In various fields, Uganda and Algeria have signed two cooperation agreements and five memorandums of understanding.
A deal between Sonatrach, Algeria’s state-owned oil corporation, and the Uganda Oil Refinery Holding Company Ltd. with the intention of taking part in the construction of Uganda’s refinery is one of them.
The Algerian parastatal must come to terms with the Ugandan firm, which lacks the funding to start building, in order to buy an interest in it.
“Algeria is a potential investor in our refinery. Our goal is to construct an inland refinery. Given that we are a long way from the coast, it is definitely required because it will save transportation expenses “After his meeting with his host, Museveni added.
Both Sonatrach Chairman and CEO, Toufik Hakkar, and Dr. Michael Mugerwa, General Manager of Uganda Refinery Holding Company, signed on behalf of their respective nations.
The MoU covers capacity building, oil and gas services, upstream, midstream (refining and petrochemicals), and downstream oil and gas cooperation.
This is one of the results of the three-day state visit by President Yoweri Museveni, who was accompanied by a delegation of members from the public and private sectors.
The primary pursuits of Sonatrach include marketing of hydrocarbons as well as research, production, transport, and development.
Additional Memorandums of Understanding were signed for collaboration in trade, higher education, and scientific research. Additional agreements included agriculture, animal health, and energy.
At least 150 Algerian representatives from both private and public organizations would visit Uganda soon to look into business opportunities, it was stated during the discussion between the delegations.
We agreed to cooperate in the commerce, energy, education, agriculture, and counter-terrorism sectors where they have prior expertise in these fields, just like us, Museveni added. We also discussed problems pertaining to increasing the prosperity of Africa.
Uganda wants to export more agricultural goods to Algeria. Museveni from Algiers stated, “We are looking at powdered milk, which is already arriving here, coffee, tea, and eventually items of petroleum and petrochemicals from Algeria.
After speaking with the Algerian ambassador in Kampala late last year, Museveni declared that his nation had expressed interest in purchasing $500 million worth of Ugandan powdered milk.
Apart from milk, the MoUs signed include a number of other topics, according to Minister of Agriculture, Animal Industries, and Fisheries Frank Tumwebaze, including education, animal health, oil and gas, tourism, and trade.
“They’ll purchase our coffee, powdered milk, and later, bananas. In exchange, we’ll purchase from them things like animal health medications “explained he.
According to Tumwebaze, the current situation calls for raising output and product quality to comply with market demands.
“Concern yourself no longer with the market for our diary. The only prerequisite is to further develop our value chain standards, which have already received approval.”