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Uganda signs Shs232bn contract with SAMCO to build Kabalega Airport terminal

The passenger terminal will support the airport’s expanding role in passenger transport as Uganda strengthens its aviation infrastructure ahead of AFCON 2027 and deepens cooperation with Egypt.

Works and Transport Minister Fred Byamukama with officials from Egyptian construction firm SAMCO during the signing of the Shs232 billion contract for the construction of a new passenger terminal at Kabalega International Airport. (Photo/Handout)

In Summary: The Ministry of Works and Transport has signed an eight-month, Shs232 billion contract with Egyptian construction company SAMCO to build a new passenger terminal at Kabalega International Airport in Hoima, advancing the airport’s second phase as Uganda prepares to co-host the 2027 Africa Cup of Nations.

Hoima, Uganda — The Government of Uganda has signed a Shs232 billion contract with Egyptian construction firm SAMCO to construct a new passenger terminal at Kabalega International Airport, marking a major step towards expanding the facility’s capacity to handle increased air traffic in the Albertine region.

The eight-month contract was signed by the Ministry of Works and Transport, with Deputy Head of Mission at Uganda’s Embassy in Cairo, Ambassador Lt. Gen. (Rtd) Charles Angina, among the officials who witnessed the agreement.

The project forms part of the second phase of the airport’s development and is expected to provide larger passenger-handling facilities as the country prepares to co-host the 2027 Africa Cup of Nations (AFCON) alongside Kenya and Tanzania.

Works and Transport Minister Fred Byamukama said SAMCO’s contract price of Shs232 billion was lower than the Shs285 billion reportedly quoted by China Communications Construction Company (CCCC) and other bidders during an earlier procurement process.

According to the minister, the difference represents savings of more than Shs50 billion for the Government.

Byamukama urged the Egyptian contractor to deliver quality work and cautioned against corruption and interference during implementation. He also said he had rejected attempts by individuals to influence the award of the contract.

The Egyptian Ambassador to Uganda, H.E. Sherif Mohamed Abdellattif Elgammal, commended Uganda’s transparent, merit-based procurement process and expressed confidence in the contractor’s capacity.

SAMCO Vice Chairman, Engineer Ibrahim Mabrouk, said the company was ready to begin construction and expressed confidence that it could complete the work within the agreed eight-month period, or even earlier.

The Acting Director General of the Uganda Civil Aviation Authority (UCAA), Olive Birungi Lumonya, also attended the signing and pledged technical support to ensure successful implementation of the project.

She described the airport as an important facility for travellers, tourists, visitors expected for AFCON 2027 and businesses operating in the country’s growing oil and gas sector.

Expanding Kabalega Airport

The new terminal is expected to substantially increase the airport’s passenger-handling capacity. The existing passenger terminal was designed to accommodate about 100 passengers at a time, while the planned expansion is intended to handle up to 1,000 passengers at peak capacity.

The Ministry of Works and Transport has previously said the second phase would provide larger passenger facilities to support the airport’s growing role in domestic and international travel.

Kabalega International Airport, located in Hoima District, was initially developed to support Uganda’s oil and gas industry, particularly the movement of heavy equipment and logistical supplies to the Albertine region.

Construction of the airport began in 2018 under a joint venture involving Israeli-British firms Shikun & Binui International and Colas Limited. The first phase, valued at approximately Shs1.2 trillion, includes a 3.5-kilometre runway, taxiways, apron, cargo facilities and other essential aviation infrastructure.

The airport received its first passenger aircraft on September 27, 2026, when flights carrying officials from the Confederation of African Football, FIFA and the AFCON Local Organising Committee arrived ahead of the Uganda Cranes and Libya AFCON 2027 qualifier at Hoima City Stadium. The Libyan national team and Uganda Cranes also used the facility.

The Ministry subsequently reported that the first phase was about 99 per cent complete, with final testing and works ongoing. Full commercial operations were expected to begin in January 2027, subject to completion of outstanding works, testing and commissioning.

The additional terminal is expected to strengthen the airport’s capacity to serve the oil and gas industry, tourism, trade and passenger travel, while improving access to western Uganda. Its development also forms part of wider preparations for AFCON 2027, which will place additional demands on transport, accommodation and other supporting infrastructure in the three co-hosting countries.

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