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Uganda has signed a landmark deal with Tanzania for the construction of the world’s longest electrically heated crude oil pipeline, working in partnership with French oil supermajor Total.
The 1440km export pipeline, expected to be completed within three years, has an anticipated cost of $3.5 billion. It will run from western Uganda to the Indian Ocean port of Tanga in Tanzania.
The deal between Uganda and Tanzania on Sunday marks the start of greater economic partnerships between the two countries in the energy sector and beyond. The governments of the two states hope the deal will encourage upwards of $15 billion in investments.
The long-anticipated project is expected to tap over one billion barrels of crude oil from Uganda, to transport them from a landlocked position to a key sea port. In order to transport the oil effectively, the pipeline will be heated to manage the high viscosity of the Ugandan oil.
Total East Africa Midstream, part of the supermajor energy group Total, will be developing the project. The construction of the pipeline is expected to solidify Total’s position in the African region.
While the two countries are optimistic about unlocking the potential for both oil and several other areas of their economies, environmental activists are less than enthusiastic. Many worry that the pipeline could have a detrimental effect on the environment, including damaging water sources and wetlands due to the increase in CO2 emissions.
However, there are significant benefits to be seen from the project, with an expected $1.7 billion of work for companies across the two countries during the construction phase. In addition, Tanzanian President Hassan stated, “The project will bring revenues to the regional countries and more than 10,000 jobs will be created”.
Quote ; “The Story Behind The World’s Longest Electrically Heated Oil Pipeline”
I expected something akin to a bombshell. Some good not-so-good points that I can silence wahasimu wangu kutoka Tz with. How disappointed I am now! If I am to use your ‘expose’ as fighting ammunition in a debate with them I’d be like the infamous Balaam who blessed “God’s beloved tribe” instead of cursing. Or could you be that Balaam?