Anglo-Irish energy firm Tullow Oil said yesterday it has agreed to sell part of its Uganda assets to France’s Total and China’s CNOOC for $2.9 billion.

The announcement should clear the way for a $10 billion refinery in the oil-rich Lake Albert region of the east African country.

“Tullow Oil plc is delighted to announce that yesterday it signed sale and purchase agreements with CNOOC and Total in respect of the sale of a one-third interest to each party of the interests Tullow holds in exploration areas 1, 2 and 3A in Uganda,” it said in a statement.

“The terms of the transactions include a total cash consideration payable to Tullow of $2.9 billion.”

Tullow, which is a major player in Africa, will retain a one-third stake and will also make “certain tax-related payments” to the Ugandan government.

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