Uganda May Hire PricewaterhouseCoopers To Advise On Oil Sector

By Nicholas Bariyo
Special to DOW JONES NEWSWIRES
KAMPALA Uganda (Dow Jones)-The Ugandan government is in talks with professional services firm, PricewaterhouseCoopers LLP over the formation of a national oil company as the country prepares to join the league of global oil producers, the head of Uganda's Oil Production and Exploration Department told Dow Jones Newswires Tuesday.
Ernest Rubondo said that government wants to hire the firm to provide consultancy services in the establishment of the oil company which will be charged with taking care of the commercial interests of the state once oil production starts.
"Government wants to contract PricewaterhouseCoopers to advise on the modalities to form a national oil company," he said, adding that the consultancy contract is expected to be signed in the next few weeks. Officials with PriceWaterhouseCoopers LLP in Uganda could not comment immediately.
Rubondo however added that the national oil company will come in place through an act of parliament when the 2010 oil law is passed. The law was approved by the cabinet last year and the ministry has since finalized the draft bill to be presented in parliament for enactment. Under the law, the Uganda national oil company would retain a 15% stake in all oil projects in Uganda.
However, due to the ongoing presidential and parliamentary campaigns for the February 18 polls, the presentation of the bill has been delayed, but the government expects to have it passed by the middle of this year, Rubondo added. Read More