Uganda's Pearl Sweet Faces Commercial Challenges Ahead of First Oil Exports

Uganda is on the cusp of entering the oil export market, but its new crude grade, Pearl Sweet, poses significant challenges to buyers. The country's two projects are expected to produce a combined 230,000 barrels per day (b/d) at plateau, opening a new revenue stream for the landlocked economy.

The development lies near Lake Albert in the Albertine Graben Basin, with ownership shared between TotalEnergies (56.67%), China's CNOOC (28.33%), and Uganda's UNOC (15%). The projects are expected to start producing in December at Kingfisher and the first quarter of 2027 for Tilenga.

Pearl Sweet has a low sulphur content of approximately 0.16% but is exceptionally waxy, requiring heating through the pipeline, terminal tanks, transfer systems, and tanker voyage. The oil's pour point is roughly 39°C, making it comparable to Sudan's Dar and Nile blends.