EACOP vs Lamu pipeline

[Geza Ulole]

 

[Geza Ulole]

 

[Geza Ulole]

Pipeline Project to Carry On Despite Funding Withdrawal by International Banks

Busein Samilu • April 27, 2021


The Petroleum Authority of Uganda (PAU) has reaffirmed that construction of the East African Crude Oil Pipeline project (EACOP) will continue despite funding setbacks after some international banks announced they were pulling out.

EACOP is a 1,443km crude export pipeline system that will be constructed to transport crude oil from Kabaale – Hoima District in Uganda to a maritime port facility on the Chongoleani peninsula Tanga in Tanzania.

Shortly after President Museveni, his Tanzanian counterpart Samia Suluhu and the two oil companies Total E&P Uganda Limited (TEPU) and China National Offshore Oil Company (CNOOC) signed four different agreements to pave way for the construction of the $3.5bn pipeline, 25 banks separately released statements announcing that they will not be funding the project.

The banks said they couldn’t support the construction of EACOP, after receiving a petition by 263 organizations from around the world raising a number of issues.

However, while speaking to Chimpreports in Kampala, Bright Clovice Irumba, the Director of Exploration at PAU said this will not stop the project from continuing because these are not the only banks that can finance the project.

“There are various international financial institutions and most of them have their own policies when it comes to funding projects and those policies may hinder their involvement in certain projects; but what we are sure of is that there will be others that will be interested and willing to partake in the ventures,” he said.

“As far as I know, no company in the industry can launch the project like how Total E&P Uganda did on April 11, if they are not satisfied that they will source all the necessary funding in order to take forward the project,” he said.

I appeal to Ugandans to remain calm, some of these international statements may be read with a pinch of salt because sometimes they misrepresent the situation of ground,” he noted.

In what appeared as a confirmation for Irumba’s statements, the government on Friday approved the Resettlement Action Plan (RAP), to pave way for the project.

Honey Malinga, the Director Petroleum at the Ministry of Energy and Mineral Development (MEMD) said that this paves way for the implementation of the second phase of the land acquisition and resettlement process which involves completing the acquisition of land and securing the rights to the land, including payment of compensation and resettlement of affected households.

This section will traverse ten districts of; Hoima, Kikuube, Kakumiro, Kyankwanzi, Mubende, Gomba, Sembabule, Lwengo, Rakai and Kyotera; Twenty – seven (27) Sub-counties, three (3) Town Councils and one hundred seventyone (171) villages.

The project’s permanent land requirements cover the crude oil pipeline corridor, Above Ground Installations (AGIs) such as pump stations, access roads and four construction camps and pipe yards. “In Uganda, these land requirements total approximately 2,740 acres or approximately 1,109 hectares (ha). Most of this (over 90%) relates to the 30m wide construction corridor for the export pipeline and AGUs, with the remainder for temporary construction facilities and access roads.

Pipeline Project to Carry On Despite Funding Withdrawal by International Banks

The Petroleum Authority of Uganda (PAU) has reaffirmed that construction of the East African Crude Oil Pipeline project (EACOP) will continue despite funding setbacks after some international banks announced they were pulling out. EACOP is a 1,443km crude export pipeline system that will be...

chimpreports.com

 

[Geza Ulole]

Gov’t not bothered about banks refusing to finance EACOP​

The Independent April 27, 2021 Business, NEWS Leave a comment

Banks are divided on financing of the East-African-Crude-Oil-Pipeline. Courtesy Photp.

Kampala, Uganda | THE INDEPENDENT | The government is not concerned about the decision of some international banks to stay away from the financing plans for the East African Crude Oil Pipeline.

Several banks in France, where the lead investor in the project, Total, is based, have stated that they will not be part of the arrangements to finance the pipeline that will run from Western Uganda to Tanzania’s Tanga Port. The French banks include BNP Paribas, Société Générale and Crédit Agricole, as well as Credit Suisse of Switzerland, ANZ of Australia and New Zealand and Barclays, according to Bank Track.

Bank Track and Reclaim Finance are organisations that say they are pushing for responsible financing of projects worldwide.

