By Ibrahim Kasita
Five consortia and one independent firm have been shortlisted to submit their detailed tender bids to build and operate the proposed 60,000 barrels per day oil refinery and related pipelines and infrastructure.
The short-listed firms include Consortium led by China Petroleum Pipeline Bureau, Consortium led by Petrofac, Consortium led by RT – Global Resources, Consortium led by SK Energy and Consortium led by Vitol.
Japanese conglomerate, Marubeni Corporation, was also shortlisted. The six consortia and firms now enter the next phase of the selection process in which they will be issued a Request for Proposal (RFP) expected to be released over the next 30 days.
They will then be asked to submit a full proposal for the financing, development and operation of the Uganda Refinery Project.
Fred Kabagambe-Kaliisa, thePermanent Secretary of the Ministry of Energy & Mineral Development (MEMD), said Uganda was pleased with the significant interest in the Refinery Project.
“The interest in the Project RFQ clearly demonstrates that the international community sees real economic and energy opportunities within Uganda’s borders and the broader region.”
The Request for Qualification (RFQ), which launched on October 8, 2013, attracted responses from 75 firms.
Eight consortia submitted detailed Statements of Qualifications, and six were short-listed to receive the Request for Proposals (RFP). One of these firms/consortia will be selected during the first half of 2014 to lead the Uganda Refinery Project.
Irene Muloni (MP), Minister of Energy & Mineral Development (MEMD), said as Uganda move forward to identify a final partner in this Project, the country will remain committed to an open and transparent process.
“We look forward to working with our final partner to develop this Refinery and further unlock Uganda’s vast energy resources.”
As the final partner is identified, the GOU has been working to lawfully acquire the land needed for the 29 sq. km refinery site in Hoima district.
Throughout this process, the Government has strictly adhered to the resettlement action plan framework designed to ensure stakeholders are appropriately consulted and compensated with regard to land acquisition for the Project.
The land will house the refinery itself, as well as auxiliary facilities and industries that may be developed in the future.
The Government has also commenced payments to affected persons for their land and property in the area for the refinery development.
The Refinery Project will help meet Uganda’s growing needs for energy and petroleum products, as well as improve the country’s energy security by reducing the need to import petroleum products.
The Project will also contribute to economic gains for Ugandans as the construction of the refinery alone is estimated to create 4,000 to 6,000 temporary jobs.
Once complete, ongoing refinery operations are expected to create more than 650 permanent jobs, most of which will be held by Ugandans.