All is set now for the kickoff of the Tanga-Hoima Pipeline, with Tanzania looking to March 2021 for the start of the construction of the $3.5 billion project.
This followed Friday's confirmed agreement between French oil company Total and the Ugandan government over differences which forced the project to stall since 2018.
An initial plan for Tanzania and Uganda to have first oil flow in 2020 through the Uganda-Tanzania Crude Oil Pipe Line (UTCOP) was delayed after investors dragged their feet in making final investment decisions.
Total is now seeking to conclude a similar host government agreement with Tanzania, whose territory the pipe will traverse, to complete the tendering process for all engineering, procurement and construction contracts, according to the statement.
The country coordinator for the East African Crude Oil Pipe Line (Eacop) in Tanzania, Mr Salum Mnuna, told The Citizen that Tanzania is going on with similar negotiations that have been concluded between Total and Uganda.
Credit: The Citizen