Oil & Gas

Deputy Permanent Secretary in the Ministry of Energy responsible for the Oil and Gas sector, Dr. James Mataragio, stated that the implementation of the East African Crude Oil Pipeline (EACOP) project prioritizes national interests—particularly local job creation, increased government revenue, and participation of local companies in service provision. During his visit to the thermal insulation system facility in Sojo, Tabora Region, he observed the preparation of pipelines equipped with anti-corrosion technology, which will transport crude oil from Hoima, Uganda to Chongoleani, Tanga.

Dr. Mataragio confirmed that the Ministry, through TPDC, is satisfied with the project’s progress, noting that 100 percent of the funding for EACOP has already been secured. Construction is underway in the regions of Kagera, Geita, Tabora, Singida, Dodoma, Manyara, and Tanga. The project also includes the development of four oil pump stations and two pressure reduction stations, which have reached 55% completion.

The pipeline construction has now reached 65% completion and is expected to cost USD 5.65 billion. Importantly, over 9,000 local jobs have been created during the construction phase, with 75% of these positions filled by Tanzanians. This marks a significant socioeconomic impact for communities along the pipeline route.

So far, the Tanzanian government has earned TZS 60 billion from the project through land rent, service levies, and various permit fees. The EACOP project is a joint venture between Tanzania and Uganda (15% each), China’s UNOC (8%), and TotalEnergies (62%), and is expected to be completed by July 2026.