Petroleum Curse?


Recently, UK-based oil exploration and production company Tullow Oil discovered reserves of nearly 2 billion barrels of oil in rural western Uganda. The largest finds are in the Lake Albert Basin which lies between Uganda and Congo.

This discovery is being called the largest onshore oil discovery in sub-Saharan Africa in 20 years and  is being compared to the so called Nigerian petroleum curse in which billions of dollars in oil revenues are siphoned off by corrupt leaders while surrounding communities still live in poverty.

My research thesis calls for immediate attention on the following issues: There lacks local expatriates to carry out this exercise and as reason foreign expatriates are called upon to transfer skills into the country, which the locals can easily adapt.

Uganda has a very different type of crude oil (heavy waxy crude) which is not liquid and requires to be heated up to 50 degrees without damaging it which poses as a challenge calling for high expertise. It is predicted that while Uganda’s political risk will increase, western states will have less say in Uganda matters.


There will be transfer of skills and technology into the country and Ugandans will be equipped with skills required for the sector through formal and industrial training," meaning that foreigners will do most of the work. So does this work for the good of the country or not?

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