South Africa-based Standard Bank, China’s ICBC and the SMBC of Japan are lead advisors for the EACOP financing and are facing pressure from groups like Bank Track, Reclaim Finance and Energy Voice.

With most of the banks that have so far distanced themselves being from France, the activists hope it will have a greater impact on the financing plans.


The Permanent Secretary of, Ministry of Energy and Mineral Development, Robert Kasande, says the campaign is nothing new and doubts it will have an impact.

The other companies in the project are CNOOC of China, Uganda National Oil Company and Tanzania Petroleum Development Corporation.

Since the two countries signed agreements earlier this month allowing the investors to proceed with the projects, dozens of regional and international NGOs have been calling on the governments, the companies and the lenders to stop the project.

They say the oil and gas activities pose a threat to the ecosystem mainly in western Uganda as they are located in protected areas.

The pipeline is opposed for the fact that apart from running through populated areas displacing residents, the heated pipeline is also planned to go through the world heritage site, Serengeti National Park in Tanzania.

Others groups, like Friends of the Earth, have sought legal action against Total, the lead investor in the oil and gas, alleging human rights violations.

The activists have created a website, www.stopeacop.net which is specifically to name banks and their position regarding the project and also to mobilize people to sign against it.

Stanbic Bank, the East African subsidiary of Standard Bank, in a statement issued last month, noted that they are continuing with the advisory role and that they have policies that ensure best practices regarding the projects they finance.

“Standard Bank Group is committed to responsible investment and to assessing and managing our environmental, social and governance (ESG) risks comprehensively. We follow a thorough, multi-stage process when making decisions whether or not to fund infrastructure projects such as the EACOP,” says the statement.

The bank adds that this process requires it to adhere to all relevant international standards and guidelines as well our internal policies, which cater for the possible effect of the project they finance.

“These policies include Standard Bank’s fossil fuels lending policy, covering all potential lending to coal, oil and gas activities across all of our regions of operation.

Regarding the EACOP project, there has been no material change in Standard Bank’s approach to this project since our last engagement,” says the statement. A Communications Officer at Total E&P Uganda promised to get back to us, but a day later, she had not, despite the reminders.

Crédit Agricole is the largest shareholder in the French asset management company, Amundi, which is also the second-largest shareholder in Total.

The Bank is also one of the biggest sources of finance for Total, having provided $7.3 billion to the oil company between 2016 and 2020, according to a report on the website www.energyvoice.com

After the signing of the agreements in Kampala two weeks ago, the EACOP General Manager Martin Tiffen said they had no plans of abandoning the oil projects in Uganda, saying their operations follow the Ugandan laws and the guidelines of the International Finance Corporation of the World Bank.


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URN

Gov't not bothered about banks refusing to finance EACOP

Kampala, Uganda | THE INDEPENDENT | The government is not concerned about the decision of some international banks to stay away from the financing plans for the East African Crude Oil Pipeline. Several banks in France, where the lead investor in the project, Total, is based, have stated that...

www.independent.co.ug

 

[Geza Ulole]

French president calls for accelerating construction of East African crude oil pipeline​

By
Xinhua News Agency


French President Emmanuel Macron has called for speeding up the construction of the East African Crude Oil Pipeline (EACOP) that will run from Uganda’s oil wells to the Tanzanian seaport of Tanga.

Macron, in a letter to his Ugandan counterpart Yoweri Museveni, said the construction of the 3.55 billion-U.S.-dollar pipeline will be a major opportunity to promote trade between the two countries and further expand their cooperation.

Uganda and Tanzania on April 11 signed three key agreements to kick off the construction of the EACOP.

The 1,440 km crude oil pipeline will transport 230,000 barrels per day. It will be the longest electrically heated pipeline in the world.

