The EACOP project between Tanzania and Uganda is 47% finished, local media said.
The implementation of the East African Crude Oil Pipeline (EACOP) Project began in February 2022. Each of the governments of Tanzania and Uganda holds a 15% stake in the project, whereas 70% is held by foreign oil companies. In total, the construction of the pipeline costs $3.5 billion.
"We are on the right track, and construction will be completed on schedule, as per the contract," Asiadi Mrutu, a project coordinator from the Tanzania Petroleum Development Corporation, said, as quoted by media.
Earlier, Uganda’s energy minister, Ruth Nankabirwa, told a Western news agency that despite challenges in securing debt from Western financial institutions, stakeholders of the EACOP project, including TotalEnergies and China's CNOOC, are investing additional funds to ensure the project’s continuation.
She reportedly confirmed that securing financing has required extensive restructuring. Originally planned with 60% debt and 40% equity, the financing strategy has shifted to a nearly even split due to difficulties with Western banks.