Museveni and Suluhu Signing The EACOP Tripartite Project Agreement

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11 April 2021
Entebbe, Uganda



H.E Suluhu Samia Hassan, the President of the United Republic of Tanzania made her maiden official visit to Uganda.

Suluhu arrived in Uganda this morning for a one day official visit at the invitation of H.E. Yoweri Kaguta Museveni, President of the Republic of Uganda.
​
President Museveni held a ‘brief conversation’ with president Suluhu at State House Entebbe, before commencement of official signing ceremonies for the East African Crude Oil Pipeline (EACOP) Tripartite Project Agreement.
According to both presidents, today’s signing of three agreements by the presidents of Uganda & Tanzania, and the head of oil giant TOTAL renews hope that commercial oil production could finally kick off in four years’ time.

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President Museveni welcomes Her Excellency Samia Suluhu at State House Entebbe earlier today
 

11 April 2021​

Entebbe, Uganda

Uganda, Tanzania sign pipeline deal to kick off oil production​


Uganda, Tanzania and the two oil companies of Total E&P, and China’s CNOOC have finally signed the East African Crude Oil Pipeline deal to ensure oil production begins.​

by KENNETH KAZIBWE

April 11, 2021 at 5:02 pm

Uganda, Tanzania sign pipeline deal to kick off oil production
Photo : President Museveni with Her Excellency Samia Suluhu at State House Entebbe in Uganda today

Uganda, Tanzania and the two oil companies of Total E&P, and China’s CNOOC have finally signed the East African Crude Oil Pipeline deal to ensure oil production begins.
The signing ceremony at State House, Entebbe was done by Energy minister Mary Goretti Kitutu on behalf of Uganda and whereas her Tanzanian counterpart did the job on the other side while the Total E&P vice president for Africa also appended signature.
Speaking after the signing ceremony, President Museveni said the pipeline deal can turn out to be key in the bigger development if the Democratic Republic of Congo and South Sudan choose to use it for their oil.

“At the maximum, it can carry 230,000 barrels per day. Besides, the same corridor, can take a return gas pipeline, supplying Tanzanian and Mozambique gas to Uganda and the Great Lakes region,” Museveni said.

He said chances are high for more oil to be discovered in the remaining 80% of the oil province in the Albertine graben in areas like Kibiro and Butyaba.

He said also cited the new hydro-carbon zone in the North East of the country in the Mount Kadam basin as another area for consideration of oil drilling in Uganda.

According to Museveni South Sudan and DRC also have oil that can be drilled, noting that the East Africa Oil Pipeline can be used together.

“This pipeline could turn out to be a very important project that may serve the region, not only in the short term but also in the medium, if not in the long-term,” he said.
“This project should, in addition to what we have said, serve to awaken all Africans that prosperity and strategic security, are only possible if we use the Pan-Africanist approach that gives us a bigger market and rationalizes economic linkages.”

The agreements
The deals signed on Sunday afternoon included the Tariff and Transportation Agreement (TTA) between the pipeline company and the shippers of the crude oil through the pipeline.

The two governments and oil firms also signed the Host Government Agreement for the Republic of Uganda and the shareholding Agreement (SHA) for shareholders to the EACOP Company.

Shareholders in the East African Oil Pipeline(EACOP) include
the Uganda National Oil Company (UNOC)on behalf of the Ugandan government, the Tanzania Petroleum Development Corporation (TPDC), Total E&P, and CNOOC.

With French company French Total E&P owning a majority stake of 72% in the pipeline, Uganda has 15% whereas CNOOC has 8% and Tanzania has 5%.

Pipeline
The East African Crude Oil Pipeline is a 1,445-kilometer-long pipeline from the oil wells in western Uganda in Hoima district to Tanzania’s seaport of Tanga.

The pipeline will cover 296km in Uganda passing through Hoima, Kyankwanzi, Mubende, Gomba, Kyotera, Lwengo, Ssembabule, Rakai, and Kikuube and 1443km in Tanzania through the regions of Kagera, Gieta, Shinyanga, Tabora, Singida, Dodoma, Manyara, and Tanga.

