Uganda's Minister of Energy and Mineral Development announced on Tuesday that the country will initiate a new round of oil exploration licensing in the next fiscal year, starting July 2026. This East African nation, which anticipates commencing commercial crude oil production later this year, aims to expand its resource base through potential new discoveries.
Addressing investors at the latest Uganda Oil and Gas Conference, the minister stated this will be the country's third oil exploration licensing round. The blocks on offer will include areas within the oil-rich Albertine Graben as well as frontier basins. She indicated that the round will make available new exploration blocks from the Albertine Graben and two major basins in the north.
Uganda's previous licensing round was launched in 2019, offering five blocks, and concluded in 2023. The country's current estimated oil reserves stand at approximately 6.5 billion barrels, all located in the Albertine Graben, which borders the Democratic Republic of Congo. The Ministry of Energy noted that only about 40% of the area has been explored to date.
In parallel, the Ugandan government is conducting preliminary exploration surveys in two new basins located in the northern and northeastern regions. The energy minister stated this initiative is designed to attract capital and technology to accelerate the exploration process in these less-developed areas.
Uganda's existing oil fields are jointly owned and operated by France's TotalEnergies, China National Offshore Oil Corporation (CNOOC), and the Uganda National Oil Company. With the Tilenga oil field and the East African Crude Oil Pipeline project nearing completion, Uganda expects to achieve its first commercial oil production later this year. Industry leaders have said that once operational, Uganda's oil sector will present local businesses with procurement opportunities spanning several decades.
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