Continental Focus, International Reach

Uganda Short Lists Potential Refinery Partners

Thursday, December 19, 2013

Uganda’s plans to become a crude refiner took a step forward into its second phase of public tenders for lead investor/operator for the development, implementation, and operation of the planned 60,000 bpd oil refinery. The tender also includes all related downstream infrastructure.

The Request for Qualification (RFQ), which was launched on October 8, attracted responses from 75 firms. Eight consortia submitted detailed Statements of Qualifications, and six have been short-listed to receive the Request for Proposals (RFP). One of these firms/consortia will be selected during H1 2014 to lead the refining project.

The six consortia that have qualified include large, multi-national firms and include a consortium led by China Petroleum Pipeline Bureau; Marubeni Corporation; a consortium led by Petrofac; a consortium led by RT – Global Resources; a consortium led by SK Energy; and a consortium led by Vitol.

These six firms and consortia now enter the next phase of the selection process in which they will be issued an 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 project.

F.A Kabagambe-Kaliisa, Permanent Secretary of the Ministry of Energy & Mineral Development (MEMD), said: “We have been very pleased with the significant interest in Uganda’s 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.”

Irene Muloni (MP), Minister of Energy & Mineral Development (MEMD), said: “As we move forward to identify a final partner in this project, we 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.”

While the final partner is being sought, the government has been working to lawfully acquire the land needed for the 29 sq km refinery site in Hoima district. Throughout this process, Uganda has strictly adhered to the Resettlement Action Plan (RAP) 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.


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