Uganda is advancing plans to build a $4 billion oil refinery in Hoima District, a major milestone in the country’s long-awaited effort to add value to its oil resources and strengthen energy independence.
According to the Ministry of Energy and Mineral Development, the refinery—located in Kabale Parish, Hoima District—is designed to process 60,000 barrels of crude oil per day once operational. The project is a joint venture between the Uganda National Oil Company (UNOC) and Alpha MBM Investments, a United Arab Emirates–based firm.
Construction is scheduled for completion between late 2029 and early 2030, aligning with Uganda’s broader strategy to develop its petroleum sector in tandem with infrastructure projects such as the East African Crude Oil Pipeline (EACOP).
The refinery complex is strategically linked to the Kabalega Industrial Park, a 29-square-kilometre hub designated for petrochemical production, fertilizer manufacturing, and logistics services. Officials say the integration of the two facilities will create a regional value chain supporting energy, industry, and trade.
Government representatives have emphasized that the refinery will reduce Uganda’s dependence on imported petroleum products, stimulate job creation, and position the country as a refining and energy hub in East and Central Africa.
Energy experts note that the refinery project—first conceived over a decade ago—marks a significant step toward industrializing Uganda’s oil sector, which is anchored on estimated reserves of 6.5 billion barrels discovered along the Albertine Graben.
Further updates on financing, local content participation, and construction timelines are expected in early 2026 as preparatory works continue on-site.
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