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China to send delegation to Uganda on oil

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By Emmanuel Gyezaho  (email the author)
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Posted  Thursday, August 19  2010 at  00:00

China is sending a high-level delegation to Uganda next month to explore possibilities of building the much-needed oil refinery in the country.
Uganda’s ambassador to China Charles Wagidoso told Ugandans in China this week that the delegation from SINOPEC, China Petroleum & Chemical Corporation (Sinopec Group), a petroleum and petrochemical group incorporated by the State in 1998, will be travelling to Uganda on an oil mission.

“The President of Uganda has been emphasising that we will not export crude oil and that we must refine it from here. The Minister for Energy has been to China for talks,” Ambassador Wagidoso said.
“SINOPEC officials will be visiting Uganda sometime next month (September) for more negotiations.”

SINOPEC is a listed company on domestic and international stock exchanges namely the Hong Kong, New York and London, with strong oil and petrochemical core businesses and a complete marketing network.
It is one of the largest integrated energy and chemical company in China.

On backbone project
Answering questions regarding the National Back Bone Infrastructure and E-Government projects being constructed by another Chinese multinational, Huawei Technologies Company Ltd, Ambassador Wagidoso warned Ugandans against politicising the project calling it a milestone for the country’s development.

“Optic fibre technology is a fairly new technology to us and the benefits there of are many. The technology and the activities involved with its implementation are naturally bound to arouse much speculation,” he said.
The World Bank in the African Infrastructure Country Diagnostic report released recently said deployment of backbone infrastructure has a 1 per cent contribution to national development.

Members of the parliamentary Committee on Information Technology in May gave Huawei Technologies, until September to complete Phase II of the $106m project and move on to the Third phase.

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On the cost of projects as opposed to Rwanda which has similar project, the Ambassador explained that the cost for the NBI is $62 for the 2,130km cable and $40 for e-Government.