Uganda began constructing a 320-million-litre petroleum storage terminal in Mpigi District on Thursday, September 17, 2026, as part of efforts to strengthen fuel security and supply domestic and regional markets.
President Yoweri Museveni led the groundbreaking ceremony for the Kampala Storage Terminal, which will cost more than $300 million and be developed by the state-owned Uganda National Oil Company. The facility will more than double Uganda’s estimated petroleum storage capacity of 160 million litres across public and private installations.
Museveni said the country needed adequate strategic reserves as it expanded its petroleum sector, adding that larger facilities would eventually be required to meet future demand.
Energy and Mineral Development Minister Monica Musenero said UNOC had committed to completing the project within 24 months. She also called for improved road and railway connections to facilitate the transportation of petroleum products to and from the terminal.