Total SE has signed agreements with Ugandan officials over the East Africa Crude Oil Pipeline (EACOP) Project.
The signing ceremony was attended by Ugandan President Yoweri Museveni and Tanzanian President Samia Suluhu Hassan, with Total CEO Patrick Pouyanne among those who inked the deals. Mr. Pouyanne called the signing of pacts a historic milestone for the production work and export pipeline that will draw more than US $10bn of investment.
“It’s a very large development, one of the largest that will be developed on this continent. Though just the beginning of a process that will see oil flow in early 2025,” said Mr. Pouyanne.
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EACOP Project
The East Africa Crude Oil Pipeline will transport crude oil from Hoima district in Uganda to Chongoleani in Tanga, Tanzania, and will be the World’s longest electrically heated crude oil pipeline. It will cost US $3.5bn to complete the project.
The billion dollar project set to run from Uganda’s oilfields around Lake Albert to the port of Tanga in Tanzania’s northeast region has been differed to April. The pipeline route was selected by the Government of Uganda as the least cost and most robust.
More than three-quarters of 1,443km crude oil export pipeline will run through Tanzania. Moreover, Tanzania will earn an estimated US $3.24bn and create more than 18,000 jobs over the next 25 years, or more, that the project will be in operation.
Total is the major shareholder in Uganda’s oil fields after agreeing to buy Tullow Oil’s stake in onshore fields. It will work alongside Chinese state-owned CNOOC to develop the Oil reserves that are estimated to have 6bn barrels.