French president calls for accelerating construction of East African crude oil pipeline | Macau Business

International, MNA | French President Emmanuel Macron has called for speeding up the construction of the East African Crude Oil Pipeline (EACOP) that will run from Uganda's oil wells to the Tanzanian seaport of Tanga.

www.macaubusiness.com

 

[faoro]

Hehehe kweli wajinga ndio walio wao! Je mwawajua Wafaransa kweli? Mwajua electrol manipulation nini? military coups ni nini? Mwajua revolution ni nini? Mwamjua Muamar Gadaffi ? Alifanywa nini? Nani walimuua? Hivi sasa tunaerevushana,Libya iko aje? Nani waliiharibu na sababu ilikuwa ipi? Mahali kampuni za France kama vile Total Oil ziko ghasia,vurughu hushuhudiwa. Baada ya musumbiji kupata Gesi magaidi wale wabaya kuliko al shabaab wajulikanao kama ISIS wakapiga kambi huko kwenye mpaka wa Mozambique na Tanzania na wamekuwa wakifanya mashambulizi mozambique na Tanzania na kuuwa maelfu ya watu ,sawia na yale ya alshabaab kutoka Somalia kuja Kenya. JIULIZENI NANI HUWA ANAWAFADHILI HAO MAGAIDI ILI WAYUMBISHE SERIKALI NA HIVYO BASI AWEZE KUPORA MALI ASLI YA NCHI ZA KIAFRIKA.KAMA SI MUFARANSA NI NANI?

Ni nini mtanzania anaweza mfunza mkenya???

 

[Geza Ulole]

Local firms want priority in EACOP project deals​

ippmedia.com/en/news/local-firms-want-priority-eacop-project-deals
May 3, 2021

03May 2021
James Kandoya
Dar es Salaam
News
The Guardian

Local firms want priority in EACOP project deals

AS parties await the signing of the Host Government Agreement (HGA) to kick-start implementation of the East African Crude Oil Pipeline (EACOP), the local private sector wants Tanzanian firms to be given priority.

Francis Nanai, executive director of the Tanzania Private Sector Foundation (TPSF)

The HGA is expected to be inked anytime between the government, Total SA and the China National Offshore Oil Corporation Ltd (CNOOC).

Francis Nanai, executive director of the Tanzania Private Sector Foundation (TPSF) said in an interview last week that TPSF has started engaging banks on the matter, and some have expressed readiness to issue loans to local firms should they win tenders in the pipeline construction.

“We have a number of capable local companies that can participate in implementing the project. Some of our members are currently working on the ongoing Standard Gauge Railway (SGR) project and they are doing a great job,” he said.

“What we request is that the government and its partners in the project give priority to Tanzanian firms for works that we can do,” he declared, noting that likewise in the SGR project, Mwanza-Isaka section, TPSF will play its role of providing members with appropriate information.

Local banks have agreed to provide loans to companies that will be awarded tenders in the EACOP implementation, with the firms only being required to submit Local Purchase Order (LPO) to get the relevant credits.

The banks are only waiting for the day when winners in the various tenders are announced and complete bank procedures, he stated.

“We are hopeful that the government will give priority to local bidders in the tenders. This will help in increasing their financial capacity and experience,” said Nanai, citing the fact that many local companies have shown interest to participate in the massive project.

There are individual bidders and those who applied through a consortium, he pointed out.

Dr James Matarajio, director general of the Tanzania Petroleum Development Corporation (TPDC) said the project will kick start after the government signs the HGA, saying that word of the signing date is still awaited from higher authorities.

Last month, Uganda, Tanzania and the two oil firms signed agreements to proceed with construction of the $3.5bn crude oil pipeline to ship crude from fields in Hoima, northwestern Uganda to a facility close to the port of Tanga and onward to international markets.

France's Total and China's CNOOCoperate Uganda's oilfields after Britain's Tullow exited the country last year.

The signatories have now agreed to ‘to start investment in the construction of infrastructure that will produce and transport the crude oil,’ said Robert Kasande, permanent secretary at Uganda's ministry of energy.

Ugandan President Yoweri Museveni and Tanzania's Samia Suluhu Hassan attended the signing of the three accords that included: a host government agreement for the pipeline, a tariff and transportation agreement and a shareholding agreement.

The planned East African Crude Oil Pipeline (EACOP), stretches 1,445 kilometres (898 miles), to cater for Uganda's crude which experts say is highly viscous, needing to be heated to be kept liquid enough to flow.

