Uganda reports an increase in its recoverable oil reserves to 1.65 billion barrels, a development that places the country more firmly in Africa’s competitive energy environment. It is moving ahead with a $4 billion export pipeline to Tanzania while also building a refinery that will produce about 60,000 barrels per day. Ugandan companies have already secured $2.2 billion in project contracts, showing strong participation from domestic players. The reserve update gives investors more confidence and reinforces the long-term future of both export and refining operations. This progress comes as Uganda works toward starting commercial production by July 2026.
PAU executive director Ernest Rubondo explained that the rise in reserves comes from improved data quality and updated assessments across discoveries in the Albertine graben. He noted that the additional resources strengthen Uganda’s place in the global energy landscape and provide assurance to partners involved in the projects.
The country is also advancing the 1,443-kilometer heated crude pipeline to the Tanzanian port of Tanga. TotalEnergies, CNOOC, the Uganda National Oil Company, and the Tanzania Petroleum Development Corporation are backing the $4 billion pipeline, which is expected to transport close to 220,000 barrels per day. Alongside this, Uganda is developing a refinery that will reach a peak output of 60,000 barrels per day. The facility is guaranteed priority access to local crude, allowing national needs to be met before exports.
Rubondo confirmed that design work, pre-commissioning studies, financing, and the formation of the refinery company have been completed, clearing the way for full implementation. The latest reserve increase also eases earlier concerns about whether domestic supply could support both the refinery and the pipeline. He added that the new outlook gives clarity to investors and communities involved in the sector.
Local involvement has been significant, with Ugandan firms receiving $2.2 billion of the $7 billion in approved contracts. Nearly 20,000 people are directly employed, while more than 180,000 benefit indirectly across the wider economy. As reserves grow and major infrastructure takes shape, Uganda is steadily positioning itself as a prominent player in Africa’s energy landscape, drawing investment and supporting broad economic growth.
source: africa.businessinsider.com
African Energy Council