Total to Acquire Majority Interest in Uganda Lake Albert Project

Total and Tullow have entered into a package agreement under which Total will acquire an additional 21.57% interest from Tullow in the Uganda Lake Albert oil project, bringing the French company’s total holdings to 54.9%.

The overall consideration paid by Total to Tullow will be $900 million, representing a reimbursement of a portion of past costs, payable in installments along the development of the project, with an initial payment of $100 million at closing. Total, which has had a presence in Urganda since 1955, hopes to strengthen its position in this competitive project and pave the way for sanctioning in the near future.

“Following the agreement on the Tanzanian export pipeline route, this transaction gives Total a leadership position to move this project efficiently toward FID in the current attractive cost environment, while providing strong alignment and a pragmatic financing scheme for our partner Tullow,” said Patrick Pouyanné, Total chairman and CEO.

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