Oil refinery to be located in Bunyoro

THE mini-oil refinery and power-generation plant will be located in Bunyoro in order to avoid transportation costs of crude oil, Prof. Edward Rugumayo has said.

By Emmy Olaki

THE mini-oil refinery and power-generation plant will be located in Bunyoro in order to avoid transportation costs of crude oil, Prof. Edward Rugumayo has said.

Rugumayo said the refinery would be in Kaiso-Tonya around the Mputa area.
He said while presenting a paper that the location of the refinery and power plant in Bunyoro is also aimed at avoiding or minimising environmental effects of moving the oil.

Rugumayo is a consultant for the project.
Last year, the Government signed an early production scheme with Tullow oil, in which the oil exploring company would build a top-up plant. The top-up plant will initially make heavy fuel oils to run a power plant that will produce about 50MW. The plant will also make kerosene and diesel.

Fred Kabanda, the principal geologist at the Petroleum Exploration and Production Department told a workshop at Hotel Africana in Kampala that the early production scheme is still on course and production would start in 2009 according to schedule.

Rugumayo said petroleum products from the mini-refinery would be transported by road to the market.