Photo by: Bloomberg
Uganda’s $2.5-billion crude oil refinery, currently being constructed by a consortium led by Russian raw materials and infrastructure development company RT Global Resources, will start commercial production in 2018.
The consortium was chosen by Uganda’s government in February to build and operate the refinery. The consortium will take a 60% stake in the project, while government will take up the remaining 40% stake. The refinery will start with an initial output of 30 000 bbl/d when it starts operating, and reach 60 000 bbl/d at full operation.
Uganda struck hydrocarbon deposits in 2006 but commercial production was delayed, with 2018 expected as the earliest for the start of production. The delays in crude production were caused by investigations into the viability of the refinery.
Uganda plans to build the refinery to process its hydrocarbon reserves, estimated at 6.5-billion barrels, which lie along the country’s border with the Democratic Republic of Congo.
The consortium comprises RT Global Resources, which is owned by Russian defence conglomerate Rostec, Russian oil producer Tatneft, and the investment banking unit of Russian bank VTB, VTB Capital, as well as South Korean conglomerate GS Group.
UK oil exploration and production company Tullow Oil, French oil major Total and Chinese national oil company China National Offshore Oil Corporation are responsible for developing the project’s fields.
RT Global Resources
Raw materials and infrastructure development company RT Global Resources was created to carry out projects involving raw materials and infrastructure development in Russia and abroad. Russian defence conglomerate Rostec holds a 100% stake in RT Global Resources.
Rostec decided to form RT Global Resources in 2012, when Rostec was taking part in a series of large-scale international raw materials projects. The company decided to form RT Global Resources as a corporate competence centre dealing with project planning, support and management.
RT Global Resources follows Rostec’s strategy of achieving maximum value and increasing the capitalisation of commercial raw materials projects and supporting infrastructure ventures.
RT Global Resources’ activities include the preparation and development of international raw materials projects and the implementation of a ‘package’ approach, which links access to deposits with the export deliveries of Rostec’s and its partners’ end products as well as with technology transfers.
The company’s activities also include ensuring the growth of Russian raw materials projects and attracting funding from extra budgetary resources and participating in infrastructure, service and logistics projects to support the raw materials industry using technologies and equipment produced by Rostec group companies.