The East African Crude Oil Pipeline is a 1,443km crude oil export infrastructure that will transport Uganda’s crude oil from Kabaale – Hoima in Uganda to the Chongoleani peninsula near Tanga in Tanzania for export to the international market. This major export system, (296km in Uganda and 1,147km in Tanzania), comprises of a 24inch insulated buried pipeline, 6 Pumping stations (2 in Uganda and 4 in Tanzania) and a marine export terminal.
Uganda’s crude oil is naturally viscous and waxy at room temperature, this implies that it solidifies when exposed to these temperatures. Therefore, to transport this oil, the Uganda-Tanzania oil export pipeline needs to be heated at a minimum temperature of 50°Celsius and insulated. To maintain this operating temperature, the pipeline will be electrically heated to keep the oil in a liquid state along the entire route. The EACOP will be the longest electrically heated pipeline in the world.
Transportation of crude by pipelines is safer, more reliable and more environmentally friendly than rail or road alternatives. Transporting crude oil by rail or road is significantly more expensive and risky than by pipeline and can be viable for small volumes of oil over shorter distances, especially if the rail and road infrastructures are already in place. Transportation of the crude oil by road would require more than 2,000 heated trucks every day on the roads which would generate road safety risks, as well as environment and social issues.
The oil to be transported through the EACOP is in its crude form, with a high Waxy Appearance Temperature (WAT) there by making it unusable for domestic or other uses, unless duly refined in the dedicated refinery that is planned to be built by the Government of Uganda.
The pipeline will cross 2 countries, Uganda and Tanzania. In Uganda, it will cover a distance of 296km, through 10 districts (Hoima, Kakumiro, Kyankwanzi, Mubende, Gomba, Sembabule, Lwengo, Kyotera, Rakai, Kikuube), and 25 sub-counties. In Tanzania, it will cover a distance of 1,147km, through the 8 regions (Kagera, Geita, Shinyanga, Tabora, Singida, Dodoma, Manyara, Tanga) and 24 districts.
Following extensive studies of the different route options, the Government of Uganda in agreement with Government of Tanzania selected the Kabaale (Hoima) – Tanga route on the basis of being the least cost, most technically robust and most viable to deliver Uganda’s oil to the international market.
The pipeline will not be visible. It will be buried at a depth of 1.8 – 2 Meters. It will be buried deeper in areas where it has to cross rivers or roads. The only elements of the pipeline infrastructure that will be visible will be the pumping stations, the electrical heat tracing stations, the block valve stations, the marine storage terminal and offloading facilities. These are known as Above Ground Installations (AGIs).
The EACOP corridor will be marked to indicate its presence, purpose, location, product carried, the name and contact information of the company operating it.
The restrictions on activities within the 10 meter operation Right corridor are under discussion and will be agreed with the relevant government representatives in Tanzania and Uganda. Many activities such as planting of deep rooted trees or construction of structures will not be allowed within the 10 meter pipeline corridor during the operations of the pipeline. Crossing of the corridor after construction will be allowed by pedestrians and livestock, except at specific locations. Vehicle access will be allowed at existing roads. No access will be allowed into the permanent Above Ground Installations (AGIs) sites.
The pipeline, Above Ground Installations and Marine Storage Terminal will be constructed by a contractor selected by a dedicated project company. The contractor will be selected through a tender process, in line with international best practice and national content standards.
The signing of the Inter-Governmental Agreement (IGA) In May 2017, The Governments of the Republic of Uganda and the United Republic of Tanzania signed the Inter-Governmental Agreement(IGA) for the East African Crude Oil Pipeline project. The signing of the IGA is a significant milestone that provides the foundation for the project as well as for other project agreements, including the Host Government Agreements, Shareholders’ Agreements and the Financing Agreements. This agreement marks the decision of the two countries to embark on developing the pipeline.
Front End Engineering Design (FEED), is the basic engineering study conducted to define and finalize the technical design of the project. It is an engineering design practice that ensures thorough description of a project and overall construction scope of work allowing the tendering process for the selection of the construction contractors. The FEED will develop the EACOP project basic engineering that will form the basis for detailed engineering, tender process, selection of contractors, the Final Investment Decision (FID), and lead to the construction phase for the pipeline. The FEED activities included pipeline corridor reduction from 2km to 30m width using technical, environmental and social data collected through surveys, definition of the project standards, design of all project components (pipeline, insulation, pumps, power generator, valves etc.). The FEED deliverables included project construction specifications, basis of design, maps, plan layouts, project execution plan, schedule, cost estimates and call for tenders’ preparation.
