Tullow wins bid to keep tax payment

Tullow Oil has won a ruling at London’s Court of Appeal allowing it to keep the majority of a $346m (€257m) tax payment relating to a Ugandan asset deal completed four years ago.

Arising from its 2010 purchase of 50% of Ugandan assets held by Canadian firm Heritage Oil & Gas, Tullow shouldered a hefty capital gains tax bill which Heritage had refused topay.

The High Court in London ruled last year, that Heritage should repay Tullow almost $346m to cover the tax paid. Yesterday’s ruling upheld that position, after Heritage had appealed.