Kenyan President, William Ruto has pledged significant investment in Uganda's long-planned oil refinery project.

Speaking at the Africa We Build Summit 2026 in Nairobi on Thursday, April 23, Ruto spoke ardently about the energy imbalance that Africa continues to endure. He noted that the continent generates nearly 10 million barrels of oil per day while spending approximately $90 billion per year importing refined petroleum products.

Ruto, as seen on Tuko, cited Nigeria as an example: an oil-rich country that has traditionally relied largely on Middle Eastern gasoline imports despite its vast crude reserves.

"Nigeria has been an oil producer of oil for years that we know, yet when we went to Nigeria, there were queues of people looking for fuel at petrol stations for a long time until one African man stepped forward and built a refinery, Aliko Dangote here," he stated.

To show appreciation for the growing regional cooperation between both countries, the Kenyan president commended his Ugandan counterpart, Yoweri Museveni, for investing in Kenya's pipeline infrastructure through the Kenya Pipeline Company Initial Public Offering (IPO). He stated that Kenya intends to reciprocate that vote of confidence by investing in Uganda's oil sector and overall economy.

"President Museveni called me and said he wanted to buy 50% of the Kenyan Pipeline, and he did not mind the price. When other pessimists in Kenya were saying the price was very high, President Museveni could see beyond the price," Ruto stated.

"He could see the opportunity of transforming our region together. Mzee, I want to assure you that the same way you invested in the pipeline, Kenya is going to invest in your refinery and in the future of our resources together," he continued.

In November 2025, Uganda signed new contracts for the refinery backed by investors from the United Arab Emirates. The landmark agreement between the Ugandan government and UAE-based Alpha MBM Investments LLC, led by Sheikh Mohammed bin Maktoum bin Juma Al Maktoum, a member of Dubai's royal family, marks a major step toward the Final Investment Decision (FID) scheduled for July 2026.

In December 2025, the Uganda National Oil Company received clearance to borrow up to $2 billion from Vitol Bahrain E.C., a subsidiary of major petroleum trader Vitol. The loan, structured over seven years at an interest rate of approximately 4.9%, will fund critical infrastructure, including the refinery, storage terminals, and pipeline networks.

The planned 60,000-barrel-per-day refinery in Kabaale, Hoima District, is intended to be one of East Africa's largest downstream energy projects. It will include a 212-kilometre multi-product pipeline, a 320-million-litre storage terminal, and related water infrastructure, positioning Uganda as a potential regional energy hub.

Alpha MBM is set to own 60% of the refinery, with the Uganda National Oil Company holding the remaining 40%. Uganda revealed that it spends more than $2 billion per year on petroleum imports, which serves as a rationale for the refinery's construction.

Beyond Uganda, momentum is rising throughout the region. Aliko Dangote has offered support for a new refinery in Tanzania, one that could rival his refinery in Lagos. The Tanzanian refinery is set to be located in the port city of Tanga and connected to Mombasa by pipeline. The facility is intended to handle crude from several regional suppliers, including the Democratic Republic of the Congo and South Sudan, making it a shared energy resource for East Africa.