• Uganda aims to cut $900M steel imports using local iron ore
• New DRI plant, mining projects launched to boost steel production
• Region sees similar moves; major projects underway in Nigeria, Guinea

Uganda plans to capitalize on its iron ore reserves to reduce its annual steel import bill, which currently exceeds $900 million, President Yoweri Museveni indicated in a X post on Friday, Sept. 26. The president noted that his country "is fortunate to have some of the best iron ore in the world."

Today, I commissioned the Kiira Vehicle Plant in Jinja.
Uganda's economy is currently growing at 7% and is expected to exceed 10% once our oil production begins. We have a clear vision for what will transform our society.
We also plan to process our rich iron ore reserves into… pic.twitter.com/g4Xskckupq

— Yoweri K Museveni (@KagutaMuseveni) September 26, 2025

While Museveni provided no details on the method of exploitation, his statement follows several announced projects aimed at bolstering the local steel industry. In January, Uganda inaugurated a new Direct Reduced Iron (DRI) plant, operated by U.S. company Tembo Steels.

Simultaneously, new mining projects like Muko are being advanced to supply local steel mills. Available information suggests that developing a mine at this asset, which holds 150 million tonnes of iron ore, is expected to cost $500 million. The development of another mine in Kisoro-Kabale in the southwest of the country has also been mentioned in recent months, though the specifics of that project remain unknown.

Uganda's total iron ore potential has been estimated in recent years at over 500 million tonnes, with mineralizations primarily detected in the Kabale, Butogota, and Tororo regions.

Uganda's push reflects a regional trend where other countries are also moving to capitalize on their iron reserves.

In Nigeria, which imports $4 billion worth of steel annually, several projects were recently announced to revive its steel industry. Cameroon inaugurated the Grand-Zambi mine earlier in September, which has a nominal capacity of 6 million tonnes. In Guinea, the massive Simandou project, with 120 million tonnes planned, is scheduled to enter service by the end of 2025.

Aurel Sèdjro Houenou