The East African Crude Oil Pipeline (EACOP) – a 1,443 km pipeline connecting Uganda’s oilfields with international markets via Tanzania’s Port of Tanga – has closed its first tranche of external financing. This milestone represents a crucial step toward bringing the infrastructure project to fruition.
Among the commercial lenders were South Africa’s Standard Bank Limited; Uganda’s Stanbic Bank; KCB Bank Uganda; and the Islamic Corporation for the Development of the Private Sector. Multilateral financial institution the African Export-Import Bank also participated in the first tranche.
The funding comes as Uganda prepares to begin production at its Kingfisher and Tilenga oilfields in 2025. The $5 billion project features a 296 km stretch in Uganda and a 1,147 km stretch in Tanzania, along with six pumping stations, two pressure reduction stations and a marine export terminal in Tanzania.
EACOP is being developed by TotalEnergies (62%) and the China National Offshore Oil Corporation (8%), in partnership with the Tanzania Petroleum Development Corporation (15%) and the Uganda National Oil Corporation (15%). It will be the world’s largest heated crude oil pipeline, built to the highest environmental and social standards.
