Tullow Oil is today expected to formally close its negotiatations with Total and Chinese company CNOOC Limited for the construction of an oil refinery in Uganda.

The financial news agency, Bloomberg, reports today that the actual deal could still be signed at a later date and won't be considered final or announced until it is approved by the Government of Uganda. It quotes officials from the three countries as saying that the partnership would take the form of an operating company controlling the integrated production process from oil fields to a pipeline and a refinery.

Tullow has already said each of the three partners would hold one third in the integrated project. The proposed agreement would involve a five billion-dollar cash payment and investment commitments.

Total and CNOOC are expected to manage the pipeline and refinery. Tullow will handle oil exploration and production.

Last month the Ministry of Energy and Mineral Development said it wouldn’t make a final decision until next month.