Tullow Oil’s deal to farm down its interest on a section of Uganda’s Albertine oil exploration area, that has been pending for the last two and half years, collapsed on August 29. But in veiled and carefully crafted statements, both the Government of Uganda and Tullow, the two principals in the transaction, are pointing fingers different directions for causes of the flop.
By Jacob Okwii.
The price of Brent crude this week went up to US$68 a barrel. Analysts believe the price is likely to continue on the bullish side owing to robust global demand growth, low US production and OPEC-Russia production cuts to the global supply.
Last week, Reuters quoted Goldman Sachs as saying, “This rally (of crude) has been driven first by robust fundamentals, with strong demand growth and high OPEC compliance accelerating. We see increasing upside risks to our $62 per barrel Brent and $57.5 per barrel WTI forecast for the coming months.”