KAMPALA, Uganda (Dow Jones)—-The Sudanese government is ready to
offer maximum cooperation to Uganda as the latter moves closer to
start oil production in the Albertine rift, a diplomatic official
said late Wednesday.
Ali Hussein Award, Sudan's ambassador to Uganda, said in remarks
broadcasted live on the national television that Sudan was ready to
share its expertise in oil production with Uganda, which has
discovered huge oil reserves in the Albertine rift.
"The Sudanese government is ready to cooperate with Uganda in
developing its oil sector, including establishing a refinery," he
said.
Hussein said Sudan is also ready to resolve outstanding border
disputes with Uganda along the common border to ensure peace and
stability.
The Albertine rift stretches from southern Sudan through the
lake Albert valley to southwest Uganda.
The northern part of Albertine rift has been unstable for many
years due to the rebel insurgency of Lord's Resistance Army. The
Sudanese government has also denied reports that Joseph Kony, the
LRA's leader, had sought refugee in Darfur, seeking protection from
the Sudanese army.
France-based Total SA (TOT), which operates in Sudan, has
expressed interest in investing in Uganda's downstream oil sector,
according to sources.
Total's potential production in southern Sudan could be tied to
the Ugandan oil pipeline project, which is expected to connect the
Albertine rift to the Kenyan port of Mombasa about 1,300 kilometers
away.
Total officials declined to confirm the company’s interest in
Ugandan
Oil exploration companies already operating in Uganda include
U.K.-based Tullow Oil PLC (TLW.LN), Heritage Oil PLC (HOIL.LN),
Tower Resources PLC (TRP.LN) and Dominium Ltd.
-By Nicholas Bariyo, contributing to Dow Jones Newswires ; +256
75 262 4615; bariyonic@yahoo.co.uk