EACOP vs Lamu pipeline

EACOP vs Lamu pipeline

China to Fund East African Crude Oil Pipeline, 45 Banks and Insurers Abandon the Project​

Thu, 05/25/2023 - 14:00

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East African Crude Oil Pipeline Map (@ EACOP)

East African Crude Oil Pipeline Map (@ EACOP)

China has stepped in to provide funding for the implementation of the East African Crude Oil Pipeline (EACOP) project, following the withdrawal of support by more than 45 banks and insurers, Constructionreview reported.

According to the report, Notable financial institutions such as Citi, HSBC, and Munich Re have ruled out backing the infrastructure, with Standard Chartered Bank being the latest to pull out due to pressure from pro-environment activists arguing that the project could generate carbon emissions seven times higher per year than the country's current levels.

In response to the latest events, the East African Crude Oil Pipeline Project team is now racing against time to secure financial closure for the pipeline. The project team is also facing the challenge of completing land acquisition while keeping the 2025 oil production and export schedule, as set by the government, in sight.

EACOP has already signed an agreement with China Petroleum Pipeline Engineering (CPP), a subsidiary of the state-owned China National Petroleum Corporation (CNPC), for the construction and supply of line pipes.
The partnership adds to the involvement of another state entity, China National Offshore Oil Corporation (CNOOC), which holds a 28.33 percent stake in Uganda oil and eight percent in EACOP.

The EACOP is a comprehensive 1,443-kilometer crude export pipeline system designed to transport Uganda's crude oil from Kabaale-Hoima District in Uganda to a maritime port facility on the Chongoleani peninsula in Tanga, Tanzania.

The export pipeline system consists of a 296-kilometer pipeline within Uganda and a 1,147-kilometer pipeline within Tanzania, comprising a 24-inch insulated buried pipeline, six pumping stations (two in Uganda and four in Tanzania), and a maritime export terminal.

Source / More Information


China to Fund East African Crude Oil Pipeline, 45 Banks and Insurers Abandon the Project | Pipeline Technology Journal

China has stepped in to provide funding for the implementation of the East African Crude Oil Pipeline (EACOP) project, following the withdrawal of support by more than 45 banks and insurers, Constructionreview reported.
www.pipeline-journal.net www.pipeline-journal.net
Constructionreview
 

EACOP will be completed as planned, Ministry assures​

EACOP-780x470.webp


THE Deputy Minister for Energy, Stephen Byabato has assured all stakeholders that the East African Crude Oil Pipeline Project (EACOP) would be completed as planned, expressing the government’s satisfaction with the progress achieved so far.

Speaking during an engagement meeting with Members of the Parliamentary Standing Committee on Energy in Dodoma over the weekend, Byabato stressed that the project was environmental friendly and considers human’s rights as Project Affected Persons (PAPs) having received huge compensation including house replacement.

The engagement meeting held at the Parliament’s premises was organised by EACOP to give the legislators an overview of the project.

“We are so far impressed with the development of the project that has several economic impacts for the country’s development, since the government is collecting levies and people are getting employments,” he said.

The EACOP project team was led by its Managing Director Martin Tiffen to provide an overview of the project and address key topics such as local content, land, and environmental social components.

During the meeting, Mr Tiffen provided a comprehensive summary of the project’s journey from the agreement stage to one year of its execution.

He said that EACOP remains committed to ensuring the successful implementation of the project, and the positive reception from Members of Parliament, further reinforcing their support.

The MP’s general reaction was positive, with Bukene MP Selemani Zedi (CCM) expressing his satisfaction at the project’s progress in Sojo, Nzega in Tabora Region.

He added: “More than 400 hectares were impacted in my constituency, but all the PAPs received huge compensation and further more they were assisted with important skills on how to manage modern farming and livestock keeping to improve their livelihoods.

“They were also provided with food baskets for the period of one year to support their transitional livelihood on their way to their new locations.”

