August 7, 2008

More Oil, Natural Gas Discovered in Western Uganda

More oil, natural gas discovered in western Uganda KAMPALA, Aug. 6 (Xinhua) -- Tullow Oil, a company exploring for oil in western Uganda, announced on Wednesday that it had struck oil and natural gas deposits at Kasamene-1 exploration well, located in Butiaba region in the Lake Albert Rift Basin.

The London-based company said in a statement on its website that exploration at Kasamene-1 encountered over 31 metres of net oil pay and at least six metres of net gas pay.

"Downhole pressure testing and sampling has confirmed the presence of dry gas and moveable 30-33 degree API oil," the statement said, adding that the reservoir quality for both zones is excellent.

Aidan Heavey, chief Executive of Tullow, said the discovery indicates the potential for further significant discoveries from the Victoria Nile delta play.

Kasamene-1 was drilled 15 km to the north-west of the Ngege-1 discovery and is the second successful test of the Victoria Nile delta play fairway within the Lake Albert Rift Basin.

The company said that on completion of operations at Kasamene-1, the rig will move 10 km to the east and drill the Kigogole-1 prospect starting mid this month.

Heritage Oil, another company exploring for oil in the western part of the country, said the Kasamene-1 discovery, which is located in Block 2, lowers the exploration risk of prospects in Block 1.

The company said in a news release on Wednesday that the structural trends of Warthog, Giraffe and Buffalo oil wells in Block 1 can be traced to Kasamene-1, which is just 2.5km away.

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