KAMPALA- Recalling that the Government of Uganda (GoU) represented by the Minister of Energy and Mineral Development, Hon. Irene N Muloni and Uganda National Oil Company signed a Project Framework Agreement (PFA) on April 10, 2018, to develop a 60,000-bpd refinery in Kabaale, Hoima District.
In the said PFA, the Parties agreed that AGRC comprised of YAATRA, Saipem S.p.A, LionWorks Group and Baker Hughes General Electric (BHGE) would develop and propose a final refinery configuration that would provide the best technical and economic results for Government’s approval. AGRC, through SAIPEM SpA, presented a final refinery configuration to the Government of Uganda (GoU).
A GoU team led by the minister, Muloni, has for the last two days been meeting with the AGRC leadership in Milan to review the final refinery configuration presented by SAIPEM SpA.
The Minister congratulated the AGRC consortium for reaching this milestone in the time scheduled under the PFA and encouraged them to meet all the remaining activities on schedule to ensure the refinery project is completed in the time agreed.
She informed the AGRC that GoU is happy with the Final Refinery Configuration proposed. AGRC leadership led by Ms. Rajakumari Jandhyala, CEO of YAATRA thanked the Minister and the Government of Uganda team for taking time to meet the AGRC team in Milan, reviewing the proposed final refinery configuration and ensuring that this milestone is concluded in to enable the start of the FEED process.
She, on behalf of AGRC, stated that the consortium is fully committed to ensuring completion of all commercially viable pre-FID activities as scheduled in the PFA on time in join collaboration with Government of Uganda.
The AGRC will hereafter look to the formal launch of the FEED process which is expected to be concluded at the end of 2019 and thereafter take Final Investment Decision (FID) before construction would commence. Following a successful FID, the refinery is expected to be completed by the end of 2023.