes to pass oil deals are Hilary Oneke, Sam Kutesa and Amama Mbabazi.

Ultimate Media

The post MP Mafabi promises showdown over attempts to shield corruption in oil sector first appeared on Uganda Multimedia News & Information.