China National Offshore Oil Corporation (CNOOC) is considering a re-tender of a front-end engineering and design contract for its $2 billion Kingfisher oil project in Uganda in a move to cut capital spending.
Well-placed sources said CNOOC’s budget constraints could also prompt it to change Kingfisher’s development concept from stick-build to modular fabrication and on-site installation.
Kingfisher will be the first project exploited in a phased development of a 2 billion barrel oil play in Lake Albert, with later stages operated by France’s Total and UK-based Tullow Oil.
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