Uganda Government Grants Mining License to Sunbird Resources for Cement Factory in Karamoja

The Uganda government has awarded a 21-year mining license to Sunbird Resources Limited for a cement factory in Moroto district, Karamoja, with an investment expected to significantly boost local employment and reduce cement costs.

Uganda Government Grants Mining License to Sunbird Resources for Cement Factory in Karamoja
Photo by Random Institute / Unsplash

In a significant development for Uganda's industrial sector, the government has granted Sunbird Resources Limited a 21-year large-scale mining license to establish a cement factory in the Karamoja region's Moroto district. This initiative, part of the government's efforts to increase the production of cement from local materials, aims to make construction more affordable by lowering the retail cost of cement.

Energy and Mineral Development Minister Ruth Nankabirwa announced that the license would enable Sunbird to mine 8,000 tonnes per day of vital limestone in Rupa sub-county, a key raw material for cement production. The project, which aligns with the government's local content policy, is expected to employ Karimojong and other Ugandans, purchase local goods and services, and engage in corporate social responsibility activities.

The factory, which President Yoweri Museveni broke ground for in September 2023, is projected to produce 6,000 tonnes of clinker per day and one million tonnes of cement annually. This will not only meet local demand but also reduce the need for clinker imports, which currently stand at 2.4 million tonnes annually valued at $700 million. The discovery of over 67 million tonnes of limestone in the area after six years of systematic exploration work underscores the project's potential to transform the cement industry landscape in Uganda and the region.

Source: New Vision