The Ministry of Energy and Mineral Development has reiterated that no construction project in the oil and gas industry will take place until all affected persons have been compensated or resettled.
This comes after the governments of Uganda and Tanzania and the oil and gas companies on Sunday signed agreements that they said had given way for the projects to commence.
The projects include developments in the Kingfisher and Tilenga oil fields as well as the East African Crude Oil Pipeline from Hoima in Uganda to Tanga in Tanzania.
After the agreements, the communique said that the parties could now go ahead and contract companies for the projects.
Energy Minister Maria Goretti Kitutu says every person affected will have to be compensated, either in cash or resettled with a new homestead, before construction of any project commences.
Dr. Kitutu says it is not only about the compensation, but that the activities must follow all local and international procedures including conserving the biodiversity.
The EACOP General Manager Martin Tiffen says the compensation process is ongoing and that survey, valuations and resettlement plans for land in the Albertine Grabben have been approved by government and implementation will start soon.
Tiffen says that regarding the EACOP, they have not acquired any piece of land because the people have not been compensated yet.
Spice FM has learned that the construction of the pipeline will not takeoff in Uganda at the same time when work commences on the Tanzanian side.