Uganda secures $4 billion for milestone oil refinery

Flag of Uganda

Flag of Uganda

from HASSAN ONYANGO in Kampala, Uganda
KAMPALA, (CAJ News) UGANDA has secured funds for the construction of a US$4 billion oil refinery, representing an important milestone in the commercialisation of the East African country’s natural resource endowments.

With the support of the African Legal Support Facility (ALSF), the government of President Yoweri Museveni has signed an agreement with a consortium of American and Italian firms to finance and construct the facility in the western Hoima district.

“This agreement is a key step towards the construction of the oil refinery in Hoima District since it ensures development, design, financing, construction, operation and maintenance of the facility,” said Museveni.

The oil refinery is expected to have a 60 000 barrels-per-day processing capacity, and is expected to intensify production shortly after the facility’s inauguration.

The current reserves of crude oil in Uganda’s Albertine region are estimated to be approximately 6,5 billion barrels.

Josephine Wapakabulo, Chief Executive Officer of the Uganda National Oil Company (UNOC), said the development of the refinery would trigger a number of other investments in the energy-based industries and thus enhance economic development in Uganda and will contribute to the achievement of middle-income status.

“This project in particular, is a game changer for the country and for UNOC,” Wapakabulo said.

Since commercially viable hydrocarbon deposits were discovered in Uganda in 2006, the government has launched a development strategy which seeks to translate their presence into regional development and inclusive economic growth.

– CAJ News

 

 

 

 

Short URL: http://cajnewsafrica.com/?p=26016

Posted by on Apr 14 2018. Filed under Africa & World, Finance, Finance & Banking, Investing, Investing, Regional. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

Connect to CAJ News on Facebook

Subscribe to our Newsletter

Photo Gallery

Log in
All material © CAJ News Africa. Material may not be published or reproduced in any form without prior written permission.