Uganda, Tanzania Partner with Vitol on Strategic Tanga Energy Hub Project

Uganda’s President Yoweri Kaguta Museveni and Tanzanian President Samia Suluhu Hassan have witnessed the signing of a landmark Memorandum of Understanding (MoU) between the Uganda National Oil Company (UNOC), the Tanzania Petroleum Development Corporation (TPDC) and Vitol Bahrain E.C. to develop the Tanga Regional Energy Hub.

The agreement was signed during President Museveni’s two-day working visit to Dar es Salaam, marking another milestone in Uganda-Tanzania energy cooperation following the implementation of the East African Crude Oil Pipeline (EACOP).

In a statement after the signing ceremony, President Museveni described the partnership as a major step toward strengthening regional energy security, industrialisation and intra-African trade.

“This partnership builds on the success of EACOP and will strengthen regional energy security, industrialisation and trade,” Museveni said.

President Yoweri Museveni with his Tanzanian counterpart Samia Suluhu

He noted that the planned Tanga Regional Energy Hub, working alongside Uganda’s Hoima Refinery, will enable the two countries to maximize value from their petroleum resources by expanding refining, storage, logistics and manufacturing capacity instead of exporting crude oil.

“The Tanga Hub, together with Uganda’s Hoima Refinery, will ensure that our petroleum resources create more value through refining, storage, logistics and manufacturing instead of exporting raw materials,” he added.

President Museveni said the initiative reflects a broader Pan-African vision of economic cooperation and value addition, arguing that African countries should work together to industrialise and retain greater benefits from their natural resources.

“This is the Pan-African approach—working together to create prosperity for our people,” he said.

The Tanga Regional Energy Hub is expected to complement the Hoima Refinery and the EACOP project by strengthening petroleum infrastructure across East Africa, improving fuel storage and distribution, enhancing energy resilience and supporting regional economic integration.

The signing of the MoU formed part of President Museveni’s bilateral engagements with President Samia Suluhu Hassan, during which the two leaders discussed expanding cooperation in trade and investment, infrastructure, transport, tourism, peace and security, and regional integration. The visit also saw the two Heads of State witness the signing of several bilateral agreements aimed at deepening the longstanding partnership between Uganda and Tanzania.