What you need to know:
- The proposed regional refinery is expected to strengthen East Africa’s energy security, support industrialisation, and complement ongoing infrastructure projects
The Permanent Secretary at Uganda’s Ministry of Energy and Mineral Development, Eng Irene Bateebe, says the country’s refinery plans remain commercially viable due to the country’s quality crude oil and growing regional market, further reinforcing its course to produce 60,000 barrels per day.
The proposed regional refinery is expected to strengthen East Africa’s energy security, support industrialisation, and complement ongoing infrastructure projects such as the East African Crude Oil Pipeline (EACOP), linking Hoima in Uganda to Tanga in Tanzania.
The proposed $15 billion to $17 billion oil refinery project with a planned capacity of 650,000 barrels of crude oil per day is expected to serve Uganda, Kenya, Tanzania, Ethiopia, South Sudan, and the Democratic Republic of Congo (DRC), among other regional markets.
“Uganda will continue engaging stakeholders and partners on both the national refinery project and wider regional energy cooperation initiatives,” a statement from the State House dated May 17, 2026, said.
Her assurance comes as President Museveni held talks with Nigerian billionaire industrialist, Mr Aliko Dangote, at which he expressed Uganda’s support for a proposed regional oil refinery project to strengthen East Africa’s energy and industrial cooperation.
President Museveni said Uganda’s planned refinery in Hoima will continue alongside broader regional discussions aimed at establishing a larger East African refinery capable of serving multiple countries.
“We have no problem supporting a broader regional refinery that can guarantee energy security for the region while Uganda also develops its own refinery,” he was quoted in the same statement during a meeting at State House, Nakasero.
Mr Museveni further suggested that regional cooperation will help East African countries benefit more from shared infrastructure and industrial projects. “We shall support Mr Dangote and are ready to buy shares in the regional refinery because our goal is regional integration.”
Mr Museveni also emphasised Africa’s shift from exporting raw materials and focus on processing its resources locally in order to create jobs, build industries, and strengthen economies, adding that Uganda’s oil journey had taken longer because the government insisted on ensuring that the country benefits from value addition before exporting crude oil.
The discussions followed earlier engagements Mr Dangote had with East African leaders during the “Africa We Build” Summit 2026 held in Nairobi, Kenya, where proposals for a major regional refinery were discussed.
Mr Dangote said: “This is a continuation of discussions we held with regional leaders in Nairobi. We want to establish a refinery that can support East Africa. The project will process crude oil from different sources across the region and help reduce dependence on imported petroleum products.”
He added that his team is currently assessing possible locations for the refinery, including Tanga, Mombasa and Lamu, while consultations with regional governments continue, and assured President Museveni that the refinery will create employment opportunities for East Africans.
The billionaire investor has extended an invitation to officials from Uganda’s energy sector to the Dangote Refinery in Nigeria for further discussions and technical engagement.
Monitor