The $3.5 billion oil pipeline project is the longest electrically heated pipeline in the world and it is heated because Uganda’s oil is waxy.

Uganda has about 1.7 billion barrels of recoverable oil discovered in the Albertine Graben on the border between Uganda and DR Congo at the Kingfisher and Tilenga fields.
Source : Uganda, Tanzania sign pipeline deal to kick off oil production - Nile Post
 
Safari ya Prof. Palamagamba Kabudi alivyokwenda Paris France kuwezesha kutiwa saini mradi wa bomba la mafuta

22 Feb 2021
Waziri wa Mambo ya Nje na Ushirikiano wa Afrika Mashariki, Profesa Palamagamba Kabudi akiwa Paris ambapo alikutana na uongozi wa kampuni ya Total juzi kuzungumzia ujenzi wa bomba la mafuta ambao unatarajiwa kuanza Machi 2021

 
April 11, 2021
Entebbe, Uganda

The joint Communique signed by the two heads of state.

JOINT COMMUNIQUE BETWEEN THE PRESIDENT OF THE REPUBLIC OF UGANDA AND THE PRESIDENT OF THE UNITED REPUBLIC OF TANZANIA ON THE IMPLEMENTATION OF THE EAST AFRICAN CRUDE OIL PIPELINE (EACOP) PROJECT ON THE 11TH APRIL, 2021 AT THE STATE HOUSE ENTEBBE, UGANDA

NOTING that on 31st March, 2021, His Excellency Yoweri Kaguta Museveni, President of the Republic of Uganda invited Her Excellency Samia Suluhu Hassan, President of the United Republic of Tanzania to attend and witness the signing ceremony of the Host Government Agreement between the Government of the Republic of Uganda and the EACOP Company on 11th April 2021 at State House, Entebbe Uganda;

NOTING that the two Heads of State held bilateral talks on a wide range of issues of mutual interest and expressed their satisfaction with the excellent relations and cooperation that so happily exist between the two countries and further reiterated the commitment to deepen cooperation in various areas including trade, infrastructure, transport and social affairs;

FURTHER NOTING that the Heads of State observed a minute of silence on the passing on of the late President, His Excellency Dr. John Pombe Joseph Magufuli, the Fifth President of the United Republic of Tanzania. In this regard, the two Presidents cherished the immense contribution of the late President Magufuli in working towards the cause of the East African Community; fostering and nurturing bilateral relations and cooperation between the two countries and in providing an unequivocal support and 2 commitment to the realization and implementation of the strategic East African Crude Oil Pipeline (EACOP) Project;

UNDERSTANDING that on 26th May 2017 the Governments of the Republic of Uganda and the United Republic of Tanzania signed the Intergovernmental Agreement (IGA) on the implementation of the East African Crude Oil Pipeline (EACOP) Project;

RECALLING the commitments made by His Excellency the late Dr. John Pombe Joseph Magufuli, the Fifth President of the United Republic of Tanzania and His Excellency Yoweri Kaguta Museveni, President of the Republic of Uganda during their meeting at Chato, Geita Tanzania on 13th September 2020, that; each State Party to conclude the Host Government Agreement with EACOP Project Company; commence negotiations of all pending Project Agreements with immediate effect and expedite the implementation of the EACOP Project;

ACKNOWLEDGING the progress made in negotiation and finalization of the Host Government Agreement between the United Republic of Tanzania and the EACOP Company and commending the signing of the Host Government Agreement between the Government of the Republic of Uganda and the EACOP Company on 11th April 2021 and further noting that all outstanding issues related to the EACOP Project have been amicably resolved;

AND ALSO RECOGNIZING that the Shareholding Agreement (SHA) has also been signed by all the stakeholders on 11th April, 2021;

REITERATING their commitment and realisation of the EACOP Project for the benefit of the People of the Republic of Uganda and the United Republic of Tanzania in the spirit of East African Cooperation; and

NOW THEREFORE, the two Heads of State agree and direct as follows:

1. That each State Party takes all necessary steps required for the implementation of the EACOP Project;

2. That having concluded the Tariff and Transportation Agreement (TTA) and the Host Government Agreement for the Republic of Uganda and the Shareholding Agreement (SHA) for Shareholders to the EACOP Company, the companies can now launch the EACOP Project and award the main Engineering, Procurement and Construction Contracts (EPC);

3. That the United Republic of Tanzania to finalise the signing of the Host Government Agreement and related agreements between the Government and EACOP Company.

