A Paris based team of oil experts discuss new developments regarding the construction of a 1,410km-long East Africa crude pipeline to transport Ugandan oil from its city of Hoima through Tanzania, where 1,100km of the pipeline will run, to the Indian Ocean for export. The project is worth $4b and the initial estimated capacity is to reach 200,000 b/d, Daily News informed.
Among the companies involved in the project are French oil giant Total SA, the UK-based Tullow Oil, and Chinese state-owned oil company Cnooc Ltd. The three firms will develop Uganda’s oil fields as well as invest in the Ugandan pipeline, All Africa stated.
“Uganda has just issued extraction licences to international oil marketing companies, signifying the project is at a good stage of its implementation,” the country’s Minister for Energy and Minerals, Prof. Sospeter Muhongo added.
It is expected that the project will create more than 100,000 new jobs that will boost economic status of the East African Community (EAC) member states.