Local firms secure more contracts as Uganda’s oil projects matures

What the report says

The Independent Uganda, citing a Uganda Radio Network report from Hoima, says Uganda’s petroleum sector advanced in the quarter that ended June 30, 2026, with major infrastructure works nearing completion and more contracts going to local firms under the national content programme. The update is based on the Petroleum Authority of Uganda’s latest quarterly report.

According to PAU figures reported by The Independent, the Tilenga project was 74% complete by the end of June and had drilled 234 production wells, above the 170 wells described as the minimum needed to start production. The Kingfisher Development Project was reported at 79% completion, while construction of its central processing facility and feeder pipeline was close to completion. The East African Crude Oil Pipeline, intended to move crude from Hoima to Tanzania’s port of Tanga, was said to be 90% complete, with more than 1,443 kilometres of pipeline welded in Uganda and Tanzania.

PAU also reported that pre-Final Investment Decision technical work for the Uganda Refinery Project had reached 28%. On procurement, the authority reviewed 30 bid evaluation reports during the quarter and approved eight Tier One contracts worth $53.83 million, including $8.75 million awarded to Ugandan companies. It also approved nine Tier Two contracts worth $2.57 million.

Cumulatively, approved Tier One contracts stood at $7.69 billion, with about $2.3 billion, or 30%, awarded to Ugandan companies. Employment in the sector reached 22,234 people, including 18,958 Ugandans. The report matters because Uganda’s push toward first oil depends not only on finishing upstream and pipeline infrastructure, but also on whether local businesses and workers share in the sector’s economic gains.