Uganda’s first oil shipment docks at Mombasa in move toward direct importation

KAMPALA, Uganda | Xinhua | Uganda said Wednesday that its first shipment of oil has docked at the Kenyan seaport of Mombasa as Kampala moves away from importing the critical commodity through third parties.

Uganda National Oil Company (UNOC), a state-run oil agency, said in a post on X, formerly known as Twitter, that the vessel carrying 58,000 metric tonnes of petrol is now stationed at Mombasa.

“It is the maiden vessel as UNOC implements the sole importation of fuel products mandate,” the agency said. “The fuel will get into the Kenyan pipeline infrastructure and later to Uganda via trucks.”

This symbolizes the beginning of a new era of energy independence for the landlocked country, which has been importing its oil products through private enterprises, UNOC said.

UNOC signed deals with the Kenya Pipeline Company (KPC) in May, allowing Uganda to import oil through the Kenyan port of Mombasa, and to store oil with the KPC.

Uganda said that UNOC, as a sole importer, will fortify the government’s ability to ensure a consistent supply of petroleum products.

Uganda has been involved in back-and-forth negotiations with neighboring Kenya, including a court battle, where private oil marketing companies that have supplied Uganda for decades protested the state-run UNOC for importing the oil directly.

Almost 90 percent of Uganda’s petroleum imports currently traverse Kenya, accounting for approximately 2.5 billion liters, valued at about 2 billion U.S. dollars, annually, according to UNOC. ■