Uganda is seeking to conduct a survey of all its mineral wealth effective September this year, as it seeks to attract more investment in the sector, government officials said Monday. The government has signed a $5 million contract with South African-based Fugro Airborne Surveys to conduct mineral surveys in the country's four regions, according to a statement from the Ugandan Ministry of Energy and Mineral Development.
The survey will be conducted in West Nile, north east, central, and south central regions, the Ministry of Energy and Mineral Development's Permanent Secretary, Kabagambe Kaliisa, said.
The survey is aimed at compiling exploration data, which will be instrumental in reducing exploration risks and expenses. The data will be made public for all potential local and foreign miners to make decisions, he said.
Mineral exploration in Uganda has gained momentum after positive exploration results by Australian-based Hardman Resources Ltd. (HDR.AU), which is exploring three oil wells on Block 2, western Uganda. Tests on one well, Waraga 1, indicated that the well has a flow rate of up to 12,000 barrels of oil a day which is commercially viable. Tests on the second well, Mputa well, have also been positive.
According to the ministry, exploration costs are very expensive in Uganda due to the lack of geological data. Hardman Resources has, for example, spent up to $80 million in current exploration works in Uganda