Pipeline construction will start after the Final Investment Decision has been made and will last approximately 3 years. The first activities will be the construction of the coating plant in Tanzania where the pipes will be coated and insulated, followed by civil works for the construction camps to accommodate people and equipment. There will be 12 construction camps in Tanzania and 4 in Uganda. Subsequently, the construction of the pipeline will begin – the corridor will be cleared, electrical heat tracing cables pulled and the pipe installed along the trench, then welded on the ground, properly jointed, lowered in the trench that will be backfilled. Temporary crossings will be set up for people or animal herds to cross.
Once the oil from Lake Albert basin is depleted, (about 3 decades from now), it is possible that other discoveries of commercially viable oil fields may have been made in Uganda or in the neighboring countries like the Democratic Republic of Congo, Tanzania and South Sudan. The physical life of the pipeline is much longer than that required for the export of crude oil. Generally when pipelines have been built, it opens possibilities for any other crude oil to be produced and exported. Once all the relevant parties at the time decide that the pipeline is no longer required, then the abandonment phase will begin.
A fixed tariff will be established in a dedicated agreement and will represent a fair compensation of the pipeline investors costs.
The EACOP is a private sector led project and will be owned by the shareholders of the project, namely; the Government of the Republic of Uganda, through the Uganda National Oil Company (UNOC), the Government of the United Republic of Tanzania through the Tanzania Petroleum Development Corporation (TPDC) and the three upstream international oil companies; TOTAL, CNOOC and TULLOW, who collectively seek to ship and export the crude oil. An independent Pipeline Company will be established, and it will enter into a number of contracts and agreements with the host governments over whose territory the pipeline will pass. The EACOP Pipeline Company will be the owner of the pipeline facilities; however it will not own the oil that is being shipped through its facilities. The Pipeline Company will operate the pipeline and will have responsibility for the long term safe and uninterrupted operations of the pipeline.
The estimated total cost of the EACOP project is USD 3.55 billion. The capital associated with the construction of the pipeline will be directly injected into the economies of Tanzania and Uganda, increasing their Foreign Direct Investment (FDI) by over 60 % during the construction phase.
The project will be financed by the Pipeline Company shareholders equity and by loan facilities acquired from finance institutions. Banks and financial institutions will provide a large part of the financing for the USD 3.55 billion EACOP project. 60% – 70% is the targeted level of debt towards the financing of the project. The remaining 30% – 40% will be financed by the project stakeholders including the Government of Uganda, Government of Tanzania and the Lake Albert upstream partners; TOTAL, CNOOC and TULLOW through their equity contribution.
The project will need to secure access to land along its route for the construction and operation of the pipeline and its associated infrastructure. Priority in the design and location of infrastructure is to avoid physical displacement. In cases where physical displacement cannot be avoided, the project will work together with the affected persons to find suitable relocation solutions. For permanent installations such as the pipeline corridor, access roads, pumping and pressure reduction stations, electrical heating stations and block valves stations, land will be acquired from its owners, for the Government of Tanzania in Tanzania and the Government of Uganda in Uganda.
The Governments of Uganda and Tanzania, in partnership with the International Oil Companies (IOCs); TOTAL, CNOOC and TULLOW are spearheading the roles and responsibilities of securing access to land for the Project. In Tanzania, land will be acquired permanently by the Government of Tanzania with the Tanzania Petroleum Development Corporation (TPDC) being granted land rights and the land will then be leased to the EACOP project. In Uganda, land will be acquired permanently by the Uganda Land Commission and leased to the EACOP Project. The land acquisition process will be managed by the project Land Team with support from the selected contractors. In cases where physical displacement cannot be avoided, the project will work together with the affected persons to find suitable relocation solutions.
Valuation of affected land and assets is being undertaken by the project in close collaboration with the Government in line with the national legal frameworks and the project standards. This process will determine the compensation for eligible Project Affected Persons (PAPs). The valuation exercise will determine the affected area and will identify the land and structures that will be displaced. This process is ongoing, and will only be finalised once the survey and valuation work is completed and it is ensured that everything has been accounted for.
A resettlement package based on entitlement will be offered after consultation with eligible households. Valuation reports from the Chief Government Valuer, and Resettlement Action Plan (RAP) documents will be submitted to the government for review and approval. The project will then contact each affected household to draft land and compensation agreements. All agreements will be signed by the eligible Project Affected Persons (PAPs), with the consent form of their spouse, a representative of community leaders, a representative from the developer, and representatives from relevant authorities to be identified during the planning phase. Compensation will then be delivered directly to the affected household or individual based on conditions set forth in the agreements. In compliance with national regulations and international standards, compensation will be delivered prior to the access of the land.
