The Uganda National Oil Company (UNOC) has addressed concerns about a diesel consignment discrepancy, citing higher local demand by Ugandan Oil Marketing Companies (OMCs) than initially agreed upon with Kenyan authorities.
UNOC stated that the importation of petroleum products through Kenya is coordinated by the Supply Planning and Vessel Scheduling Committees, which meet monthly to optimize the Kenya pipeline system’s utilization. In a meeting on May 22, 2024, UNOC was allocated 65,000MT of Diesel (AGO) for import, scheduled for delivery between July 2-4, 2024.
However, due to increased demand from Ugandan OMCs, UNOC discharged 80,000 Metric Tonnes of Diesel at Mombasa Port on July 5, 2024. Of this, 65,000MT was allocated to Ugandan OMCs, with the remaining 15,000MT to be delivered in August 2024.
UNOC clarified, “The governments of Uganda and Kenya reached an understanding to prioritize the G-2-G transit portion for delivery to Uganda within July 2024, ensuring that 65,000 Metric Tonnes are first made available to the Ugandan Oil Marketing Companies.”
UNOC reassured the public of its commitment to secure petroleum product supplies for Uganda.
FULL UNOC Statement
CLARIFICATION ON MEDIA REPORTS REGARDING UNOC’S FIRST PETROLEUM PRODUCT SHIPMENT
KAMPALA, FRIDAY 12TH JULY 2024: Recent media reports have raised concerns regarding UNOC’s first shipment of petroleum products, which incurred a bond fee from the Kenya Ports Authority, and claims of under-declared shipments.
UNOC wishes to correct these misleading impressions:
The importation of petroleum products through Kenya is managed by the Supply Planning and Vessel Scheduling Committees under the Ministry of Energy and Petroleum of Kenya. These committees plan and schedule imports through Mombasa port to ensure optimal utilization of the Kenya pipeline system, avoiding delays and clogs.
In a meeting on May 22, 2024, UNOC was allocated 65,000MT of Diesel (AGO) for delivery between July 2-4, 2024. Due to increased demand, the governments of Uganda and Kenya agreed to prioritize the G-2-G transit portion for delivery within July 2024. On July 5, 2024, 80,000 Metric Tonnes of Diesel was discharged at Mombasa Port: 28,000MT to the VTTI Terminal and 52,000MT to the KPC Terminals.
UNOC communicated to Ugandan OMCs that the 80,000MT demand for July would be met with 65,000MT from UNOC and the remaining 15,000MT in August 2024. Future imports and supplies will adhere to the Petroleum Supply Act, 2003, as amended in November 2023, ensuring no shortfall in the country’s supply.
UNOC, in partnership with Vitol Bahrain, remains committed to securing Uganda’s petroleum product supply.
For further inquiries, please contact:
Tony Otoa
Chief Corporate Affairs Officer
tony.otoa@unoc.co.ug
