China's CNOOC in talks for Ugandan oil block -report

HONG KONG Oct 2 (Reuters) - China's top offshore oil producer CNOOC Ltd. (0883.HK) (CEO.N) is in talks with Uganda to invest in a large project led by Tullow Oil (TLW.L) that could be worth $5 billion-$6 billion, Dow Jones reported from London on Friday, citing an unnamed Ugandan official.

The potential deal may include the pipeline and refinery, plus a share of the oil block costs, and represent an investment of $5 billion-$6 billion, the report said, citing unnamed industry sources.

Europe's largest independent explorer Tullow declined to comment and calls made to CNOOC were unanswered on Friday.

A source familiar with the matter told Reuters that the data room was not yet open, but CNOOC was trying to position itself ahead of the sale.

The news comes days after the Nigerian government confirmed that CNOOC was in talks with Nigeria to buy proven reserves. [ID:nLT576633]

Chinese state oil giants including CNOOC have been scouring the world for acquisitions to satisfy growing oil demand back home and ensure energy security, scooping up assets in Africa, the Middle East, South America and Canada.

Tullow said in late August that it planned to sell part of its stake in a prolific oil block in Uganda in the next 12 months. [ID:nLQ102481] (Reporting by Joseph Chaney, Sui-Lee Wee in HONG KONG and Tom Bergin in LONDON; Editing by Chris Lewis)