Uganda National Oil Company

Uganda National Oil Company, commonly abbreviated as UNOC, is the petroleum company established by the Government of Uganda to participate in the country's oil and gas industry on behalf of the state. It is a limited-liability company wholly owned by the Ugandan government. The legal basis for a national oil company was provided by Uganda's Petroleum (Exploration, Development and Production) Act of 2013, and UNOC's founding board was inaugurated on 23 October 2015. UNOC was created as part of Uganda's broader effort to convert discoveries in the Albertine Graben into public revenue, industrial capacity, and improved energy security. Government policy has emphasized sustainable use of petroleum resources, poverty reduction, reliable access to petroleum products, and the creation of enduring value for Ugandan society. Uganda's discovered petroleum resources have been estimated at approximately 6.5 billion barrels in place, of which about 1.4 billion barrels are considered recoverable. Under production-sharing arrangements involving Tullow Oil, TotalEnergies, and China National Offshore Oil Corporation, the Ugandan state may participate in production. UNOC is the vehicle intended to hold and manage that state participation. The company's responsibilities extend beyond upstream participation. UNOC is expected to invest in the planned Uganda Oil Refinery on behalf of the state, with the government intended to hold a substantial stake, and to participate in the East African Crude Oil Pipeline. It also manages petroleum storage and has developed a role in bulk importation and distribution of refined products. Its subsidiaries include Uganda Refinery Holding Company and Uganda National Pipeline Company. UNOC has also been associated with the Kampala Storage Terminal, a planned large-scale storage facility intended to strengthen national reserves and support distribution. A major operational milestone came when UNOC assumed management of the Jinja Petroleum Storage Terminal in 2017. The terminal is a joint venture with One Petroleum Limited and has stated storage capacity of 30 million litres. Through the terminal, inland logistics, and relationships with oil marketing companies, UNOC has sought to connect imported refined products with Uganda's domestic market and neighboring countries. In the upstream and infrastructure sphere, UNOC has been involved in efforts to handle test crude produced during exploration. The company organized tenders to transport and sell more than 45,000 barrels of waxy test crude from fields in western Uganda to the Kenyan port of Mombasa. The process was delayed by difficulty finding a credible buyer, and the crude was subsequently stored at several field locations while disposal arrangements were pursued. UNOC's downstream role expanded significantly after changes to Kenya's petroleum-import system disrupted Uganda's established supply route. In late 2023, Uganda announced that UNOC would become the sole importer of refined petroleum products for the Ugandan market from January 2024. The arrangement contemplated a five-year supply agreement with Vitol Bahrain EC, a Vitol Group company, and imports through Tanzania's port system, alongside development of a 320-million-litre Kampala Storage Terminal. Uganda and Kenya later resolved their dispute, allowing UNOC to seek an oil-marketing-company licence and use Kenyan pipeline infrastructure between Mombasa and Kisumu. In March 2024, UNOC began limited sales to oil marketing companies as it tested its supply chain and logistics. The company is therefore positioned as both a strategic state investment vehicle and a commercial petroleum operator. Its scope includes state participation in oil production, refinery and pipeline investments, storage, bulk petroleum trading, import coordination, and regional distribution. Its future importance depends on the development of Uganda's oil fields and export infrastructure, the construction of planned refining and storage assets, and its ability to manage commercial operations while pursuing national energy-security objectives.

