In line with the Memorandum of Understanding (MoU) on commercialisation of the discovered petroleum resources in Uganda, feasibility studies on the development of a crude oil export pipeline from the Albertine Graben in Uganda to the East African Coast were undertaken with a view of selecting the least cost route for transporting Uganda’s crude oil to the international oil markets. The Hoima (Uganda) – Tanga (Tanzania) route was found to be the most economic and robust route option since it was more secure, has less constructability and logistical constraints, and had an already operational port, hence resulting in the lowest possible tariff. This was the birth of the East African Crude Oil Pipeline (EACOP) project.
The EACOP project is a development project for a one thousand, four hundred and forty-three (1,443)-kilometre heat traced, insulated, and buried crude oil export pipeline starting at Kabaale, Hoima District, in Uganda and terminating at a Marine Storage Terminal and Load Out Facility at Chongoleani, Tanga District in Tanzania, linking the Albertine Graben in Uganda to the international oil market. The pipeline is designed to transport two hundred sixteen thousand (216,000) barrels of crude oil per day, with a ramp up of up to two hundred forty-six thousand (246,000) barrels of crude oil per day.
The EACOP project is being developed, and will be operated by EACOP Ltd, a company composed of TotalEnergies SE, UNOC, the Tanzania Petroleum Development Corporation (TPDC) and the China National Offshore Oil Company (CNOOC).
LEGAL FRAMEWORK
An Inter-Governmental Agreement between Governments of Uganda and the United Republic of Tanzania was signed on 26th May 2017, laying out a framework on how the two (2) States will work together to facilitate the development of the EACOP project. Subsequently, foundation stones for the EACOP were laid both in Tanga and Hoima in August 2017 and November 2017 respectively.
Negotiations of a Host Government Agreement (HGA) between the Government of Uganda and EACOP Ltd commenced in February 2018 and were concluded in September 2020. This was followed by the negotiation of the Transportation and Tariff Agreement (TTA) between EACOP Ltd, Government of Uganda, TEPU, and CNOOC to agree on the commercial arrangements on paying transportation tariffs, and the Shareholders Agreement (SHA) between TotalEnergies SE, UNOC, TPDC and CNOOC to agree on the respective shareholding and management of the EACOP Ltd. This culminated in the signing of the Uganda HGA, SHA and TTA on 11th of April 2021.
An EACOP Special Provisions Act (2021) was enacted in December 2021 to facilitate the implementation of the EACOP project in Uganda.
On 1st February 2022, EACOP Ltd, together with the Upstream Oil Companies TEPU and CNOOC announced that they had made the Final Investment Decision (FID) to develop Uganda’s O&G projects.
REGIONAL COOPERATION
In line with the IGA, the Petroleum Authority of Uganda (PAU) and the Energy and Water Utilities Regulatory Authority (EWURA) of Tanzania signed an MoU in 2019 to cooperate in the regulation of the EACOP project activities. This cooperation will facilitate the development of this cross-border project.
EACOP PROJECT IMPLEMENTATION
EACOP Ltd was granted a licence to construct the pipeline in Uganda, on 25th January 2023. This followed the submission of the application for the licence by EACOP ltd on 1st July 2022.
On 21st February 2023, EWURA granted EACOP Ltd a construction permit to construct the pipeline in Tanzania.
The Engineering, Procurement, and Construction Management (EPCM) activities for the EACOP project continue to be undertaken by Worley with its local subcontractors (ICS in Uganda and Norplan in Tanzania) in Uganda, Tanzania and London.
China Petroleum Pipeline Engineering Company Ltd (CPP), was contracted to construct the Pipeline and Above the Ground Installations (AGI) in Uganda and Tanzania during April 2023.
Engineering, Procurement, Construction Management Activities
The overall progress of the engineering, procurement, construction management (EPCM) activities stood at 62.5% against the planned 73.3% with engineering at 94.6%, procurement at 83.8%, and construction at 32.7% by 30th June 2025.
Pipeline Construction Activities
The construction of the pipeline continues to be undertaken across eleven (11) spreads, with over 365 kilometres of pipeline welded in both Tanzania and Uganda. In Uganda, approximately 85 kilometres of line pipe had been welded, including the Tilenga Feeder line in the districts of Buliisa and Hoima.
Pipe Delivery and Thermal Insulation.
As of 30th June 2025, the progress of supply of FBE-coated line pipes was at approximately 81.25%, with thirteen (13) out of sixteen (16) batches so far delivered. A total of 838 km of insulated line pipes have been produced, with over 764 km already delivered to construction sites in Uganda and Tanzania.
Camp Construction Works
Construction of Main Camps and Pipe Yards (MCPYs) continued to be undertaken by CPP and its contractors at Tilenga Main Camp (T-MC). As of the end of June 2025, twelve (12) were in use for accommodation.
Above Ground Installations Construction
Construction of the above-ground installations (AGIs) continued to be undertaken by China Petroleum Pipeline Engineering Co., Ltd (CPP) and its contractors at Pump Stations. The major ongoing work included steel fixing and concrete works for equipment foundations, as well as equipment installation.
Marine Storage Terminal and Jetty Construction
Construction work on the tanks and marine storage terminal continued at Tanga . The overall progress of the marine storage tanks stood at 79.3%, while that of the marine terminal was at 34.3% as of 30th June 2025. The primary activities at the terminal involved preparation for the hydrostatic test of the tanks. The hydrotesting of the storage tanks was scheduled for May, July, September, and October 2025.
The overall progress of the Load Out Facility stood at 75.9%, with engineering at 85.2%, procurement at 92.0%, and construction at 60.5%.
Land Acquisition for EACOP
A total of three thousand seven hundred forty-nine (3,749) out of three thousand seven hundred fifty-nine (3,759) PAPs (99.7%) had been compensated in Uganda as of the end of the quarter. In comparison, nine thousand eight hundred sixty-three (9,863) out of nine thousand nine hundred twenty-seven (9,927) PAPs (99.4%) had been compensated in Tanzania. The overall progress of land acquisition progressed to 99.5% with thirteen thousand six hundred twelve (13,612) out of thirteen thousand six hundred eighty-six (13,686) PAPs compensated