{UAH} Today in 2008 ; Uganda

The government of Uganda has released a whooping Shs15bn to little known Ken Llyods Logistics, to be able to procure stock piles of 30 million litres of fuel to be kept in the government reserves. Llyods is owned by Ishta Kutesa daughter to minister Kutesa and her husband Albert Muganga.

On Wednesday, we ran an exclusive story of how the kids to powerful minister for Foreign Affairs, Sam Kutesa got a mega deal to manage the country's national oil reserves. We are blessed that more information has continued to trickle in on how the tender will be handled.

LLYODS EXPERIENCE DOUBTED
Immediately Llyods got the deal, most oil competitors became very skeptical about how it would manage that business arguing that Ken Llyods quoted prices far below the international oil prices.

Analysts in the industry argued that Ken Llyods lacked experience and a financial muscle to manage the reserves. The fear among analysts is that Ken Lloyds may quote lower prices at the beginning such that after getting the award, they later turn around to inflate prices when time comes to stock fuel citing increase in oil prices in the global market and to beg government for financial support.
" It appears they are just buying time to get the first consignment and thereafter turn around to ask for more money with revised terms," one of the key players in the oil industry commented.

With most of Ken Llyods directors in their thirties, they are however reported to be a powerful lobby in the awarding of government tenders.
Currently a barrel of crude oil costs US$102 (Shs181,900).
The move for government to award the deal of stocking up oil reserves followed the Kenya crisis that almost brought the Ugandan economy to a standstill.

Ken Llyods will now be storing oil in the government reserves in the government depots at Jinja, Gulu, Kasese and Nakasongola.
For sometime, energy minister Daudi Migereko was at pains to explain to Parliament what happened to the national fuel reserves. President Museveni recently shrugged off criticisms when asked about the empty oil reserves. He said that government would be tying up money unnecessarily if it got physically involved in the oil business. It is against such background that Museveni mooted the idea of a private investor in the whole project.


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*A positive mind is a courageous mind, without doubts and fears, using the experience and wisdom to give the best of him/herself.

 

 We must dare invent the future!
The only way of limiting the usurpation of power by
 individuals, the military or otherwise, is to put the people in charge  - Capt. Thomas. Sankara {RIP} '1949-1987

 *"Those who make peaceful revolution impossible will make violent

revolution inevitable"**…  *J.F Kennedy

 

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