The Kampala Storage Terminal (KST) reached a major milestone on 17 September 2026, when the President of the Republic of Uganda, H.E. Yoweri Kaguta Museveni, officiated the groundbreaking ceremony, marking the start of construction. Dar, in joint venture with Penspen, is serving as Project Management Consultant for the project, which will significantly strengthen Uganda’s petroleum storage and distribution infrastructure.

Developed by the Uganda National Oil Company Limited (UNOC), the terminal will be located in Namwabula, Mpigi District, on approximately 300 acres of land. It is being developed to strengthen Uganda’s energy security by increasing petroleum storage capacity, enhancing supply reliability, and improving resilience to potential disruptions in regional and international supply chains.

The facility will complement existing petroleum infrastructure, including the Jinja Storage Terminal, while providing additional storage capacity closer to Uganda’s largest centre of consumption. As part of Uganda’s expanding petroleum infrastructure, it will serve as a central hub for the receipt and distribution of imported petroleum products and, in the future, locally refined products through connections to the Eldoret-Kampala Pipeline, the Hoima-Buloba Pipeline, and Uganda’s road and rail networks.

The project is also expected to support economic growth, industrialisation, regional connectivity, and national content development. During construction and operation, it will create opportunities for Ugandan businesses, professionals, technicians, and service providers across a wide range of sectors.

The Dar-Penspen Joint Venture will provide project management and oversight services to support the delivery of the terminal in line with its quality and safety requirements. Dar is honoured to support the delivery of infrastructure that will contribute to Uganda’s long-term energy security, economic resilience, and sustainable development.