East African Crude Oil Pipeline Progress Reaches 47.1 Percent Completion

The Eacop Project, which aims to transport oil from Uganda to Tanzania, has reached a completion milestone of 47.1 percent as of September 2024. The joint venture involves both governments along with TotalEnergies and CNOOC, with a total estimated cost of $3.5 billion. The project is on track to complete by July 2026, providing community compensation and employment for thousands during its construction.

As of September 2024, the East African Crude Oil Pipeline (Eacop) Project, which extends from Uganda to Tanzania, has achieved a notable 47.1 percent completion. Initiated in February 2022, the project involves substantial pipe-laying activities across eight regions, demonstrating a significant advancement in its timeline. The Eacop is a collaborative endeavor involving the Tanzanian and Ugandan governments, each holding a 15 percent interest, in addition to TotalEnergies with 62 percent and CNOOC with 8 percent of the stake. The entire undertaking is projected to cost approximately $3.5 billion, necessitating meticulous logistical and environmental planning to mitigate the impact on local ecosystems and communities. During a recent press briefing, Mr. Asiadi Mrutu, the project coordinator from the Tanzania Petroleum Development Corporation (TPDC), affirmed that construction is on schedule, with completion anticipated for July 2026. He reported that, to date, compensation has been provided to 9,858 residents, equating to 99.3 percent of those entitled, totaling Sh35.1 billion. Furthermore, the project has generated substantial employment opportunities, yielding approximately 8,694 temporary jobs for Tanzanians since its inception. Mr. Mrutu highlighted the economic benefits of the project, noting contributions to government revenue through permits, fees, and land taxes, as well as local procurement valued at Sh821.1 billion. Emphasizing the protection of infrastructure, he stated that local residents are actively collaborating with regional governments to safeguard the project from any form of sabotage. The project anticipates providing permanent employment to 148 workers, of which 114 will be Tanzanians and 34 will be from Uganda, who are currently undergoing training. Mr. Mrutu expressed a commitment to engaging stakeholders, stating that meetings and discussions have been organized to include their perspectives in project implementation.

The East African Crude Oil Pipeline (Eacop) Project represents a significant regional collaboration aimed at enhancing oil transportation from Uganda to Tanzania. This venture is part of a broader strategy to utilize East Africa’s oil resources effectively while ensuring that environmental and social considerations are integrated into its execution. The joint ownership structure involving both governments, TotalEnergies, and CNOOC underscores the multi-national cooperation necessary for infrastructure projects of this scale. The project aligns with regional economic development initiatives and aims to create local employment while maintaining community engagement as a priority.

In summary, the Eacop Project’s progress to 47.1 percent completion signals a promising outlook for the collaboration between Tanzania, Uganda, and their respective partners. With a robust focus on community compensation, job creation, and environmental responsibility, the project is poised to provide long-term economic benefits while engaging key stakeholders throughout its development stages. It reflects a noteworthy advancement in regional energy infrastructure, with the commitment to completing within the scheduled timeline of July 2026.

Original Source: www.thecitizen.co.tz

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Victor Santos is an esteemed journalist and commentator with a focus on technology and innovation. He holds a journalism degree from the Massachusetts Institute of Technology and has worked in both print and broadcast media. Victor is particularly known for his ability to dissect complex technological trends and present them engagingly, making him a sought-after voice in contemporary journalism. His writings often inspire discussions about the future of technology in society.

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