The project respects local culture and traditions. As part of the Environmental Social Impact Assessment (ESIA) studies, the project appointed specialists to identify cultural heritage sites including traditional worship places along the pipeline route and seeks to avoid disturbance of any of these sites of cultural or communal heritage whenever possible. If this is not possible then certain sites may be moved but only in consultation with national experts and affected communities or people, and in accordance with any local customs and national laws.
People will be employed during the construction and operation phases of the project. The EACOP project is committed to enhancing the possibilities for local opportunities and reinforcing the use of local workers and contractors through training programs and support to local communities by strengthening their skills and capacities, creating direct and indirect employment and supporting local content and procurement. The pipeline will create short term employment during construction (2-3years) and skills development that can be used in other infrastructure projects and activities. It is expected that casual workers who are willing and able to be involved in the construction phase of the proposed project will be sourced locally, from the vicinity of the project, which will further promote the development of local capacity. All employment opportunities available during the construction period, including the requirements specific to this employment; will be communicated in such a way as to make these opportunities available to as many people as possible.
The project is developing its social investment strategy that will define the kinds of projects it will support, in line with local development plans, local needs and Company policy. The Project will work in partnership with local authorities, local communities and local organizations for the implementation of community development projects.
The EACOP project has benefits for both Uganda and Tanzania which will include, but will not be limited to; job creation, local content, new infrastructure, logistics, technology transfer and enhancement of the trade corridor between Uganda, Tanzania, East Africa and internationally. More dedicated local development programmes are under consirderations. The direct benefit that will arise from the crude oil pipeline will be the increase in Foreign Direct Investment (FDI) for both governments. Local/National content is a key value for the EACOP project participants and will be fully integrated in the contracting strategy as well as the training programs.
A local content plan is being developed in each country to guide the implementation process. It is expected that the Pipeline will provide training for people involved in its implementation, from welders through to pipeline operations staff, who will largely comprise nationals, sourced locally from the vicinity of the project. In doing so, this increase in their capacity will benefit these groups in the long-term since they will be able to work for similar projects or other industries in the future.
Prior to the start of the construction process the project will open possibilities and provide opportunities for local procurement and service provision, including the process for registering interest in being a service provider and how small businesses, who do not have access to technological means, can also take part in service procurement for the project.
All roads are managed by Tanzania National Roads Agency (TANROADS) or Tanzania Rural and Urban Roads Agency (TARURA) in Uganda Tanzania and Uganda National Roads Authority (UNRA) in Uganda. The EACOP project has developed a biodiversity charter which sets the principles of it’s work. According to this charter, the project carries out all its activities while;
- Avoiding unnecessary impact to the ecosystem, the biodiversity
and the local communities.
- Minimizing any unavoidable impact to the ecosystem, the
biodiversity and the local communities.
- Restoring – Rehabilitating the impacted areas and managing
- Offsetting any residual impact seeking net positive gain.
The EACOP project is ensuring that health, safety, security, social, economic and environment are addressed throughout the planning, construction and operation phases of the pipeline. The pipeline route has been selected to avoid the most environmentally sensitive areas like national parks and high population density areas. Facilities will be carefully designed, located and operated to reduce any potential physical and ecological impacts.
ESIA stands for Environmental and Social Impact Assessment. An ESIA is a study aimed at defining and evaluating the potential social, health and environmental impacts of a given project. It is aimed at identifying adequate measures to avoid and mitigate potential negative impacts as well as enhance the benefits. ESIAs are undertaken for most activities and are subject to the approval of the National Environment Management Agency (NEMA) in Uganda and National Environment Management Council (NEMC) in Tanzania. It is also a legal requirement for the approval to be given before the commencement of projects or part of projects such as the EACOP project.
ESIAs are undertaken for oil and gas related activities (construction, access roads, etc.) in line with national and international requirements.
ESIAs are undertaken for oil and gas related activities (construction, access roads, etc.) in line with national and international requirements. It is also TOTAL, CNOOC, and TULLOW policy.
Total East Africa Midstream (TEAM) BV as the project development proponent with the support of national and international environmental practitioners from RSK and Eco & Partner Consult have undertaken the EACOP project ESIA. NEMA in consultation with the lead agencies is responsible for the review and approval of the ESIA.
The project pays priority attention to protecting the environment and wildlife. The Project has identified measures to protect wildlife habitats include realigning the pipeline to avoid critical habitats, minimizing impacts through scheduling construction to occur at times when a species is not utilizing the habitat, restoring habitats post-construction to the same condition as prior to construction and providing compensatory measures such as offsets to achieve no-net-loss or a net-gain. Once buried, the pipeline will not notably change the environment.
