According to Andrew Ssennabulya, senior facilities engineer at the Petroleum Authority of Uganda (PAU), 228 oil wells have been drilled in the country, with a required minimum of 170 to launch production. The remaining part of the work involves installing the tubing, and this process takes significantly less time than the drilling itself.
The infrastructure remains a more significant сдерживающим factor. The central oil collection point (CPF) at the $6 billion Tilenga project, which is being implemented by TotalEnergies EP Uganda in Buliisa County, was 68.6% complete by the end of July, which is below the 80% level that PAU estimates is required to begin commissioning work.
At the same time, the CPF at the $2.5 billion Kingfisher project, operated by CNOOC Uganda Limited in the Kikuube district, is 99 % complete and is already undergoing commissioning procedures.
The East African Crude Oil Pipeline (EACOP), 1,443 kilometers long and worth 5 billion dollars, designed to transport Ugandan paraffinic oil heated to 50°C, will become the longest heated pipeline in the world; its readiness is 91%. «The three flagship projects — Tilenga, Kingfisher and EACOP — must be ready for us to announce the start of production, as they are synchronized», said Ali Ssekatawa, Director of Legal and Corporate Affairs at PAU. It is expected that at peak production, Tilenga will produce 190,000 barrels of oil per day, and Kingfisher — 40,000 barrels per day, which together will yield 220,000 barrels per day. Both facilities will also separate gas and water from crude oil, generate electricity for production needs, and produce liquefied petroleum gas (LPG).
Excess electricity from Tilenga will be transmitted to the national grid via an underground cable connecting the project with Kabale, said PAU cost control manager Angela Nalveyiso. The line is designed as a two‑way line, which will make it possible to receive energy from the grid during periods of reduced gas production. The Governor of the Bank of Uganda, Michael Atingi‑Ego, told interested parties that the country’s current account balance should turn into a surplus within three to four years thanks to oil exports. The oil refinery, which is planned to be built in the Kabalega industrial park, is still in the design stage, and the final investment decision is expected next year.
The development of the industry is already being felt beyond the drilling sites. Income related to oil — including capital gains tax, land use fees, licensing and training fees, as well as royalties — is deposited into a special Oil Fund. In May 2024, the Ugandan parliament approved the allocation of 152 billion shillings from this fund for the construction of a stadium in the city of Hoima, which became the largest payment from the fund to date. The oil infrastructure also contributed to the emergence of Kabaleha International Airport and new roads throughout the Albertine Graben.
Ahead of the start of production, regulatory bodies and the judicial system are taking measures to reduce legal risks in the sector. PAU, UNOC, the Bank of Uganda, and the Uganda Revenue Authority conducted training for court staff, followed by a week‑long tour of oil and gas industry facilities to prepare the courts for disputes that are expected to arise after the start of first oil production.
The Chairman of the Supreme Court, Flavian Zeija, stated that investors’ confidence directly depends on how promptly the courts handle disputes, and he urged judges not to block major projects with the help of injunctions. «That would be tantamount to treason», he said, commenting on the possibility of suspending projects such as Tilenga or Kingfisher. The government is also building a system within the country to train specialists for the industry.
The Ugandan Petroleum Institute in Kigumba, which can accommodate up to 300 students and has already trained citizens of Uganda and Tanzania, is preparing to formalize a partnership with the Judicial Training Institute, the Chairman of the Supreme Court announced during the visit. According to officials, the requirements for using local resources are already creating jobs for Ugandans in this sector, and people affected by the implementation of the projects have received compensation and been relocated even before construction began.
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