Done at Entebbe, Uganda on this 11th day of April, 2021.

H.E. Yoweri Kaguta Museveni, President of the Republic of Uganda
H.E. Samia Suluhu Hassan, President of the United Republic of Tanzania
 
12 Apr 2021
Entebbe, Uganda

UGANDA AND TANZANIA SIGN THREE KEY OIL AND GAS AGREEMENTS, FINAL INVESTMENT DECISION IS NEXT.​


Government of Uganda and Tanzania and the joint venture partners have signed three key oil and gas upstream and midstream agreements at statehouse house Entebbe. These are; the tariff and transportation agreement, Host Government agreement for the Republic of Uganda and the shareholding agreement for the EACOP company. With the signing of these agreements the joint venture companies Total and CNOOC can now award the main engineering, procurement and construction contracts.
Source : Dennis Sigoa

Additional details :

Tanzania also committed to signing an HGA on the project “and related agreements” with the EACOP company.

Total will hold the major stake in the heated pipeline, at 72%. Uganda will have 15%, while Tanzania will have 5% and CNOOC Ltd 8%.

Hurdles​

A group of NGOs opposing the EACOP plan accused Total of greenwashing. The #StopEACOP Alliance said there were still “many hurdles” ahead. The group called on affected communities and civil society groups to continue putting pressure on financial institutions to not support the project.

Barclays and Credit Suisse have already opted out of the plan, the NGO group said.

The StopEACOP group went on to issue a response to Total’s defence in March of its analysis of the impact of the Lake Albert development.

The French company’s efforts are “no more than a strategy to obfuscate the dire reality in Uganda and Tanzania”, the group said.

Uganda is also working to finance its stake in the pipeline. The government hopes to raise $130 million but has faced some unexpected challenges from Parliament.

The Tanzanian choice​

Museveni, in a speech at the signing, said it had taken 15 years to get to this point because of differing perspectives between Uganda and the oil companies.

The president said he had initially been opposed to a pipeline, preferring instead to back a local refinery. Uganda’s demand is 38,785 barrels per day, he said, and the wider regional total is 98,250 bpd.

The companies wanted only to export crude, he said.

Kenya had been the initial export route choice, but this would cost $15.8 per barrel. Exports via Tanzania meanwhile will cost $12.77 per barrel, although this will be effectively $13.03 per barrel as a result of some land and port charges.

Museveni also pointed to Tanzania’s support for the Ugandan revolutionary movement, in which he participated. The construction of this pipeline, and tariffs, will be a “modest contribution” to Tanzania’s development, he said.

I thank Her Excellency Samia Hassan for indulging my sentimental request of conducting this signing ceremony on the 11th of April, 2021. 42 years ago, this same day, is when the Tanzanian troops captured Kampala and enabled, Oyite Ojok, to announce the fall of Idi Amin. pic.twitter.com/aMx5Zwbiis
— Yoweri K Museveni (@KagutaMuseveni) April 11, 2021
Click to expand...
Source : Total gives greenlight in Uganda - News for the Oil and Gas Sector
 
Dr Elly Karuhanga and The big question, Why Exporting Crude Oil ?



Source : Next Media Uganda
 
Frank Wanjiru said:
Wakati wa jiwe ulikuwa ni ulaghai tuu,kama una akili timamu usingeweza kusaini mkataba wowote na mtu kichaa type ya jiwe. Unaona hata maswala ya Makanikia ilivyokuwa.
Click to expand...
kama hujui kitu bora utulie ili usionekane mjinga. signing ya priject kubwa kama hiyo inayohusu nchi mbili sio yavsiku moja. hapo penyewe bado mikataba mengine mingi tu bado kusainiwa kabla mradi hujaanza
 
tarehe 11 April 1979 Kampala ilitwaliwa na Tanzania. tarehe 11 April 2021 kusaini mkataba wa bomba la mafuta. Oyite Ojuk (RIP)
 
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