“We look forward to concluding a similar HGA (Host Government Agreement) with the Tanzanian government and concluding the tendering process for all major engineering, procurement and construction contracts. In March 2016, Tanzania and Uganda agreed to transport a crude oil pipeline from the Albertsee Basin in western Uganda to foreign markets through the port of Tanga. In May 2017, the two neighbouring countries signed a letter agreement, followed by the laying of the foundation stone in the port of Tanga by Presidents John Pombe Magufuli and Yoweri Kaguta Museveni in August of the same year. Total stated that it had reached an agreement with Uganda to protect its rights and obligations in the construction and operation of the pipeline, known as the host government agreement. In September, Tanzanian President John Magufuli met with his Ugandan counterpart, Yoweri Museveni. At that meeting, they both agreed to move the HGA forward. Terraz, head of Total`s Africa division, said the negotiations were transparent and the oil giant would ensure that the terms of the agreement were implemented to the letter. The government team included the Governor of the Central Bank, Professor Florens Lugoa, several permanent secretaries, the director general of Parastatal and the companies. Two days later, Ugandan President Yoweri Museveni and Tanzanian President John Pombe Magufuli signed an agreement in Chato pledging to jointly build the 1,445-kilometre East Africa Crude Oil pipeline at an estimated price of $3.5 billion. Work on the pipeline is expected to begin in late 2020. [28] After construction of the pipeline begins, construction is expected to be approximately 36 months. [27] Earlier this month, the Tanzanian government and EACOP discussed Arusha`s plans. The two parties “will continue to work together to successfully implement the EACOP project.” Arusha.

Tanzania and oil company Total signed an agreement yesterday that will pave the way for the construction of a crude oil pipeline from Uganda to the Tanga port. The East African Crude Oil Pipeline (EACOP) has signed a host government (HGA) agreement with Tanzania, as plans for the development of Ugandan oil near the finish line. KAMPALA, Sept 11 (Reuters) – Uganda and France Total have reached an agreement that will bring the oil company and its partners closer to the construction of a crude oil pipeline in neighboring Tanzania, as the company`s local unit announced on Friday. “We have taken important steps that pave the way for the final decision to invest in the coming months,” said Pierre Jessua, Managing Director of Total E-P Uganda. “We look forward to reaching a similar agreement with the Tanzanian government and closing the tendering process for all major engineering, procurement and construction markets.” The government said last year that from the start of construction of the pipeline, it would take 2-1/2 to three years for the pipeline to be completed.