The engagement meeting marked an important milestone as it was the first time EACOP had the opportunity to meet with legislators in the Parliament premises, despite the fact that several of them had previously visited the project sites in Sojo and Chongoleani to gain firsthand insights into the scheme’s operations.

During the engagement, the MPs praised the EACOP project for its distinctiveness and its commitment to provide attractive compensation to those affected.

Among them was Special Seats MP Esther Bulaya, who pointed out that the EACOP project poses as an excellent model for future schemes to follow in terms of compensation.

The engagement meeting with the MPs represents a significant step forward for the EACOP project, fostering transparency, collaboration, and constructive dialogue with key stakeholders.

EACOP has been licensed to construct the 1443km crude oil export infrastructure that will transport Uganda’s crude oil from Kabaale – Hoima in Uganda to the Chongoleani peninsula near Tanga in Tanzania for export to the international market.

In Uganda, 203 of the 2,648 PAPs are physically displaced, and of these, 178 have opted for replacement housing as in-kind compensation instead of monetary compensation. The first batch of these houses was also handed over in February 2023.

Recently, the Petroleum Upstream Regulatory Authority (PURA) and EACOP Ltd – Tanzanian side vowed to enhance local content development, particularly in the area of capacity building.

dailynews.co.tz

EACOP will be completed as planned, Ministry assures - Daily News

THE Deputy Minister for Energy, Stephen Byabato has assured all stakeholders that the East African Crude Oil Pipeline Project (EACOP) would be completed as planned, expressing the government’s satisfaction with the progress achieved so far. Speaking during an engagement meeting with Members of...
dailynews.co.tz dailynews.co.tz
 
Uganda ingenufaika zaidi kama ingefikiria kusafisha mafuta yake na kuuza katika soko la jumuhiya ya Afrika mashariki badala ya kungangana na kazi kubwa ya kujenga bomba. Kupata wekezaji ambao wako na hela katika ujenzi wa bomba ni vigumu mno. Dunia wakati huu inaelekea nishati mbadala. Matarajio yote ya kusema China itajenga bomba na rasilimali yake ni ndoto tu....
 
Congolese Hydrocarbons Minister Gives Update on EACOP Participation
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June 2, 2023
hydrocarbons
Congolese Minister of Hydrocarbons H.E. Didier Budimbu Ntubuanga issued an update on the DRC’s participation in the proposed East African Crude Oil Pipeline (EACOP) on Thursday at the Invest in African Energy Forum in Paris, stating that the country is currently in talks with its regional counterparts.

In a bid to monetize Uganda’s 1.4 billion barrels of recoverable oil reserves, the EACOP project plans to transport oil from Uganda’s Lake Albert oil fields to the port of Tanga in Tanzania, where it will be sold to international markets.

“We did start talks with regards to our contribution in the EACOP pipeline,” said H.E. Minister Ntubuanga. “We were recently in Kampala where we had a joint communication with the Honorable Minister of Hydrocarbons of Uganda. We have started the conversation and are waiting on furthering the conversation with neighboring countries including Tanzania.”

Almost a decade in the making, the proposed pipeline has endured several setbacks in financing and development, from securing the requisite $3.6 billion in investment capital, to now facing armed rebel groups that threaten security in eastern DRC.

“Concerning the situation on the eastern side of the country, it is a political matter that everyone is aware of and our government is eagerly working to install peace within that area of the country,” stated the Minister. “Concerning our licensing round, it takes a few months in terms of the schedule for companies to be able to submit the information. We believe that by the time it will be done, we should have peace in that area already.”

energycapitalpower.com

Congolese Hydrocarbons Minister Gives Update on EACOP Participation

H.E. Didier Budimbu Ntubuanga, Minister of Hydrocarbons of the Democratic Republic of the Congo, stated that the DRC has launched discussions with its regional neighbors
energycapitalpower.com energycapitalpower.com
 
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