Page 6 - AfrOil Week 03 2023

AfrOil PIPELINES & TRANSPORT AfrOil

Angola and Zambia hasten joint

infrastructure development

ANGOLA/ZAMBIA ANGOLA and Zambia last week concluded Pipeline Project, will have a capacity of 100,000
bilateral negotiations on infrastructure deals barrels of oil equivalent per day (boepd) and will
that appear set to bring long-awaited progress pump gasoline, diesel and natural gas.
on a major cross-border pipeline system. Zambian Ambassador to Angola Lawrence
Zambian President Hakainde Hichilema told Chalungumana said: “This milestone agreement
a joint news conference in Luanda that he was will bring to an end a more than 10-year-old
“aware that a number of agreements have been complex negotiation process that shall lead to
signed by the two countries in this regard and cheaper fuel for Zambia.”
despite some of these being signed under the Currently, Zambia imports nearly all of its
previous government, ours is to pick up where fuel from the Middle East, through the Tanza-
they left off and ensure that these projects are nian port of Dar-es-Salaam, which is connected
implemented.” to the local 40,000 bpd Indeni refinery by the
He described his interactions at the confer- 1,710-km Tazama pipeline.
ence in Luanda as “fruitful” and added: “We Meanwhile, Angolan President João
are actually ready to sign that contract. I still Lourenço confirmed that his country was will-
do not understand why we must import oil, at a ing to invest in the Zambian downstream sec-
huge cost from Saudi [Arabia] and Europe, yet tor. He added separately that his meeting with
Angola just next door here has oil.” Hichilema was aimed at strengthening trade and
The two countries have previously under- co-operation between the two countries.
lined the importance of investments in the oil Along with energy, the two sides discussed
and gas sector as a means of achieving mutual transport and infrastructure links. They struck
economic growth. deals on rail and road plans as well as an electric-
The Angola-Zambia Oil Pipeline (AZOP) ity line, planned to be constructed for long-term
network is projected to cost around $5bn, use. They also acknowledged that cross-border
double the amount that was predicted when it links are sparse, to the detriment of trade and
was first unveiled 10 years ago. The project has investment – as well as the efficiency of industri-
gone through multiple revisions in its lifetime, alisation efforts in the Lobito Corridor.
and is expected to run through 1,400 km of the While the AZOP project was initially led by
Lobito Corridor, connecting Zambia to Ango- Zambian copper firm Basali Ba Liseli Resources,
la’s planned 200,000-barrel per day (bpd) Lobito Sonangol and Zambia’s Industrial Development
refinery, scheduled for completion in 2025. Corp. (IDC) have taken over strategic equity
The AZOP system, also known as the Refined positions, with a memorandum of understand-
Petroleum Multi-Product and Natural Gas ing (MoU) signed between the two. ™

Hichilema (L) and Lourenço (R) met in Luanda on January 11 (Photo: Twitter/@HHichilema)

P6 www. NEWSBASE .com Week 03 19•January•2023