Historic Joint Venture Launches Uganda’s First LPG Storage Hub
Uganda National Oil Company and African energy giant Vivo Energy have signed a landmark joint venture agreement to develop the country’s first major liquefied petroleum gas storage and distribution facility, marking a pivotal moment in Uganda’s energy transition strategy.
The facility, located at Kabalega Industrial Park near Hoima, will serve as the cornerstone of Uganda’s ambitious plan to shift millions of households away from traditional biomass fuels toward cleaner LPG alternatives. The project coincides with the planned construction of Uganda’s first crude oil refinery at the same location, creating a comprehensive energy hub in the oil-rich Albertine Graben region.
The joint venture will construct state-of-the-art LPG storage tanks, cylinder-filling systems, and distribution networks designed to serve both household and industrial customers across Uganda and potentially neighboring East African markets.
Industry experts view this development as a game-changer for regional energy security, with the potential to position Uganda as a clean energy exporter while providing affordable cooking and heating solutions to rural communities still dependent on wood and charcoal.
Source: African Energy