“This pipeline project can be the core of bigger deployments,” said the Ugandan president. Investors could use the EACOP land corridor to put up another pipeline to ship gas from Tanzania and Mozambique to consumers in Uganda, Rwanda, Congo and other countries in the region, he added.

 

[Ntaghacha]

Ni nini mtanzania anaweza mfunza mkenya???

Kuachana na njaa, ufisadi,ukabila na ufala

 

[Geza Ulole]

Kuachana na njaa, ufisadi,ukabila na ufala

umesahau na hili!

 

[Geza Ulole]

 

[Geza Ulole]

 

[Mwendo Safi]

With all the noise from the conservationists across the world, i dont think anyone would want to touch EACOP now. There is very strong campaign internationally to call off this project completely and conservationists seem to be gaining a lot of ground. The problem with the pipeline is cutting through a UNESCO world heritage site Serengeti National Park. this is really a BIG put-off

 

[eliakeem]

With all the noise from the conservationists across the world, i dont think anyone would want to touch EACOP now. There is very strong campaign internationally to call off this project completely and conservationists seem to be gaining a lot of ground. The problem with the pipeline is cutting through a UNESCO world heritage site Serengeti National Park. this is really a BIG put-off

ona sasa unaandika vitu usivyovijua, WAPI NA LINI BOMBA LILIPITA SERENGETI. HUO UZUSHI MNAOUENEZA NDIYO UNASABABISHA WATU WAWAONE WACHUMIA TUMBO TU.

 

[Geza Ulole]

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Home » President Macron Pledges Political, Economic Support, Ahead of Swearing-In, pushes EACOP Oil Pipeline

President Macron Pledges Political, Economic Support, Ahead of Swearing-In, pushes EACOP Oil Pipeline​

Saturday, May 1, 2021

STATE HOUSE, ENTEBBE: French President Emmanuel Macron has sent a strong message of support to President Yoweri Kaguta Museveni ahead of his swearing-in ceremony next month pledging to work with him to strengthen the political and economic relationship between the two countries.

“I sincerely hope that your new term of office will be an opportunity to deepen the friendship between our two countries, and to develop a relationship of trust in all areas of mutual interest, both political and economic. I therefore hope that the coming years will allow us to cultivate our bilateral dialogue on strategic issues for both countries, especially in supporting the peace process in South Sudan, the stabilization of Somalia and the easing of tensions in the great Lakes region,” President Macron said in a letter to President Museveni.

Macron also wants to fast-track the construction of the EACOP Oil pipeline saying it will be a major opportunity to intensify trade between the two countries and to further expand their cooperation.

“The spirit of dialogue, mutual esteem and respect will enable us to strengthen our bilateral relationship. You can count on me to mobilize French expertise and investors to increase the French economic presence in Uganda and thus give substance to this relationship. This is why I wanted my minister delegate for Foreign Trade and Attractiveness, Mr. Frank Rieser, to visit Uganda this year in line with our mutual desire to intensify our partnership. This visit will follow the signing of the final investment decision between Uganda, Tanzania and the Total Group for the construction of the EACOP Oil pipeline, which will allow the exploitation and export of oil. This will be a major opportunity to intensify trade between our two countries and to further expand our cooperation,” he said.

In a message to the President and the people of Uganda ahead of the swearing-in ceremony next month, President Macron wished President Museveni and all Ugandans success in the new term.

“Following your re-election as the President of the Republic of Uganda, I would like to wish you and all Ugandans every success in your new term.

I know how much you have cherished the ideal of a modern and independent Uganda since assuming the Office of the Head of State in Uganda. I also know to what extent, under your impetus, Uganda has been transformed and has experiences unprecedented economic and human development. This is why I hope that your action will be focused on meeting the new aspirations of the Ugandan youth and that your new term in office will be centred on the full respect for the humanist and democratic values that we share,” he said.

France and Uganda have a strong bilateral cooperation including in military partnership under which the French army provides assistance to train the UPDF for the AMISOM, training Ugandan officers in France or in other military schools in Africa.

