Landlocked Uganda is planning on becoming a petroleum hub for East Africa. This will be the result of the development of oil fields located in Lake Albert, a large lake that forms part of the Great Lakes of East Africa. The East African Crude Oil Pipeline (EACOP), which is nearing completion despite opposition from Western-funded NGOs, will carry the oil from Lake Ablert to the Indian Ocean via Tanzania. While the export of the crude oil will generate much needed revenue to further the country’s industrial development, especially railways.
The oil will also be refined for both domestic and potentially regional markets through the construction of an oil refinery at Albertine Graben, which lies near the oil fields and is located alongside Lake Albert. The refinery will have a capacity to refine 60,000 barrels of oil per day and will cost $4 billion to construct with a completion date of 2029 or 2030. The government owned Uganda National Oil Company (UNOC) will hold a 40% interest in the project while Alpha MBM Investments LLC, based in the United Arab Emirates, will hold a 60% stake. The refinery promises to reduce Uganda’s heavy reliance on imported petroleum products: currently about $2 billion yearly.
