EACOP vs Lamu pipeline

EACOP vs Lamu pipeline

Tanzania Reports Completion of Compensation for 9,823 Individuals Affected by EACOP​


A total of Tshs. 34.93 Billion was allocated for this purpose. Additionally, the government has constructed 340 new houses for 294 individuals who were relocated due to the pipeline project.

The Chanzo Reporter

The Chanzo Reporter​








Tanzania has reported completing land compensation for 9,823 out of 9,904 individuals affected by the passage of the East African Crude Oil Pipeline (EACOP) through their land.

This was revealed in parliament during the tabling of the Ministry of Energy budget on April 25,2024. According to the Deputy Prime Minister, Doto Biteko, who also serves as the Minister for Energy, a total of Tshs. 34.93 Billion was allocated for this purpose. Additionally, the government has constructed 340 new houses for 294 individuals who were relocated due to the pipeline project.

EACOP is a 1,443km pipeline that will transport oil produced from Uganda’s Lake Albert oilfields to Tanga in Tanzania. The pipeline runs from Kabaale, Hoima district in Uganda to the Chongoleani Peninsula near Tanga Port in Tanzania.

It’s jointly owned by TotalEnergies which has a 62 per cent stake in the project; China National Offshore Oil Corporation (CNOOC) which holds 8 percent of the stake and Tanzania and Uganda hold 15 percent of the stake each.

Tanzania has so far paid 94 percent of its capital requirement for the project translating to USD 289.78. The pipeline employs about 5,000 Tanzanians, and it was reported that Tanzania has received about Tshs 30 Billion of tax revenues from the pipeline.

The Chanzo Reporter

The Chanzo Reporter​


thechanzo.com

Tanzania Reports Completion of Compensation for 9,823 Individuals Affected by EACOP - The Chanzo

A total of Tshs. 34.93 Billion was allocated for this purpose. Additionally, the government has constructed 340 new houses for 294 individuals who were relocated due to the pipeline project.
thechanzo.com thechanzo.com
 

Standard Bank Set to Help Fund $5 Billion African Oil Pipeline​

Standard Bank Group Ltd. said it is set to move forward with funding for TotalEnergies SE’s planned East Africa Crude Oil Pipeline project after completing a years-long review.
Author of the article:
Bloomberg News

Bloomberg News
Daniel Cancel and Paul Burkhardt
Published Jun 13, 2024 • 1 minute read
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Part of the East African Crude Oil Pipeline, in Kikuube, Uganda.


Part of the East African Crude Oil Pipeline, in Kikuube, Uganda. PHOTO BY LUKE DRAY /Photographer: Luke Dray/Bloomber

​

(Bloomberg) — Standard Bank Group Ltd. said it is set to move forward with funding for TotalEnergies SE’s planned East Africa Crude Oil Pipeline project after completing a years-long review.



The $5 billion pipeline, which would stretch from Uganda’s oil discoveries to an export terminal on the coast of Tanzania, has faced strong opposition from environmental groups that have scrutinized potential lenders. Standard Bank, Africa’s biggest lender, in 2021 hired an independent adviser to help it decide on involvement in the project.




“We have done our governance processes internally,” Standard Bank Chairman Nonkululeko Nyembezi said in an interview in Rio de Janeiro. That includes a credit review and “the environmental and social due diligence, which took quite a long time,” she added.



Groups opposed to the pipeline, known as EACOP, have asked banks to shun the project, arguing that it will harm wildlife habitats, impact communities and increase greenhouse gas emissions. Residents displaced by its construction have been inadequately compensated and had their lives disrupted, according to a Human Rights Watch report.



At the same time, Ugandan President Yoweri Museveni has rallied in support of the project, publicizing its backing by China’s leader, Xi Jinping. The pipeline’s cost has increased to $5 billion from an earlier estimate of $4 billion, Uganda’s energy minister said in January.



“We have all the lenders,” Nyembezi said, declining to identify them. She didn’t comment on the total amount of funding.



She said Standard Bank is limited in how much more it can say publicly until there is a decision on the pipeline’s funding. The lender expects TotalEnergies to make an announcement over the next few months, adding that field developments are underway.



There is “complete commitment on the part of the sponsors of the oil projects to get it done,” Nyembezi said.



TotalEnergies didn’t immediately respond to a request for comment.



—With assistance from Francois de Beaupuy.

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