Currently, Uganda imported from France goods worth US$51.19 Million during 2020, according to the United Nations COMTRADE database on international trade while it exported goods worth US$8.98 Million during the same time.

#ENDS…

President Macron Pledges Political, Economic Support, Ahead of Swearing-In, pushes EACOP Oil Pipeline | Uganda Media Centre

www.mediacentre.go.ug

 

[eliakeem]

With all the noise from the conservationists across the world, i dont think anyone would want to touch EACOP now. There is very strong campaign internationally to call off this project completely and conservationists seem to be gaining a lot of ground. The problem with the pipeline is cutting through a UNESCO world heritage site Serengeti National Park. this is really a BIG put-off

See where this EACOP passes.

Route Description & Map – EACOP

eacop.com

 

[Geza Ulole]

dfcu Bank ready to fund companies in oil and gas​

JULIUS BUSINGE May 6, 2021 Business, In The Magazine Leave a comment

Jimmy Mugerwa, the Chairman Board of Directors for dfcu and Chief Executive Officer for Zoramu Consulting Group delivering a keynote address at the forum.

CNOOC, dfcu points at post Final Investment Decision prospects

Kampala, Uganda | JULIUS BUSINGE | dfcu Bank held a half day engagement for its clients and stakeholders in the oil and gas sector on Apr.28 following the government’s bold step to sign key agreements that will see the country get first oil possibly by 2025.

Uganda and Tanzania three weeks ago signed three key agreements – Host Government Agreement, Share Holder Agreement and Tariff agreements – to kick off the construction of the East African Crude Oil Pipeline (EACOP).

Godfrey Mundua, the head of corporate banking at dfcu said the bank is ready to offer financial solutions to the private sector in the oil and gas, but must have legal status, collateral, cash flow records, quality employees, good corporate governance structures and systems.

He said dfcu’s financing to the sector includes a broad range of financial solutions including; contract financing of up to 70%, unsecured loans of up to Shs500m, guarantees, invoice/certificate discounting of up to Shs200m, LPO financing, letters of credit, import loans and asset financing.

James Musherure Rujoki, the senior national content officer at Petroleum Authority of Uganda said the country is optimistic that the sector opportunities will be realised given that support infrastructure like roads, the airport, refinery, pipeline are being worked on.
Rujoki said for instance, about one million people will be engaged in the oil and gas sector, meaning a lot of opportunities are in the pipeline.

Mathew Kyaligonza, the national content manager for CNOOC, said they will contract or deal with private companies that have clear records about tax returns, NSSF compliance, National Supplier Database presence, good corporate governance systems, financial status, policies, equipment and software, physical office and more.

He said, CNOOC continues to train SMEs engaged in oil related activities as the Final Investment Decision for the sector knocks.
This year, he said, they will be training 150 SMEs, 70 heavy goods drivers, 120 welders and more in preparation for first oil.


dfcu Bank’s Chief Executive Officer Mathias Katamba said, with the planned East African Crude Oil Pipeline, it is expected that the East African region will be transformed into a major oil player.

He said, while the $3.5bn oil deal will see the 1,443 kilometre pipeline pump Uganda’s oil from the Albertine region to Tanzania’s Indian Ocean Seaport of Tanga, it is important to note that about 80% of the pipeline will be on Tanzanian territory.

“…as a country, we must make the most of the benefits from the work that will be carried out on the 20% of the Pipeline on the Ugandan side,” he said.

Katamba added that the bank is ready to provide financial solutions that will position its customers to fairly compete and win some of the contracts.

Elly Karuhanga, the chairman of Uganda Chamber of Mines & Petroleum, said oil and gas is a big elephant that entered Uganda and will not go back.

He warned banks “to ensure money is available to feed this elephant.”

He said, it is expensive to invest in the sector but it will pay off in the long term when government starts to earn from it and private sector reaping.

A total of US$15-20bn is expected to be invested in the sector – which is slightly over half of Uganda’s Gross Domestic Product – currently reported at approx. US$35bn.

