Uganda is moving closer to oil production with Energy and Mineral Development Minister Ruth Nankabirwa announcing that the country’s first barrel of oil is expected by the end of 2025.
Despite delays due to concerns from NGOs and civil society, oil and gas projects are progressing in Uganda, with work underway on a total of 457 wells and 35 platforms. In a recent address to the Ugandan Parliament, Minister of Energy and Mineral Development, Ruth Nankabirwa, announced that Uganda is on track to extract its first barrel of oil by the end of 2025 .
Eleven wells have already been drilled, eight at Tilenga in the North West and three at Kingfisher in the West, with a respective production capacity of 190,000 and 40,000 barrels of oil per day.
Construction of the central processing facilities is underway in the Tilenga and Kingfisher areas, with completion expected by 2025. To date, work is 33% completed in Tilenga and 12% in Kingfisher.
Development and production wells at the Kingfisher field were launched in January 2023, followed by those at the Tilenga project in June of the same year. In a bid to maximize profits from natural resources, the Ugandan government has allocated other deposits to companies for exploration.
“A comprehensive national oil policy”
Ruth Nankabirwa detailed: “We have issued licenses to Armor Energy Limited for the Kanyawataba region, Oranto Petroleum Limited for Ngassa Shallow and at depth, and more recently to UNOC for the Kasurubani block and DGR Global for the Turaco block. »
The Minister of Energy and Mineral Development is currently working on a comprehensive national petroleum policy to optimize the use of petroleum products and recognize energy transition initiatives.
Uganda also plans to build a refinery with a capacity of 60,000 barrels per day in Kabaale, in the east of the country. Regarding the East African Oil Pipeline (EACOP), civil works began in August 2023, with action plans for the resettlement of people affected by the pipeline.