Page 6 - AfrOil Week 27 2022
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AfrOil                                 PIPELINES & TRANSPORT                                           AfrOil



       Zambia begins $300mn pipeline




       to move diesel from Tanzania






         ZAMBIA/TANZANIA  ZAMBIA has begun construction of a 700-km   minister, came into office in August 2021.
                         pipeline that will bring diesel into the country   Zambia is also exploring other fuel supply
                         from Tanzania, Energy Minister Peter Kampala   options. In April 2021, the country’s govern-
                         said in a radio interview on July 3.  ment inked a $5bn agreement with Angola on
                           The pipeline will run parallel to the existing   the construction of a 100,000-120,000 bpd pipe-
                         1,700-km Tazama pipeline, which pumps crude   line for refined petroleum products. The Zam-
                         oil from the Tanzanian coast to the Indeni refin-  bian Business Times reported in August of that
                         ery in central Zambia, he said. The initial invest-  year that the parties hoped to begin a feasibility
                         ment in the project will amount to $300mn, he   study in September 2021.
                         said.                                  Then in May 2022, Kampala announced that
                           “In a few months’ time, the pipeline will start   Zambia intended to sign a deal with Namibia,
                         pumping diesel fuel into Zambia. Phase one of   its neighbour to the west, to build yet another
                         the pipeline will end in Mpika (District in north-  fuel pipeline. ™
                         ern Zambia), phase two in Ndola (in Copperbelt
                         Province) and phase three in Solwezi (in north-
                         western Zambia),” Kapala told the live radio
                         broadcast.
                           Zambia owns 66.7% of Tazama, which has
                         a throughput capacity of 22,000 barrels per day
                         (bpd) of oil, while Tanzania holds the remaining
                         33.3%.
                           The oil pipeline, which was commissioned in
                         1968, is inefficient and ageing. By contrast, said
                         Kapala, the new pipeline will be modern.
                           Additionally, he said, the link help the coun-
                         try achieve its long-term goal of stabilising die-
                         sel supplies and maintaining favourable retail
                         pump prices.
                           In 2019, the two countries announced a plan
                         to construct a $1.5bn fuel pipeline to comple-
                         ment Tazama. Talks on the project resumed after
                         the current government, in which Kampala is a   The new pipeline will follow the route of the existing Tazama link (Image: Tazama)



       Uganda, Tanzania to review EACOP’s



       application for construction licence






         UGANDA/TANZANIA  THE governments of Tanzanian and Uganda   which will be the world’s longest heated oil pipe-
                         have initiated a review of the application for a   line. The application must be reviewed in con-
                         construction licence that the East Africa Crude   sultation with the relevant state agencies before
                         Oil Pipeline (EACOP) company submitted to   a licence can be issued, he explained.
                         the policy arm of Uganda’s Ministry of Energy   Martin Tiffen, EACOP’s general manager in
                         last week, according to a report from the   Uganda, submitted the application in line with
                         Monitor.                             the requirements of Ugandan legislation cov-
                           Honey Malinga, the acting director of Ugan-  ering midstream operations in the oil industry,
                         da’s Directorate of Petroleum, told the daily in   including the Petroleum (Refining, Conversion,
                         an exclusive interview that the EACOP group   Transmission and Midstream Storage) Act and
                         had applied for the licence as a necessary pre-  the Petroleum (Exploration, Development and
                         requisite to beginning construction on the link,   Production) Act, he added.



       P6                                       www. NEWSBASE .com                           Week 27   06•July•2022
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