On Monday, the Ugandan environmental monitoring agency (NEMA) announced the approval of an environmental and social impact study (ESIA) submitted by the China National Offshore Oil Corporation (CNOOC) for the Kingfisher block located in the Hoima region. An important step to pave the way for commercial oil production from 2022.
“We are pleased to issue this certificate in accordance with the principle of sustainable development. NEMA will continue to maintain an effective mechanism for the sustainable management of the environment and natural resources, ” said Tom Okurut, Executive Director of NEMA.
However, the regulator asked the Chinese company to make some changes to it.
ESIA studies were carried out to establish the potential positive and negative social and environmental impacts of the proposed projects. Oil companies are required under Ugandan law to undertake ESIA studies and submit them to NEMA for approval prior to the execution of a project.
Zhao Shunqiang, head of CNOOC Uganda, described the acquisition of this certificate as an important step towards monetizing the country’s immense oil reserves.
The field located in the Albertine basin should produce between 30,000 and 40,000 barrels per day. Cnooc develops Kingfisher on behalf of its partners, Total and Tullow.
Source: Agence Ecofin