Kampala — The government of Uganda is looking for investors with whom they will partner to raise funds to construct an oil refinery, Peter Lokeris, Uganda's Minister of State for Mineral Development told East African Business Week in an interview.
Top government officials including President Yoweri Museveni have categorically expressed their desire for Uganda to build and own its own oil and gas refinery. Government conducted a feasibility study on refining oil in Uganda and identified a village- Kabale in Hoima district as the right site.
The minister also revealed that the government will not foot the entire bill of building the refinery a reason they are searching for people who have the money to do the job.
Mr. Loker is said government currently can incur about 20% of the total cost of the refinery but refused to say how much is needed for the completion of the refinery.
"We are talking about percentages, at the moment we are looking at 20 percent of the total cost involved," the minister said. He reiterated that government will remain in control of the infrastructure.
Uganda is close to 4bn barrels of oil and gas following new findings of oil deposits in northern Uganda and through the entire albertine graben.
The question of whether Uganda should process its oil within the country or export crude has been raging with a bigger section of Ugandans preferring a refinery built inside Uganda.