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Tullow v Heritage

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Tullow Oil v Heritage Oil, High Court, 2011. Tullow issuing Heritage, its former partner in Ugandan oil licences, for $313mn in the high court in London. Tullow says it was forced to pay the government of Uganda $313, 447, 500 as 'tax' in April 2011 after Heritage had escaped capital gains liability on its $1.6bn sale to Tullow of Ugandan oil exploration licences at Lake Albert. Tullow says, as the buyer of the licenses, that it had an indemnity agreement with Heritage that covers the tax liability and that it should be reimbursed accordingly. Heritage replies in its defence that it owed no tax to Uganda and Tullow had no right or reason, beyond politics, to pay the amount in April 2011 on its behalf. These documents are the statements of case (or pleadings) submitted to the court by both sides ahead of the expected trial date in 2012. For details of the production sharing agreements go to www.carbonweb.org/uganda

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