KIKUUBE.
Construction of a major oil processing facility in western Uganda is taking shape , marking a key milestone as the East African nation moves closer to producing its first crude oil in July .
The Central Processing Facility (CPF) under the Tilenga Project will process crude oil transported from 29 well pads located north and south of the River Nile through an integrated network of pipelines, according to the Uganda National Oil Company (UNOC).
“Crude oil from 29 well pads located both north and south of the River Nile will be transported to the facility through an integrated network of pipelines,” UNOC said in a statement on Friday.
The facility is being constructed by Sinopec, one of the engineering, procurement and construction contractors for the project, which is operated by TotalEnergies.
Once completed, the Tilenga CPF will be capable of processing up to 190,000 barrels of oil per day at peak production, making it the central hub for crude processing in Uganda’s upstream oil sector.
A delegation from the Office of the Auditor General of Uganda visited the facility this week as part of an oversight tour of Uganda’s oil and gas operational areas.
UNOC said the visit allowed the delegation “to observe the scale of infrastructure under development and gain a deeper understanding of the operational and technical aspects supporting Uganda’s upstream oil and gas projects.”
The Tilenga Industrial Area hosts several key installations supporting the project, including the Central Processing Facility, drilling support base, construction camp and supply base.
The delegation also visited the Kasemene-2 well pad, one of the drilling locations in the Albertine Graben, where officials said water injection wells are being developed to maintain reservoir pressure and enhance oil recovery during production.
In the nearby Kingfisher Development Area operated by CNOOC, drilling operations are also advancing.
Once completed, the Tilenga CPF will be capable of processing up to 190,000 barrels of oil per day at peak production
Officials said the Kingfisher project currently has four well pads supporting drilling and production activities, with 18 development wells and four exploration wells drilled so far, bringing the total number of wells to 22.
Overall project progress at Kingfisher has surpassed 90% completion, marking a major step toward Uganda’s long-awaited first oil.
Uganda economic reports
Uganda holds an estimated 6.5 billion barrels of oil resources, of which about 1.4 billion barrels are considered recoverable, according to government data. At peak output, the Tilenga and Kingfisher projects together are expected to produce about 230,000 barrels per day, generating billions of dollars in export revenues and fiscal receipts over the life of the projects.
Officials say the production could significantly transform the economy, helping boost government revenues, support infrastructure development and reduce the country’s dependence on imported petroleum products.
Uganda currently spends an estimated $2 billion annually importing refined petroleum products, a bill that authorities expect will decline once crude production, refining and regional export infrastructure are fully operational.
UNOC said the projects are also advancing national content goals through employment of Ugandans, skills development programmes and engagement of more than 50 local contractors.
The Central Processing Facilities at Tilenga and Kingfisher will process crude oil, treat associated gas and manage water injection systems before the oil is transported for export through regional infrastructure including the planned East African crude oil pipeline.