Page 6 - AfrOil Week 15 2022
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AfrOil                                 PIPELINES & TRANSPORT                                           AfrOil



       Zambia says conversion of Tazama




       oil pipeline will be complete in June






         TANZANIA/ZAMBIA  ZAMBIA expects to have completed the pro-  result, officials in Lusaka have taken the decision
                         cess of converting its sole crude oil pipeline to   to halt refining at the Indeni plant before the end
                         be able to move refined petroleum products by   of 2022.
                         June 2022, a minister has told parliament.  Zambia delivers most of the fuel that the
                           The 1,710km pipe that was built in 1968,   refinery turns out to copper and cobalt mines
                         runs from the Tanzanian port of Dar es Salaam   near its northern border with the Democratic
                         to Zambia’s copper-mining region. For 954 km,   Republic of Congo, Africa’s top producer of both
                         the pipeline has a diameter of 200 mm, and for   minerals.
                         the remaining 798 km, a diameter of 300 mm.  Copper output in Zambia fell by 5% to
                           In June 2020 Tazama, 66.7% owned by Zam-  about 800,000 tonnes last year, while cobalt
                         bia and 33.3% by Tanzania, was on the market   production declined as well by 22% to around
                         seeking $400mn for its upgrade. Its Tanzania   247 tonnes, according to the Zambia Statistics
                         regional manager, Albert Saunyama, was quoted   Agency (Zamstats).
                         by Tanzania Invest as saying at that time that the   According to Dow Jones Newswires,
                         difference in the pipeline’s diameter limits its   Musokotwane also noted that high fuel prices
                         pumping capacity but that the upgrade would   will pose challenges to Zambia’s ability to meet
                         increase its capacity.               growth targets this year, despite the recovery
                           Dow Jones Newswires, citing a speech from   registered in 2021, after a contraction of 2.8% in
                         Zambia Finance Minister Situmbeko Musokot-  2020. ™
                         wane on Thursday (April 7), reported that the
                         conversion of the Tazama crude oil pipeline will
                         help the landlocked country ease fuel shortage
                         and reduce its price.
                           “This [the conversion] will reduce the trans-
                         port cost of fuel,” Musokotwane said. “The inter-
                         national oil prices have had an adverse effect on
                         the pump prices of petroleum globally and Zam-
                         bia has not been spared.”
                           The Tazama pipeline moves 40,000 barrels
                         per day (bpd) of crude for refining at Indeni
                         Petroleum Refinery in Ndola in the Copperbelt
                         Province.
                           However, Dow Jones Newswires noted, both
                         the pipeline and the refinery are operating below
                         capacity, owing to inadequate maintenance and
                         investment programmes. This has disrupted fuel
                         supplies across Zambia, which is Africa’s sec-
                         ond-largest producer of copper and cobalt. As a   The pipeline runs from Dar Es Salaam to the Indeni oil refinery (Image: Tazama)



                                                     INVESTMENT
       SAMIR group pushes for government help






           MOROCCO       A Moroccan support group has called on the   investors wishing to invest, stop negative neu-
                         government to take an active role in supporting   trality and move to positive intervention”.
                         the country’s downstream industry following   Refining Societe Anonyme Marocaine de
                         the shutdown of its only refinery in 2015.  l’Industrie du Raffinage (SAMIR), a Moroc-
                           The National Front for the Salvation of the   can company specialising in the production
                         Moroccan Petroleum Refinery has asked Rabat   of refined petroleum-based fuels, operated a
                         to clarify its policy regarding the future of refin-  200,000 barrel per day (bpd) facility at Moham-
                         ing in Morocco, suggesting it should “encourage   media until its closure.



       P6                                       www. NEWSBASE .com                           Week 15   13•April•2022
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