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Contractor to hand over Kabalega International Airport this September

Construction of the airport began in April 2018 after government secured a loan of €264 million from Standard Chartered Bank and UK Export Finance for the first phase of the project

HOIMA, May 15, 2025 – Kabalega International Airport, located in Kabaale Sub-county, Hoima district, is scheduled for completion and official handover to the government this September, according to Amos Muriisa, Communications Manager at SBC Uganda Ltd, the project’s contractor.

Construction of the airport began in April 2018 after government secured a loan of €264 million from Standard Chartered Bank and UK Export Finance for the first phase of the project. SBC Uganda Ltd, a joint venture between SBI International Holdings AG and Colas UK, is implementing the works.

The airport was originally expected to be handed over in 2020, but the timeline was first extended to December 2023, and then further delayed to February 2024. Muriisa explained that the latest revised handover date [September] is intended to allow for the completion of key remaining works, particularly the construction of the control tower.

He attributed the delays primarily to the COVID-19 pandemic and delayed disbursement of additional government funding.

“The project began in 2018 with a planned construction period of four years and ten months. However, COVID-19 severely disrupted our operations. For example, we had to halve our workforce from 100 to 50 to comply with social distancing measures. Later, we faced funding shortfalls that further delayed progress. Fortunately, we are now over 96 percent complete,” Muriisa said.

He added that construction of the control tower is the only major task remaining. The required materials and equipment are expected to arrive in Uganda shortly. Once delivered, installation will begin, paving the way for the airport to become operational.

Muriisa noted that the most critical infrastructure, such as the 3.5 km runway [75 metres wide], cargo terminal, limited-capacity passenger terminal, air rescue and firefighting facility, apron, communications and navigation systems, and air-ground lighting—has all been completed.

However, he revealed that water and electricity are yet to reach the site. In the interim, the airport will operate on generators.

Muriisa made the remarks on Wednesday during a field tour organised by the Civil Society Coalition on Oil and Gas [CSCO], covering major oil and gas infrastructure projects including the Tilenga Project in Buliisa District, the Kingfisher Oil Field in Kikuube District, and the Kabalega Industrial Park in Hoima District. The airport, refinery, and Pump Station One (PS1) of the East African Crude Oil Pipeline are all located within this industrial park.

The three-day tour was organised by joint venture partners China National Offshore Oil Corporation [CNOOC], Uganda National Oil Company [UNOC], and TotalEnergies EP Uganda, aimed at familiarising CSCO members with ongoing oil and gas developments.

Kabalega International Airport is expected to play a vital role as one of the key infrastructure components supporting Uganda’s commercial oil production, including the construction of the oil refinery. The airport has the capacity to accommodate four cargo aircraft simultaneously.

In February 2023, construction was briefly halted due to the government’s failure to release an additional Shs 126 billion needed to complete the works. Despite multiple appeals from the contractor, funding was not allocated in time, resulting in further delays.

Robert Mukondo, Social Development Specialist at UNOC, emphasised that the airport is central to the Kabalega Industrial Park [KIP], a key initiative to bolster Uganda’s oil and gas sector.

“Completing the airport is crucial, especially as we begin work on the oil refinery, which is scheduled to start this year with site clearing,” he said.

The refinery, designed to process 60,000 barrels of oil per day, is expected to cost around USD 4 billion.

Henry Bazira, Executive Director of the Water Governance Institute and a CSCO member, praised the progress but stressed the importance of promoting local content to ensure that Ugandan investors and communities benefit from the country’s oil and gas sector.

https://thecooperator.news/mafias-cited-as-contractor-halts-work-at-kabaale-international-airport/

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