Uganda secures oil refinery dealStaff Writer | April 14, 2018
With the support of the African Legal Support Facility (ALSF), the Government of Uganda has successfully signed an agreement with a consortium of American and Italian firms to finance and construct a $4-billion refinery in the country’s Hoima district.
Africa In the country’s Hoima district
The signing ceremony for the agreement took place on April 10, 2018 in Entebbe, Uganda.
The agreement establishes critical terms and conditions for the oil refinery’s development and represents an important milestone in the commercialization of Uganda’s natural resource endowments.
Following an emergency request made by the Ugandan government in June 2017, the ALSF responded by providing capacity building and training support in the area of contract negotiation to the Uganda National Oil Company.
The Facility also supported the Ugandan government by making available an international legal firm to provide advisory services for their ongoing negotiations.
The current reserves of crude oil in Uganda’s Albertine region are estimated to be approximately 6.5 billion barrels.
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.
Ever since commercially viable hydrocarbon deposits were discovered in Uganda in 2006, the Government of Uganda has launched a development strategy which seeks to translate their presence into regional development and inclusive economic growth. ■