Safety is our number 1 value. The East African Crude Oil Pipeline is taking concrete steps to ensure that health, safety, security, and environmental concerns are addressed throughout the planning, construction and operational phases of the pipeline. The pipeline will be buried, and is designed to avoid potential risks of earthquakes, flooding or other potential natural disasters. The engineering and materials selected are such that the pipeline is safe and risks are extremely uncommon.. An extensive pipeline monitoring and control system will be implemented to detect abnormal situations and automatically shut down all the valves to isolate potentially damaged sections of the pipeline.
The use of state of the art pipeline instrumentation and fiber optic technology along the pipeline route allows the detection of movements around the pipeline, small leaks in the ground, and to define the exact location of the events. An oil spill contingency plan is part of the pipeline operating philosophy. The plan ensures that, in the unlikely event of an emergency, we are prepared to quickly respond to repair and to rehabilitate the area.
Pipelines are safe and risks are extremely uncommon. However, as a responsible company, an oil spill contingency plan is fully part of the EACOP operating philosophy. It covers oil leakages on the pipeline, the above ground installations and the export facilities. The project works hard to prevent a pipeline incident, but in the unlikely event of an emergency, it is prepared to quickly respond. An oil spill contingency plan therefore includes control room technologies to control, minimize and stop the flow of a pipeline quickly upon detection of a release. Regular drills with local emergency personnel, such as fire and police departments, also ensure that the project’s response to an incident is well-coordinated and effective.
The viscous and waxy oil in the pipeline has to be maintained at 50 Degrees Celsius for the oil to flow, which means that if there is a leak, the oil solidifies very rapidly, minimizing the impact on the underground. In case of contamination, actions will be carried out to restore the land to its condition before the incident. The project will also put in place an Emergency Pipeline Repair System (EPRS) that will sufficiently prepare for and mitigate against any incidents. Regular shift work by pipeline operators will take place to reduce the risk of fatigue-induced accidents and frequent monitoring of the pipeline to measure the status of the pipeline, thickness of the weld in order to detect where leakages could happen in the future. In addition, there will be a management plan outlining what to do in the event of an oil spill. The pipeline monitoring, repair teams are ready 24 hours a day every day along the pipeline route to respond promptly to any event.
Communities may play a role in the surveillance of the installations in order to keep mutual interests safe. They will be consulted regularly to ensure safety of the pipeline and installations.
All those working for the EACOP project or its contractors are expected to demonstrate utmost respect and discipline towards the communities and the environment, and will be required to follow a strict Code of Conduct and behavior. The project seeks to avoid and minimize any potential negative impacts of its activities on people, communities and the environment. They will also undergo training on local cultural practices, socially appropriate behavior and local customs and traditions. In addition to this, awareness campaigns will be organized to inform workers and communities about potential health effects that can result from the influx of people in communities.
Dedicated teams of Community Liaison Officers (CLOs) have been recruited with the main responsibility to liaise with local authorities and communities to inform them about the project and its current and future activities. They monitor the impact of the EACOP Project on the local communities and among civil societies, local leaders and other stakeholders. This includes supervising the facilitation of social baseline and impact studies, and social impact management plans including land access – acquisition and resettlement, the management of grievances, local employment, and stakeholder engagement.
The EACOP project has a grievance management procedure which makes sure that all concerns and grievances are considered and dealt with in a timely manner. The Project also has Community Liaison Officers (CLOs) based in the communities that will receive and record all grievances in the Project Grievance Book. The Projects Grievance Administrator will ensure that every grievance is investigated and responded to. If a CLO is not available in your area, you may report your grievance through our Toll Free Lines ( 0800 216 000 (Uganda), 0800 780 068 (Tanzania), Email: EACOP.email@example.com, or to any EACOP project contractor working in your area. There is also a District complaints mechanism and other local complaints mechanisms where any issues related to project can be raised for investigation. The EACOP Project and District authorities will work together to ensure that any reported grievances are addressed in a timely manner. The project Community Liaison Officers (CLOs) are a local point of contact for all stakeholders and especially affected communities and people. Community members can approach CLOs to raise their questions about the project and receive information and updates as the Project progresses.
You can access information on EACOP activities using the identified channels of communication such as the website www.eacop.com and direct interaction with our Community Liaison Officers (CLOs). More information about project activities can be accessed by contacting our Toll Free Numbers 0800 216 000 (Uganda), 0800 780068 (Tanzania), and Email:EACOP.firstname.lastname@example.org