EACOP project hits 60pc completion
TANGA: THE East African Crude Oil Pipeline (EACOP) project, a crucial 1,443-kilometre initiative, has reached a significant 60 per cent completion milestone.
This ambitious undertaking is set to unlock East Africa’s economic potential by facilitating the transportation of crude oil from Uganda’s Lake Albert oilfields to Tanzania’s Port of Tanga.
The project has already generated substantial employment, with 6,000 jobs created to date.
This positive impact was highlighted on Monday during an inspection by members of the Energy and Water Utilities Regulatory Authority (EWURA)’s Board of Directors at Chongoleani in the Tanga Region.
The Chairperson of the Board’s Committee on Energy, Engineer Ngosi Mwihava, expressed the board’s satisfaction with the progress of the EACOP project.
He emphasized that EWURA, as the national energy regulator, plays a crucial role in overseeing the implementation of the project and ensuring that Tanzanians benefit from the job and business opportunities it generates.
On his part, EACOP’s Human Resources and Corporate Affairs Director, Mr Godfrey Mponda confirmed that out of the 6,000 individuals employed, a remarkable 70 percent are local residents from areas surrounding the project.
This figure, he noted, signifies a substantial increase in Tanzanian participation in this regional endeavour.
According to Mr Mponda, the figures indicate a significant improvement in Tanzanian participation in the regional project.
Earlier, Tanga Regional Commissioner Dr Batilda Burian informed the Board members that residents of her region have greatly benefited from the ongoing EACOP project, particularly as more local suppliers have registered in EWURA’s supplier database.
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The shareholders in the EACOP project include affiliates of the three upstream joint venture partners Uganda National Oil Company (UNOC), TotalEnergies E&P Uganda, and CNOOC Uganda along with the Tanzania Petroleum Development Corporation (TPDC).
The shareholding structure is: TotalEnergies 62 percent, UNOC and TPDC 15 percent each, and CNOOC 8 percent.
The 1,443-kilometre crude oil export pipeline will transport Uganda’s crude oil from Kabaale–Hoima in Uganda to the Chongoleani Peninsula near the Port of Tanga, with a peak capacity of 246,000 barrels per day.
According to the EACOP website, the pipeline’s construction, alongside the Tilenga and Kingfisher projects, will significantly benefit the economies of Uganda and Tanzania.
These benefits include tax revenues for the two host governments, job creation, local content participation, new infrastructure, improved logistics, skills and technology transfer, and enhanced trade between the two countries.
The capital investment of approximately USD 4 billion associated with the pipeline represents one of the largest inward investments ever made in Uganda and Tanzania.
“The project will contribute to enhancing the central corridor between Uganda and Tanzania, spurring the development of better road infrastructure, improved logistics, and modern communication through the deployment of a fibre-optic cable,” reads the EACOP website.