Uganda's national oil company emerged from the government's attempt to create a formal institutional vehicle for state participation in petroleum development. Uganda's energy policy and National Oil and Gas Policy identified petroleum as a potential contributor to economic transformation, while also stressing supply security, affordability, and long-term public value. The Petroleum (Exploration, Development and Production) Act of 2013 provided for the establishment of a national oil company. UNOC's board was inaugurated in October 2015, marking the transition from statutory concept to operating institution. The company was designed to represent the Ugandan state in production-sharing arrangements and related petroleum investments. Uganda's discovered resources are concentrated in the Albertine Graben and have been estimated at approximately 6.5 billion barrels in place, with around 1.4 billion barrels recoverable. The state may hold a participation of between 15% and 20% in production under existing arrangements involving Tullow Oil, TotalEnergies, and China National Offshore Oil Corporation. UNOC is intended to manage that interest and help ensure that petroleum development produces national benefits. UNOC's mandate also encompasses midstream and downstream infrastructure. Government plans called for a 60,000-barrel-per-day refinery developed through a public-private partnership, with the state participating through UNOC. The company was also assigned a role in the East African Crude Oil Pipeline and in the development of storage and pipeline assets. In December 2018, UNOC shareholders resolved that the company would hold 15% of the crude-oil export pipeline, up to 40% of the Uganda Oil Refinery, and at least 51% of the planned Kampala Storage Terminal. The company expanded its practical operating footprint in May 2017 when it began managing the Jinja Petroleum Storage Terminal. The facility, jointly associated with One Petroleum Limited, has stated capacity of 30 million litres and provides a point for receiving and distributing refined petroleum products. UNOC subsequently pursued a broader role in bulk petroleum trading. In 2020 it signed a memorandum with Stabex International under which UNOC would import products in bulk and sell them to Stabex for distribution. The expected product mix included gasoline, diesel, kerosene, and jet fuel, with the potential to serve both Uganda and nearby markets. Upstream operations also presented an early logistical challenge. In 2018 UNOC sought transporters and buyers for 45,211 barrels of waxy test crude produced during exploration in Hoima District. The first process did not attract a credible buyer, leading to a renewed advertisement. By 2019, reports indicated that a buyer had been secured, while the crude remained stored in specialized containers at several locations in the exploration area. The episode illustrated the practical difficulties of handling early production before the refinery and export infrastructure were complete. Leadership changed during the company's formative period. Josephine Wapakhabulo became the first managing director and chief executive officer in 2016 and resigned in 2019. Proscovia Nabbanja initially served in an acting capacity and was subsequently confirmed as the company's second substantive chief executive. The founding board, chaired by Emmanuel Katongole, completed its second five-year term in 2024. A new board chaired by retired banker Mathias Katamba was then appointed and approved by Parliament. UNOC's downstream role became more prominent after Kenya changed its system for sourcing refined petroleum products in April 2023. Uganda announced in November 2023 that UNOC would become the sole importer of refined petroleum products for the Ugandan market from 1 January 2024. The planned arrangement involved Vitol Bahrain EC as supplier under a five-year agreement, with imports routed through Tanzania and a proposed 320-million-litre Kampala Storage Terminal near Mpigi. Uganda also sought alternative pipeline and port arrangements after Kenya initially declined access to infrastructure between Mombasa and Kisumu. The dispute generated legal proceedings in Kenya and the East African Court of Justice, while Uganda and Tanzania discussed possible alternatives including a pipeline from Tanga to Kampala. In March 2024, UNOC began limited product sales to oil marketing companies in Uganda and Tanzania while it tested logistics and supply-chain processes. Later that month, Uganda and Kenya reached a resolution: related cases were withdrawn, and UNOC was to pursue an oil-marketing-company licence allowing it to use Kenya's pipeline infrastructure. This restored a significant part of the established supply route while preserving UNOC's expanded role as a national importer. Today, UNOC functions as a strategic state-owned petroleum enterprise rather than a conventional consumer-facing fuel brand. Its activities span state equity participation, refinery and pipeline investment, storage-terminal management, import coordination, bulk trading, and regional distribution. Its long-term development remains tied to Uganda's upstream production timetable and the completion of major refinery, export-pipeline, storage, and transport projects.

• 2024

  Board renewal and downstream expansion

  [1]Uganda National Oil Companyen.wikipedia.org

  A new board chaired by Mathias Katamba was approved, while UNOC began testing sales and logistics under its expanded refined-products import mandate.

• 2020

  Bulk-products trading agreement signed

  [1]Uganda National Oil Companyen.wikipedia.org

  UNOC signed a memorandum with Stabex International covering bulk imports and onward distribution of petroleum products.

• 2019

  New chief executive confirmed

  [1]Uganda National Oil Companyen.wikipedia.org

  Proscovia Nabbanja was confirmed as UNOC's substantive chief executive after an acting period following Wapakhabulo's resignation.

• 2018

  State participation plans formalized

  [1]Uganda National Oil Companyen.wikipedia.org

  UNOC shareholders resolved on intended holdings in the East African Crude Oil Pipeline, Uganda Oil Refinery, and Kampala Storage Terminal.

• 2017

  Jinja terminal management begins

  [1]Uganda National Oil Companyen.wikipedia.org

  UNOC began managing the Jinja Petroleum Storage Terminal, a joint venture facility with stated capacity of 30 million litres.

