Uganda Intensified Talks with Alpha MBM on Refinery Deal

SEATTLE (Oil Monster): The talks between Ugandan authorities and Dubai, UAE-based Alpha MBM Investments have intensified over construction of an oil refinery in the East African country. It must be noted that Alpha MBM had emerged as the preferred bidder to finance the Hoima refinery, which is expected to have a processing capacity of approximately 60,000 barrels per day.

According to Gilbert Kamuntu, chief commercial officer at the Uganda National Oil Company (Unoc), the talks, centred on the structureand implementation of the project, have intensified and are still in progress. It considers Alpha MBM to be a high potential partner for the development of the Uganda refinery, he said. Furthermore, it expects to announce an investment decision at the earliest.

The Hoima refinery, once completed, will be one of the major crude processing plants in the East African region. It will reduce Uganda’s dependence on imported petroleum and diesel. Incidentally, Uganda possess significant crude reserves, especially in the country’s western region.

Uganda noted that the mega project is progressing as per plans and that it expects to produce first oil from the Hoima Refinery in 2025.