en.Wedoany.com Reported - During a site inspection of the East African Crude Oil Pipeline at the end of June, Tanzanian Energy Minister Deogratius Ndejembi instructed the Tanzania Electric Supply Co. Ltd. to ensure the extension of power lines to this major project. The pipeline, spanning 1,443 kilometers, is designed to transport crude oil from Uganda's Hoima region to the Indian Ocean export terminal in Tanga, Tanzania.
Ndejembi stated that power access is one of the final challenges facing this $5.6 billion oil pipeline, which will become the world's largest electrically heated pipeline. Final mechanical construction and hydrostatic testing are scheduled for completion in the second half of 2026, with the first crude oil shipments expected to arrive at the Chongoleani export terminal in January.
The entire 24-inch pipeline must rely on a specialized electric heat tracing system to maintain a constant temperature of 122°F (approximately 50°C), ensuring the flow of Uganda's high-viscosity crude oil. Designed with a daily transport capacity of 230,000 barrels, the pipeline plans to use solar energy to power most of its operations.
Ernest Rubondo, Chief Executive Officer of the Uganda Petroleum Authority, described the pipeline as "the backbone of Uganda's crude oil exports and a key driver of economic transformation." In 2006, approximately 6.5 billion barrels of oil reserves were discovered in two oil fields near and beneath Lake Albert in western Uganda. Alongside the pipeline, the development of the Tilenga and Kingfisher oil fields is also underway, including supporting infrastructure.
The project is led by France-based TotalEnergies, which holds a 62% stake. The Uganda National Oil Co. and the Tanzania Petroleum Development Corp. each hold 15% stakes, while China National Offshore Oil Corp. holds 8%. Engineering, procurement, and construction contracts were awarded in 2022 to a joint venture comprising Australia's Worley Ltd. and China Petroleum Pipeline Engineering. The project's development has created approximately 10,000 jobs.
The pipeline will traverse wetlands, rivers, and numerous protected ecosystems, including Murchison Falls National Park, which is considered a vital sanctuary for African wildlife.
Although the initial pipeline development plan required 60% of funding from bank loans and 40% from shareholders, according to opponents and media reports, shareholders have effectively provided 90% of the funding after dozens of commercial banks refused to directly finance the project due to environmental, social, and climate risks. International environmental groups and climate scientists have labeled the pipeline a "carbon bomb," stating it will release over 379 million tons of carbon dioxide over its lifecycle. On June 25, Yale Environment 360, an independent non-profit publication of the Yale University School of the Environment, cited energy engineering experts to highlight numerous environmental impacts, while TotalEnergies also defended the project. Several lawsuits against the project and TotalEnergies have been dismissed on technical grounds, but further legal challenges may arise, including in London, where EACOP Ltd. is registered.