• 2016

  First chief executive appointed

  [1]Uganda National Oil Companyen.wikipedia.org

  Josephine Wapakhabulo became UNOC's first managing director and chief executive officer.

• 2015

  Founding board inaugurated

  [1]Uganda National Oil Companyen.wikipedia.org

  The board of Uganda National Oil Company was inaugurated on 23 October 2015.

• 2013

  Petroleum legislation provides for a national oil company

  [1]Uganda National Oil Companyen.wikipedia.org

  Uganda's Petroleum (Exploration, Development and Production) Act established the legal basis for creating a national oil company.

A government-owned national oil company combining petroleum-sector stewardship with commercial participation in upstream production, refining, storage, pipeline infrastructure, importation, and regional distribution.

• Downstream petroleum · 2020

  Refined petroleum products

  UNOC's downstream portfolio covers imported fuel products for supply to Ugandan oil marketing companies and, potentially, neighboring markets. The documented product mix includes gasoline, diesel fuel, kerosene, and jet fuel. UNOC's role is primarily wholesale importation, coordination, storage, and distribution rather than consumer packaged goods.

• Upstream petroleum

  Crude oil participation and handling

  UNOC represents the Ugandan state in petroleum production arrangements and is expected to manage the state's equity participation in oil production. It has also handled test crude generated during exploration, including efforts to transport and sell waxy crude produced in western Uganda before full commercial infrastructure became available.

• Storage and logistics · 2017

  Jinja Petroleum Storage Terminal

  The Jinja Petroleum Storage Terminal is a petroleum-products storage and distribution facility managed by UNOC since 2017. It is associated with One Petroleum Limited in a joint-venture structure and has reported total storage capacity of 30 million litres. The terminal supports inland receipt and distribution of refined products.

• Storage infrastructure

  Kampala Storage Terminal

  The Kampala Storage Terminal is a planned storage project intended to support Uganda's refined-products import and distribution system. UNOC is expected to hold a controlling interest and operate the facility. The 2023 supply arrangement described a proposed capacity of 320 million litres at a site near Mpigi and Buloba.

• Refining

  Uganda Oil Refinery investment

  UNOC is expected to invest on behalf of the Ugandan state in the planned Uganda Oil Refinery. The project was conceived as a public-private partnership and is intended to improve domestic supply security and create an outlet for Uganda's discovered crude resources.

• 2024

  Resumption of Kenya corridor accessStrategy

  Background

  Uganda and Kenya had disputed UNOC's access to the Kenyan petroleum pipeline used for imports from Mombasa toward Uganda.

  Action taken

  The governments resolved the dispute, withdrew related cases, and agreed that UNOC could pursue a Kenyan oil-marketing-company licence and use the Mombasa-Kisumu pipeline infrastructure.

  Aftermath

  The agreement reduced immediate supply-route uncertainty while leaving UNOC with a larger coordinating role in Uganda's petroleum imports.

  Source

• 2023

  Centralization of refined-products importsStrategy

  Background

  Changes to Kenya's petroleum procurement system created uncertainty for Uganda's established import route and prompted the Ugandan government to revise its supply model.

  Action taken

  Uganda designated UNOC as the sole importer of refined petroleum products from 1 January 2024 and planned a five-year supply arrangement with Vitol Bahrain EC.

  Aftermath

  UNOC began testing direct sales and logistics, while Uganda pursued alternative access through Tanzania and later restored access to Kenya's pipeline system.

  Source

• 2020

  Bulk petroleum-products trading arrangementStrategy

  Background

  UNOC sought to move from an investment and infrastructure mandate into active wholesale petroleum trading.

  Action taken

  The company signed a memorandum with Stabex International to import products in bulk and sell them to Stabex for distribution.

  Aftermath

  The agreement established a model for UNOC to supply oil marketing and distribution companies while seeking additional commercial partners.

  Source

• 2018

  Shareholder resolutions on strategic petroleum assetsStrategy

  Background

  UNOC was being positioned as the Ugandan state's investment vehicle across crude export, refining, and storage infrastructure.

  Action taken

  Shareholders resolved that UNOC would hold 15% of the East African Crude Oil Pipeline, up to 40% of the Uganda Oil Refinery, and at least 51% of the Kampala Storage Terminal.

  Aftermath

  The resolutions defined UNOC's intended role across Uganda's major midstream and downstream petroleum projects.

  Source

1. 1Uganda National Oil Companyen.wikipedia.org