Museveni reaffirms Uganda’s push for own oil refinery
“Our major focus remains the establishment of the refinery because it will support a whole chain of other developments,” he said.
Kikuube: President Yoweri Kaguta Museveni has reaffirmed Uganda’s determination to establish its own oil refinery, saying the project remains critical to ensuring maximum profitability from the country’s petroleum resources.
Museveni made the remarks on Wednesday during a ceremony at the Kingfisher Development Area in Kikuube District.
The President said local refining would enable Uganda to benefit from economies of scale associated with domestic production, reduce transit costs and cut the country’s heavy expenditure on imported petroleum products, estimated at about USD 2 billion annually.
“The refinery project will actualise our dream and anchor Uganda among the producer countries of petrol, diesel, aviation fuel, Liquefied Petroleum Gas and other oil by-products,” Museveni said.
He stressed that Uganda must add value to its natural resources rather than exporting raw materials.
Museveni noted that the refinery remains one of Uganda’s major priorities despite the ongoing construction of the East African Crude Oil Pipeline (EACOP), which will transport Uganda’s crude oil to Tanzania for export.
The President further said the ongoing petroleum exploitation programme is expected to generate more than 80 megawatts of electricity, valued at about USD 30 million annually, and Liquefied Petroleum Gas for cooking estimated at approximately USD 7 million annually.
“Our major focus remains the establishment of the refinery because it will support a whole chain of other developments,” he said.
Museveni also commended the speed at which oil exploitation works are being implemented in the Albertine Graben, particularly at the Kingfisher Oilfield, but called for further efforts to expedite the works and ensure Uganda achieves its first oil target.
He said the country’s deliberate investment in capacity building and training of Ugandans in the oil and gas sector was beginning to pay off.
“Our capacity-building journey for expertise in the oil sector has started paying off,” Museveni noted.
The President also revealed that Uganda has additional unexploited oil reserves outside the Albertine Graben, saying the government plans to scale up exploration and exploitation activities in other parts of the country.
He identified the Karamoja Basin, Lake Kyoga Basin and the Kiboga-Kyankwanzi area among the regions with potential for petroleum resources.
Museveni also commended the governments of China and France for encouraging companies from their countries to invest in Uganda and called for more strategic investments to support industrialisation, value addition and economic transformation.
Prime Minister Robinah Nabbanja said the Kingfisher Oilfield Development Project is already having a significant impact on Bunyoro Sub-region and other parts of the country.
She pointed to major infrastructure developments associated with the oil and gas sector, including Kabalega International Airport, Kabalega Industrial Park and the expansion of roads in the region.
Nabbanja also cited the ongoing development of Hoima City Stadium ahead of the 2027 Africa Cup of Nations, improvements at Hoima Regional Referral Hospital and various socio-economic support programmes targeting communities.
“The Kingfisher Oilfield development is already bringing major infrastructure and socio-economic benefits to the people of Bunyoro and Uganda at large,” Nabbanja said.
Meanwhile, the Minister of Energy and Mineral Development, Dr Ruth Nankabirwa Ssentamu, said Uganda was crossing an important threshold in its socio-economic transformation because of the landmark progress registered in the petroleum sector.
She highlighted the country’s growing oil investment portfolio and future projections, saying the ultimate objective remains the establishment of a refinery to support downstream petroleum development and other related industries.
“Uganda’s ultimate objective remains the establishment of the refinery, which will support a wider chain of industrial and economic developments,” the minister said.
The Kingfisher Oilfield Development Project is one of Uganda’s flagship petroleum projects and is expected to contribute significantly to the country’s journey towards first oil production and broader economic transformation.
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