(3 Minutes Read)
After years of delays and political debate, Uganda’s plan to become a regional oil exporter has advanced significantly, with the East African Crude Oil Pipeline (EACOP) now 75% complete, according to the Uganda Petroleum Authority. The USD 5 billion, 1,443-kilometre pipeline—set to become the world’s longest electrically heated crude line—will transport waxy, low-sulphur crude from the Albertine Graben to Tanzania’s Tanga port.
The pipeline is critical to unlocking production at the USD 15 billion Tilenga and Kingfisher oilfields, operated by TotalEnergies and CNOOC, where field development is 60% and 74% complete, respectively. All pipeline segments have been delivered, and total investment to date has reached USD 3.3 billion, with TotalEnergies holding a 62% stake and the rest shared among state-owned entities from Uganda and Tanzania, as well as CNOOC.
Uganda’s oil sector, anchored by estimated reserves of 6.5 billion barrels—1 billion recoverable—is expected to reach peak production of 200,000 barrels per day between 2025 and 2027. Annual revenue could range from USD 1–2.5 billion, contributing roughly 9% of government income.
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The project is also reshaping regional economic prospects. Tanzania has already earned about TSh50 billion (USD 19.5 million) from taxes, levies, and construction-related fees. Over 1,200 Tanzanians have been employed so far, including hundreds from communities near the pipeline route, while local infrastructure continues to grow around the project.
With EACOP nearing completion, East Africa stands on the verge of enhanced energy security, increased cross-border trade, and new industrial opportunities—particularly in downstream petrochemical industries—marking a decisive step in transforming the region’s energy landscape.
