Uganda is expanding its oil exploration efforts, potentially increasing its proven reserves of 6.5 billion barrels. Energy Minister Ruth Nankabirwa announced that geologists are exploring the Moroto-Kadam and Kyoga Basins for potential commercial oil and gas deposits. Initial results from the Moroto-Kadam Basin are promising. Initial findings in the Moroto-Kadam Basin suggest the possibility of commercial quantities of oil and gas.
Uganda’s oil journey began nearly two decades ago when commercial quantities of crude were discovered in the Albertine Graben basin, near the border with the Democratic Republic of Congo. Despite this, production has been delayed and is not expected to begin until next year. The Albertine Graben is currently the only basin out of five potential regions in Uganda that has been successfully explored.
The Tilenga and Kingfisher oil fields in the Albertine basin are primarily owned by TotalEnergies, with China’s CNOOC and Uganda’s national oil company holding smaller stakes. Challenges like disagreements over field development, taxation issues, and insufficient infrastructure have delayed production. Currently, only 72 of the planned 457 wells have been drilled, and Uganda is seeking funding from Chinese banks for the East African Crude Oil Pipeline project.