****

dfcu Bank ready to fund companies in oil and gas

CNOOC, dfcu points at post Final Investment Decision prospects Kampala, Uganda | JULIUS BUSINGE | dfcu Bank held a half day engagement for its clients and stakeholders in the oil and gas sector on Apr.28 following the government’s bold step to sign key agreements that will see the country get...

www.independent.co.ug

 

[Geza Ulole]

Oil companies opt to pump crude through pipeline using solar​

The Independent May 11, 2021
Business, NEWS Leave a comment

Crude Oil Pipeline

Kampala, Uganda | THE INDEPENDENT | The partners in the oil and gas industry in Uganda intend to supply solar energy to power the East African Crude Oil Pipeline in transporting crude from Hoima in western Uganda to Tanzania’s Tanga Port.

The energy will be used at the six pump stations along the pipeline, two of them located at Kabaale industrial park in Hoima and in Sembabule in Uganda.

Pump stations are large industrial facilities that maintain the flow and pressure of oil by receiving oil from the pipeline, re-pressurizing it, and sending it back into the pipeline system.

An equivalent facility in a natural gas pipeline is called a Compressor station. The pump stations are spaced between 40 and 100 miles, depending on the terrain of the route of the pipeline, the capacity of both the pipeline and the station, and the type of product moving through.

Uganda’s crude is heavy and thick (highly viscous), and despite the pipeline being heated, will require pump stations to boost its movement to the port. The EACOP project consists of the construction of a buried 1,443 km oil pipeline, a storage terminal and a loading jetty in Tanga.

“The oil pipeline includes six pumping stations, powered by solar plants in Tanzania, and a heat tracing system. The physical characteristics of the oil from Tilenga mean that it needs to be kept at a temperature of 50°C for transportation,” says a statement by Total, the lead investor in the pipeline.


The solar plants to be part of the project financing decisions is also aimed at reducing the cost on the environment, which would have been higher when using petroleum oil. The pump stations along the pipeline are also considered one of the riskiest stages along the pipeline due to the emission caused by both the product and the kind of energy used.

Different kinds of pumps run on diesel, natural gas, or electricity, depending on the type of product, availability of the type of energy and the financial and environmental costs. Uganda’s pipeline project has been criticized by various organisations in Africa and Europe, for its potential cost to the ecosystem and the environment generally.

While some NGOs have called on the leaders of Uganda and Tanzania to stop the development of the project, others have convinced international banks not to finance the project.

Total and the government of Uganda have persistently allayed the fears of environmental effects, saying that strict measures have been put in place following international guidelines and standards. Pump stations release pollutants that are harmful to health and climate, including Volatile organic compounds (VOCs).

“These are emitted as gases from certain solids or liquids and they include various chemicals, some of which may have short- and long-term adverse health effects”, according to Earthworks, a US-based environmental protection NGO.
Other common gases are nitrogen oxide, carbon monoxide and carbon dioxide. Installation of the solar energy stations and connection to the pipeline is expected to cost 380 billion Shillings. The use of solar may help ease the pressure on the project as solar is considered one of the cleanest sources of energy.

Other concerns raised by the environmentalists concern the fate of the plants and animals in the protected wildlife areas, as most of the oil and gas activities are located in the national parks like Murchison Falls and Queen Elizabeth national parks.

Total is due to relinquish to the government most of the land it had occupied for its exploration activities, and in all, less than 1 per cent of the protected area will be retained for the rest of the activities.

The heated pipeline is planned to run under the ground and will be insulated to avoid emitting heat into the soil and the environment. “The pipeline is a 1,443km crude oil export infrastructure that comprises a 24inch insulated, buried pipeline, 6 Pumping stations (2 in Uganda and 4 in Tanzania),” says Stella Amony, Communications Officer at Total E&P Uganda.


