The long-awaited Kabalega Industrial Park project in Hoima District is finally moving from paper to reality, with the Uganda National Oil Company (UNOC) confirming that construction will officially begin in 2026. The massive USD 390 million project, spanning nearly 30 square kilometres in Kabale Subcounty, is poised to transform the oil-rich Albertine region into one of Uganda’s key industrial and energy hubs.

The park will host vital oil and gas infrastructure including the Uganda Refinery and Kabalega Airport, as well as facilities for agro-processing, logistics, warehousing, and mixed industries. UNOC Chief Executive Officer, Proscovia Nabbanja, said preparations are already underway, with 31 investors identified to participate in the development. She explained that part of the groundwork, including the opening of 11 kilometres of an internal 98-kilometre road network, has already been completed to give potential investors access to the site for inspection and planning.

Nabbanja emphasised that the project represents a cornerstone of Uganda’s industrialisation agenda, providing a foundation for job creation and local content participation in the oil and gas value chain. “While we already have 31 investors, we are continuing to identify more. The road network is a priority and is testament to our commitment to have the park up and running. We are also working on zoning them,” she said. She added that UNOC is collaborating closely with the Ministry of Finance to mobilise resources for essential infrastructure such as roads, ICT systems, and water supply to facilitate construction and eventual operations. Once completed, the park is expected to create an estimated 35,000 jobs across various sectors.

According to Ministry of Energy Permanent Secretary, Irene Batebe, all compensation and resettlement activities for people affected by the project have been concluded. “Nothing will stop us from moving as planned. Our resettlement process was very successful,” she said, assuring stakeholders that the land is now fully secured for development. This marks a significant milestone in a project that has been on the drawing board for years, often delayed by bureaucratic hurdles and funding constraints.

The announcement was made during a high-level tour of Uganda’s oil fields in Buliisa and Kikuube districts by the Head of Public Service and Secretary to Cabinet, Lucy Nakyobe. The visit also included the Ministry of ICT Permanent Secretary, Dr. Aminah Zawedde, and other senior officials. The team inspected progress at the Tilenga oil project operated by TotalEnergies in Buliisa and the Kingfisher project managed by CNOOC in Kikuube. Nakyobe praised the developments and urged public servants to uphold efficiency and integrity to ensure that Uganda fully benefits from its oil and gas resources. “Our president has led us well. I urge public servants to deliver on their mandate because when services improve, people will have confidence in government and the President will be able to fulfil his pledges,” she said.

Dr. Zawedde echoed her sentiments, stressing the need for youth engagement and positive storytelling about the oil and gas sector. “When the sector has good publicity, it becomes easier to bring in investors who can create jobs for our youth,” she said. Her remarks come amid growing calls for transparency, local participation, and environmental protection as Uganda prepares for large-scale oil production.

The Kabalega Industrial Park is expected to serve as a backbone for downstream activities once Uganda’s oil production begins. Beyond oil-related operations, the park will also host value addition industries such as agro-processing and manufacturing, intended to spur economic diversification in the Albertine region. With construction now set for 2026, optimism is high that the long-delayed project will finally unlock the region’s industrial potential and contribute significantly to Uganda’s journey toward middle-income status.