President Magufuli to lay EA oil pipeline foundation stone in Hoima


Geza Ulole

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Magufuli to lay EA oil pipeline foundation stone in Hoima

The Independent November 6, 2017Business, The News Today Leave a comment 290 Views

Hoima-Tanga-1.jpg

FILE PHOTO: Museveni (middle) and Magufuli (right) after they laid the first foundation stone in Tanga in August to mark the start of construction of the crude oil pipeline from Hoima. Magufuli is in Uganda to lay the second stone in Hoima.

Kampala, Uganda | THE INDEPENDENT | Tanzania president Joseph Pombe Magufuli will visit Uganda this week to seal cooperation in areas of transport, power and oil. His 3-day State Visit will climax with laying of the second foundation stone for the East African Crude Oil Pipeline in Hoima on Saturday.

In August, President Yoweri Museveni and Magufuli commissioned the construction of the 1,445km-long East African crude oil pipe line from Hoima district in Uganda to the Tanzanian port of Tanga by laying the first foundation stone.

The heated crude oil pipe line, the longest of its kind in the world, will cost $3.5 billion and will be completed by 2020 making Uganda join the ranks of oil producing countries. The pipeline works will be undertaken by Total E&P, CNOOC and Tullow Oil together with the two governments of Uganda and Tanzania. The pipe line will on completion carry 216,000 barrels of crude oil for export daily.

The Tanzanian government has made numerous concessions to fast track the project that will put the cost of delivering a barrel of oil from Hoima to Tanga at $12.2 per barrel, making Uganda’s crude oil propfitable even at today’s rate of $50 per barrel.

A second visit for Magufuli

This will be Magufuli’s second visit, the first being the swearing-in ceremony of President Yoweri Museveni in May 2016.

Magufuli’s visit starts on November 9th 2017 with the Commissioning of a One Stop Border Post at Mutukula. The two presidents will then lay a cross-border mark-stone at Luzinga Village for the East African Crude Oil Pipeline and address a rally in Kyotera.

Magufuli’s visit comes at a time when the two countries have stepped up bilateral cooperation in a number of sectors. The 1st Tanzania-Uganda Permanent Joint Commission was held on April 3-5, 2017 in Arusha during which both countries agreed on a number of Memoranda of Understanding (MOUs) and other cooperation frameworks. On July 29, 2017 a Ministerial Session was held in Bukoba on cross-border issues.

The key bilateral issues for consideration during the visit will include cooperation in the Transport sector, Power Projects and Uganda-Tanzania cross border issues. A number of MOUs on Cooperation in various fields are also expected to be signed.

The two leaders are also expected to hold a Press Conference in Masaka on Friday November 10th which shall be concluded by the issuing of a Joint Communique.

QUICK FACTS ABOUT EAST AFRICA CRUDE OIL PIPELINE

– At 1,445kms, it will be the longest electrically-heated oil pipeline in the world.

– Uganda will host 296kms of the pipeline, while the remaining 1,149kms will be in Tanzania.

– In Uganda, the pipeline will run through eight districts and 24 sub-counties. In Tanzania, it will go through eight regions and 24 districts.

– It will be a buried pipeline, with 1.2 metres of it beneath the ground.

– Its estimated cost is $3.55 billion while constriction should last three years.

– It will have a daily flow rate of 216,000 barrels with six pumping stations and two pressure reduction stations.


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MY TAKE
Word in the grapevine tells of a major announcement on bilateral air, water n rail transport
 
mwaswast

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mwaswast

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Foundation sio pipeline Jibaba, tu nataka kuona kazi na sio ya pushups.
 
jogi

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jogi

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Aongelee na "Blumberg" (usd1 = Tsh. 2500)
 
gnassingbe

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gnassingbe

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Safi sana watu wamemnanga kuhusu Airport CHATO leo kafungua BUKOBA Airport!.Aisee!Drama never ends!
 
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Total purchasing the portfolio of Maersk in Kenya is gonna complicate this oil pipeline. Currently there is discussion to delay this project as Total get to understand clearly the impact of their decision to buy Kenya interests. Information filtering through indicates that there will be one pipeline to carry oil of two countries to Indian ocean. Key Total shareholders are reported t to have intimated there will be only one pipeline for Uganda and Kenya oil. There is clear possibility now that this pipeline shall be Hoima-Lokichar-Lamu or Hoima-Lokichar-Mombasa pipeline. Its exciting turn of events.
 
Geza Ulole

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Geza Ulole

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Total purchasing the portfolio of Maersk in Kenya is gonna complicate this oil pipeline. Currently there is discussion to delay this project as Total get to understand clearly the impact of their decision to buy Kenya interests. Information filtering through indicates that there will be one pipeline to carry oil of two countries to Indian ocean. Key Total shareholders are reported t to have intimated there will be only one pipeline for Uganda and Kenya oil. There is clear possibility now that this pipeline shall be Hoima-Lokichar-Lamu or Hoima-Lokichar-Mombasa pipeline. Its exciting turn of events.
There is no way the pipeline will go to Lamu yesterday two Al Shaababs militants have been killed in Lamu. The risk is so high! Mind u Total CEOs will be in Hoima for this second leg launch. FYI out of 750 barrels, recovable oil in Lokichar is less than 200 mln barrels!

KDF kill 2 Shabaab militants in Lamu
 
mwaswast

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mwaswast

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Financing imepatikana standard Bank n Sumitomo r to chest the bill! Je nyie?
Sijakuuliza mambo ya finance, kazi on the ground imeanza? With pictures please.
 
commonmwananchi

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commonmwananchi

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Safi sana watu wamemnanga kuhusu Airport CHATO leo kafungua BUKOBA Airport!.Aisee!Drama never ends!
Unajua manywele team walikula mtaji wakiwa na uhakika wa kuingia magogoni SAA 4:00 asubuhi, lakini mzee akaishiwa pumzi njiani kule Iringa.
Sasa hii drama ni machungu ya kukosa vyote na JPM anatembelea kwenye mpini full time, na wao wamekosa gloves za kushika makali
 
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Ndahani

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Sijakuuliza mambo ya finance, kazi on the ground imeanza? With pictures please.
Unaanzaje hujakamilisha project? That is possible only in Kenya
 
mwaswast

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mwaswast

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It is a step forward....you can not jump start the engine
Unaanzaje hujakamilisha project? That is possible only in Kenya
Huu wimbo tumeusikia tangu 2010 from the same kengeza ulole. If it walks like a duck, quaks like a duck then definately it is a....?
 

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