*******
URN

Oil companies opt to pump crude through pipeline using solar

Kampala, Uganda | THE INDEPENDENT | The partners in the oil and gas industry in Uganda intend to supply solar energy to power the East African Crude Oil Pipeline in transporting crude from Hoima in western Uganda to Tanzania’s Tanga Port. The energy will be used at the six pump stations along...

www.independent.co.ug

 

[KENPAULITE]

dfcu Bank ready to fund companies in oil and gas​

JULIUS BUSINGE May 6, 2021 Business, In The Magazine Leave a comment

Jimmy Mugerwa, the Chairman Board of Directors for dfcu and Chief Executive Officer for Zoramu Consulting Group delivering a keynote address at the forum.



Kampala, Uganda | JULIUS BUSINGE | dfcu Bank held a half day engagement for its clients and stakeholders in the oil and gas sector on Apr.28 following the government’s bold step to sign key agreements that will see the country get first oil possibly by 2025.

Uganda and Tanzania three weeks ago signed three key agreements – Host Government Agreement, Share Holder Agreement and Tariff agreements – to kick off the construction of the East African Crude Oil Pipeline (EACOP).

Godfrey Mundua, the head of corporate banking at dfcu said the bank is ready to offer financial solutions to the private sector in the oil and gas, but must have legal status, collateral, cash flow records, quality employees, good corporate governance structures and systems.

He said dfcu’s financing to the sector includes a broad range of financial solutions including; contract financing of up to 70%, unsecured loans of up to Shs500m, guarantees, invoice/certificate discounting of up to Shs200m, LPO financing, letters of credit, import loans and asset financing.

James Musherure Rujoki, the senior national content officer at Petroleum Authority of Uganda said the country is optimistic that the sector opportunities will be realised given that support infrastructure like roads, the airport, refinery, pipeline are being worked on.
Rujoki said for instance, about one million people will be engaged in the oil and gas sector, meaning a lot of opportunities are in the pipeline.

Mathew Kyaligonza, the national content manager for CNOOC, said they will contract or deal with private companies that have clear records about tax returns, NSSF compliance, National Supplier Database presence, good corporate governance systems, financial status, policies, equipment and software, physical office and more.

He said, CNOOC continues to train SMEs engaged in oil related activities as the Final Investment Decision for the sector knocks.
This year, he said, they will be training 150 SMEs, 70 heavy goods drivers, 120 welders and more in preparation for first oil.


dfcu Bank’s Chief Executive Officer Mathias Katamba said, with the planned East African Crude Oil Pipeline, it is expected that the East African region will be transformed into a major oil player.

He said, while the $3.5bn oil deal will see the 1,443 kilometre pipeline pump Uganda’s oil from the Albertine region to Tanzania’s Indian Ocean Seaport of Tanga, it is important to note that about 80% of the pipeline will be on Tanzanian territory.

“…as a country, we must make the most of the benefits from the work that will be carried out on the 20% of the Pipeline on the Ugandan side,” he said.

Katamba added that the bank is ready to provide financial solutions that will position its customers to fairly compete and win some of the contracts.

Elly Karuhanga, the chairman of Uganda Chamber of Mines & Petroleum, said oil and gas is a big elephant that entered Uganda and will not go back.

He warned banks “to ensure money is available to feed this elephant.”

He said, it is expensive to invest in the sector but it will pay off in the long term when government starts to earn from it and private sector reaping.

A total of US$15-20bn is expected to be invested in the sector – which is slightly over half of Uganda’s Gross Domestic Product – currently reported at approx. US$35bn.

****

dfcu Bank ready to fund companies in oil and gas

CNOOC, dfcu points at post Final Investment Decision prospects Kampala, Uganda | JULIUS BUSINGE | dfcu Bank held a half day engagement for its clients and stakeholders in the oil and gas sector on Apr.28 following the government’s bold step to sign key agreements that will see the country get...

www.independent.co.ug

I thought wanataka kufinance the contract value nishangae

 

[Mwendo Safi]

EACOP may need to re-strategize on the future of this project given strong headwinds it has encountered. I would recommend the change from crude pipeline to a refine oil pipeline. Refine product doesn't even need a pipeline as such tankers can pick these products from Hoima and there is a ready market in East Africa so huge that it cant even meet the demand. If we continue with crude pipeline then we are headed nowhere given an environmentally conscious world that we are currently living in.

 

[Geza Ulole]