Construction of Uganda’s Multi-Billion Fuel Storage and Transport System Nears Completion
09.09.2019 By Ricardo Perez - NEWS

September 09, 2019 [Pumps Africa] – Upon completion, the 14-tank storage project will store up to 70 million litres of fuel making it one of the largest fuel terminals in East and Central Africa. The project will enable the transportation of fuel from Kenya through the Kisumu port on Lake Victoria to kampala, Uganda using Oil Tanker ships.

 
The construction of Uganda’s multibillion Fuel Storage and transport system is well underway at 70 percent complete and is expected to be up and running by 2020. Mahathi Infra Uganda Limited, an Engineering, Procurement & Construction (EPC) Company established for execution of projects, primarily in Oil and Gas sector is the contractor of the fuel storage terminal and Lake Victoria fuel transport system at Bugiri-Bukasa village in Uganda.

The project, which was recently commissioned by President Yoweri Museveni will enable the transportation of fuel from Kenya through the Kisumu port on Lake Victoria to kampala, Uganda using Oil Tanker ships.

This will reduce the cost of fuel and its transportation by over 50 percent,” said Capt. Mike Mukula, the chairman of Mahathi Infra Uganda Limited. He added that the tanks are complete, while the jetties and ships are near completion.

Upon completion, the 14-tank storage project will store up to 70 million litres of fuel making it one of the largest fuel terminals in East and Central Africa. With a 10 nautical miles speed, the 220 meters long jetty at Bugiri-Bukasa is estimated to deliver fuel in 16 hours.

Presently, Petroleum products like Diesel, Gasoline, Kerosene and Jet A1 are transported by road making it costly, susceptible to adulteration, accidents and uncertain supplies. Through L.Victoria which is the biggest water resource in Uganda, this fuel terminal will ease transportation of fuel between Kenya and Uganda considering that Kenya Pipeline Company has a fuel terminal at Kisumu on L.Victoria.

According to the chairman, the project will also store Fuels and load trucks for supplying in Uganda and to neighboring countries. This project is expected to kick off mid next year as Uganda finalizes preparation for its first oil production.

The completion of the project will ensure reliability in supplies as well as see citizens of Kenya and Uganda get employed directly and indirectly. Uganda has always suffered a shortage in strategic oil tank reserves and it is projected that this US$270m investment will address this challenge as one ship will be able to carry about 200 trailers.

Kenya on the other hand has been very pivotal in rebuilding Kisumu port and it is not a coincidence that the Bugiri-Bukasa fuel terminal will contain a pipeline from Mombasa to Kisumu.

Mahathi Infra has successfully executed projects in Mozambique, India, Liberia and Kenya with an excellent working experience in Africa.

The Uganda project was hatched in March 2016 in a meeting between President Museveni and Mahathi Infra Services Pvt Ltd directors led by Ravi Sankar Yandapalli, Kalyan Swaroop and Mike Mukula where they discussed issues pertaining to the proposed development of fuel transportation from Kenya to Uganda through Lake Victoria.

 
————-
 

Click Here to Access Today a 4,900 Tank Terminal Database With a Pro Trial
Click on the button and register to get instant access to actionable tank storage industry data

NextChem (MAIRE) Awarded the Licensing and Process Design Package for a Sustainable Aviation Fuel (SAF) Project Based on its Proprietary NX PTU™ and NX SAF™ BIO Technologies in Indonesia
12.20.2024 - NEWS
December 20, 2024 [Maire Group]- MAIRE (MAIRE.MI) announces that NEXTCHEM (Sustainable Technol... Read More
U.S. Crude Exports to Europe Expected to Fall in Jan as Shipping Economics Weaken
12.20.2024 - NEWS
December 20, 2024 [Reuters]- U.S. crude oil exports to northwest Europe are likely to slip early ... Read More
Energy Transfer's Unit Signs LNG Agreement with Chevron
12.20.2024 - NEWS
December 20, 2024 [Reuters]- U.S. pipeline operator Energy Transfer said on Thursday its unit has... Read More
Kinder Morgan's Unit to Go Ahead with $1.4 bln Mississippi Crossing Project
12.20.2024 - NEWS
December 20, 2024 [Reuters]- Kinder Morgan said on Thursday its unit Tennessee Gas Pipeline will ... Read More