KAMPALA, Oct. 8 (Xinhua) -- Uganda is planning to begin petroleum production with a mini refinery as early as 2009, making its first step of shifting from a fuel importer to a self-reliant country.
Ugandan President Yoweri Museveni was quoted by Sunday Vision as saying a mini refinery is to be set up so that the east African nation would begin the production in the year 2009.
"Considering the acute power crisis, erratic water levels in Lake Victoria, the government has opted to pursue an early oil production scheme while more exploration takes place," Museveni said on Saturday.
According to him, the plan involves setting up a mini refinery to produce diesel, kerosene and heavy fuel oil to generate electricity at the unit cost of six U.S. cents, instead of 24 cents by using imported fuel.
"By the way, the target production of 6,000 to 10,000 barrels per day out of the 30 million barrels in Waraga alone can last up to 10 years. We shall produce super (petrol) later on," the president said.
Museveni also revealed the oil revenue is to be allocated to key sectors like education and health.
The Australian Hardman Resources company which has been carrying out explorations has published its findings of promising oil resources from two oil fields near Lake Albert in western Uganda.
The company claimed that Uganda has 100 to 300 million barrels of fine quality oil with 30 million barrels ready for extraction. Enditem