The Independent Uganda: You get the Truth we Pay the Price
Kampala, Uganda | THE INDEPENDENT | The government has shifted the timelines for the possible flow of oil and gas being developed in the Albertine Graben.
The timelines have been shifting due to a delay in putting in key infrastructure like the refinery and the East African crude oil pipeline, among others.
According to the Ministry of Energy and Mineral Development, oil should now begin flowing by the end of June 2026.
The new timeline was announced by Frank Mugisha, the assistant commissioner at the Ministry of Energy and Mineral Development. He was representing the Minister of Energy and Mineral Development, Ruth Nankabirwa, at the just concluded Third Annual Joint CSO Conference in Kampala.
According to the Mugisha, the development of the projects is so far at 60% completion. The projects include the Kingfisher project located in Kikuube and the Tilenga project under TotalEnergies located in Bulisa and Nwoya districts.
Information from Petroleum Authority of Uganda indicates that over 100 wells had been drilled by CNOOC and TotalEnergies by mid-March 2025.
Many Ugandans have raised concern about the delay in oil production. It has been almost two decades since commercial oil reserves were discovered in the Albertine Graben.
The concern was this time around raised by Dr. Arthur Bainomugisha, the Executive Director, Advocates Coalition For Development and Environment (ACODE)
Frank Mugisha explained that the governments had to put up the law and regulations to guide the sector before oil production begins.
“So I want to reassure you and allay your fears following the decision that the first oil timeline that has been set for June 2026—there is no turning back, there is no further extension,” said Mugisha.
However, a source who is closely monitoring the development said that while it may be possible to get the oil out of the ground by June 2026, it is unlikely that the refinery project would have been completed.
At the end of March, Uganda finalized a deal with UAE-based Alpha MBM Investments LLC to build the crude oil refinery in Hoima District.
The refinery is designed to process 60,000 barrels of crude oil daily. It is expected to significantly reduce Uganda’s reliance on imported fuel.
The agreement includes a 60% stake for Alpha MBM Investments and a 40% stake for the Uganda National Oil Company (UNOC). The government is yet to sign more agreements with the investor. It is not yet clear when construction will take off.
It is likely that once the East African Crude Oil Pipeline is ready, all the crude will be exported until a refinery is up and running.
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