Gov't selects four firms for oil refinery

PIC: Irene Muloni, the Minister of Energy

Government has selected four investors in the first round of the oil refinery bidding process. According to Irene Muloni, the Minister of Energy, out of the four companies, which have been shortlisted in the bid to construct the sh15 trillion oil refinery, one company will be selected at the end of this month.

Muloni didn't reveal the four shortlisted companies. However, Uganda had picked a consortium led by RT Global Resources, a Russian company, but it pulled out, forcing over six other companies to bid--SNC Lavalin of Canada, Yatra Ventures LLC and Apro, both from the US, IESCO of Turkey, Guangzhou Dongsong Energy Group from China, Spain's Profundo, Bantu Energy, a Canadian and Ugandan consortium and Italy's Maire Tecnimot.

Muloni said at the end of this month, a winner will be announced.Uganda has set 2020 as the oil production target.
Commenting on the Hoima-Tanga pipeline, Muloni told journalists on Wednesday that inter-governmental meetings between Uganda and Tanzania are ongoing, and at the end of the year, an agreed position will be communicated.

"We expect to get $2.5b every year from oil," she said, warning NGOs and other detractors to stop destabilising the oil-related projects that the country has undertaken.

Muloni cited land acquisition and funding gaps as the major setbacks to her sector.

The minister added that plans to set all the infrastructure to spur the production of oil will be finalised by the end of this year, especially the oil refinery and pipeline.