Uganda Set to Become World’s Newest Oil Exporter as First Shipments Begin in December

Uganda is set to become the world’s newest oil exporter, with commercial shipments of its Pearl Sweet crude expected to begin in December 2026.

According to Bloomberg, the country’s energy officials are already pitching Pearl Sweet crude to potential international buyers ahead of the planned exports.

“Uganda is set to become the world’s newest oil exporter, with commercial shipments of its Pearl Sweet grade to start in December and increase to 230,000 barrels a day within three years.”

The government is seeking to build international demand for Pearl Sweet as production increases and additional oil projects become operational.

Uganda Prepares for First Oil Exports

Bloomberg stated that Uganda’s crude will be a medium-to-heavy, low-sulfur grade and will be priced against the global Brent crude benchmark.

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Proscovia Nabbanja, chief executive officer of the Uganda National Oil Company, said the country is positioning Pearl Sweet for international markets as it prepares to commence exports.

According to Bloomberg, Uganda’s officials are currently engaging potential buyers at the Asia Pacific Petroleum Conference by S&P Global Energy in Singapore, where they are promoting the new crude grade.

“The African nation’s energy minister and other senior officials are pitching Pearl Sweet to buyers at the Asia Pacific Petroleum Conference by S&P Global Energy in Singapore this week,” Bloomberg stated.

The first commercial oil is expected to come from the Kingfisher field, which is operated by CNOOC Ltd.

According to Irene Pauline Batebe, Permanent Secretary at Uganda’s Ministry of Energy, the field is expected to produce about 25,000 barrels per day when production begins in December.

Production from Kingfisher is projected to increase to approximately 40,000 barrels per day within six months as operations are expanded.

Tilenga Project Expected to Boost Oil Production

Additionally, Uganda’s larger Tilenga project, operated by TotalEnergies SE, is expected to begin production in the first quarter of 2027.

The project is expected to play a significant role in increasing the country’s overall oil production as Uganda develops its petroleum industry.

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With Kingfisher and Tilenga reaching production, Uganda expects its oil output to rise to approximately 230,000 barrels per day within three years.

Meanwhile, the crude will be transported through the 1,500-kilometre East African Crude Oil Pipeline (EACOP) to Tanzania’s Tanga Port for export to international markets.

The pipeline is expected to serve as Uganda’s main route for transporting crude from its oil fields to the coast.

Vitol has also been appointed to market Uganda’s crude, connecting the country’s expected production with international buyers.

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Kipevu Oil Terminal in Mombasa. PHOTO/File