Building local capacity in the oil and gas sector

Uganda’s Oil and Gas Journey: A Year of Remarkable Progress and Industry Growth

Uganda’s oil and gas journey continues to shine brightly, with incredible milestones achieved, hard work paying off, and big dreams turning into reality. The year 2024 has been a testament to teamwork, growth, and progress, setting the stage for an even more exciting 2025.

One of the standout achievements is the East African Crude Oil Pipeline (EACOP) project, which has seen 99% of the land acquired, and over 800 kilometers of line pipes delivered. Welding is now underway, with 90 kilometers completed in Tanzania and Uganda, adding over 10 kilometers of progress. These efforts are making the pipeline a reality.

Tanzania’s achievements are equally impressive. The Nzega thermal insulation facility, launched in March, is insulating up to 100 kilometers of pipe monthly, while the Tanga marine terminal is more than halfway complete. The 2.1-kilometer jetty is 68% finished, all bringing Uganda’s crude oil closer to international markets.

The Tilenga and Kingfisher projects are also buzzing with activity. TotalEnergies’ Tilenga project has drilled over 90 wells, while CNOOC Uganda’s Kingfisher project has completed 13 wells. Central Processing Facilities are being built, and every construction milestone brings Uganda closer to oil production.

Ugandan companies have been key players in this transformation, securing 40% of the $5.3 billion spent—$2.1 billion in total. Local businesses earned $19 million in contracts, and joint ventures secured $300 million. Universities have also embraced technology, with software licenses helping to train the next generation of professionals.

Employment has seen a significant boost, with 15,000 direct jobs created, 90% of which are held by Ugandans. The ripple effect has created 35,000 indirect jobs, and over 100,000 additional opportunities have been generated. Ugandans now hold 64% of management roles and 85% of technical positions, making this a proud moment for the nation. 🇺🇬

Exciting developments are on the horizon, with refinery negotiations nearing completion. The Uganda National Oil Company (UNOC) is stepping up as the sole petroleum importer, which will streamline operations.

On the global stage, Uganda made its voice heard at COP29, advocating for a just energy transition and reaffirming its commitment to sustainable progress.

As the oil and gas sector continues to thrive, the Industry Enhancement Centre (IEC) has played a pivotal role in facilitating this growth. Through extensive training programs for industry stakeholders, the IEC has empowered businesses and individuals to leverage opportunities in the sector. These initiatives have not only equipped the workforce with critical skills but also ensured that local players remain at the heart of Uganda’s energy transformation.

Despite the challenges of 2024, including logistical hurdles and global conflicts, Uganda’s oil and gas sector has triumphed, proving its resilience and unity. Looking ahead to 2025, the future is bright, full of potential, and full of opportunities to build on this year’s success.