The Japan Times - Chinese, French oil majors seal deal for Uganda megaproject

EUR -
AED 4.1039
AFN 71.518282
ALL 90.596933
AMD 402.732664
ANG 2.000029
AOA 1024.718441
ARS 1726.552642
AUD 1.624806
AWG 2.014237
AZN 1.905291
BAM 1.949726
BBD 2.25317
BDT 139.335896
BGN 1.953146
BHD 0.422281
BIF 3343.154414
BMD 1.117469
BND 1.428131
BOB 13.507795
BRL 6.138144
BSD 1.118715
BTN 105.631594
BWP 15.326114
BYN 3.337796
BYR 21902.38266
BZD 2.24987
CAD 1.57139
CDF 2586.939653
CHF 0.914743
CLF 0.027788
CLP 1093.51018
CNY 7.47419
CNH 7.452761
COP 3622.587044
CRC 507.31491
CUC 1.117469
CUP 26.847994
CVE 109.919102
CZK 24.354329
DJF 199.209359
DKK 7.475339
DOP 67.180098
DZD 152.247158
EGP 60.143721
ERN 16.762028
ETB 183.605829
FJD 2.530004
FKP 0.828775
GBP 0.833827
GEL 2.910992
GGP 0.828775
GHS 13.049228
GIP 0.828775
GMD 83.254541
GNF 9908.906907
GTQ 8.549097
GYD 234.387663
HKD 8.757819
HNL 30.067056
HRK 7.564155
HTG 146.611915
HUF 364.211482
IDR 20227.241501
ILS 3.571767
IMP 0.828775
INR 104.968454
IQD 1695.901207
IRR 2113527.40639
ISK 136.78913
JEP 0.828775
JMD 177.435608
JOD 0.792281
JPY 176.900881
KES 145.181654
KGS 97.720161
KHR 4551.818712
KMF 492.803438
KPW 1005.721609
KRW 1517.879473
KWD 0.347309
KYD 0.932283
KZT 502.996153
LAK 25177.22187
LBP 100465.766297
LKR 371.906326
LRD 190.174953
LSL 18.332084
LTL 3.299594
LVL 0.675945
LYD 7.161688
MAD 10.901937
MDL 20.000703
MGA 5072.152212
MKD 61.554642
MMK 2346.631266
MNT 4025.090542
MOP 9.039456
MRU 45.19479
MUR 52.555195
MVR 17.270463
MWK 1939.839031
MXN 20.883218
MYR 4.535845
MZN 71.4175
NAD 18.332738
NGN 1505.218973
NIO 41.17081
NOK 10.504774
NPR 169.013921
NZD 2.015438
OMR 0.429658
PAB 1.118705
PEN 3.853295
PGK 5.096077
PHP 70.413971
PKR 309.398892
PLN 4.393992
PYG 6892.526188
QAR 4.089132
RON 5.341167
RSD 117.652691
RUB 91.464807
RWF 1647.851338
SAR 4.194588
SBD 8.997541
SCR 15.361079
SDG 672.159515
SEK 11.026587
SGD 1.431863
SHP 0.833123
SLE 25.601046
SLL 23432.76069
SOS 639.302518
SRD 41.968771
STD 23129.341854
STN 24.423689
SVC 9.788373
SYP 14529.325125
SZL 18.325742
THB 37.482088
TJS 10.31981
TMT 3.922314
TND 3.33341
TOP 2.690596
TRY 56.049651
TTD 7.576294
TWD 36.589831
TZS 2954.212401
UAH 50.816625
UGX 4524.862203
USD 1.117469
UYU 45.059415
UZS 13349.290541
VES 998.7587
VND 28587.63798
VUV 133.552417
WST 3.104903
XAF 655.957
XAG 0.021457
XAU 0.000274761437
XCD 3.020015
XCG 2.016101
XDR 0.790108
XOF 655.957
XPF 119.331742
YER 263.918097
ZAR 18.459473
ZMK 10058.569965
ZMW 22.681133
ZWL 359.824402
SSP 6420.075745
MXV 2.349444
  • RYCEF

    0.1000

    19.81

    +0.5%

  • VOD

    -0.2500

    16.33

    -1.53%

  • CMSC

    -0.2800

    20.12

    -1.39%

  • RBGPF

    -2.0000

    65

    -3.08%

  • RIO

    -0.2500

    94.16

    -0.27%

  • BTI

    -1.2000

    54.85

    -2.19%

  • NGG

    -0.3000

    74.94

    -0.4%

  • GSK

    -0.3500

    49.35

    -0.71%

  • BCE

    -0.4200

    20.14

    -2.09%

  • CMSD

    -0.3400

    19.93

    -1.71%

  • BP

    -0.9100

    43.52

    -2.09%

  • RELX

    0.1700

    33.24

    +0.51%

  • BCC

    -0.6200

    75.97

    -0.82%

  • AZN

    -1.9400

    164.21

    -1.18%

  • JRI

    0.0000

    10.77

    0%

Chinese, French oil majors seal deal for Uganda megaproject
Chinese, French oil majors seal deal for Uganda megaproject

Chinese, French oil majors seal deal for Uganda megaproject

Chinese and French oil giants sealed a landmark $10-billion deal on Tuesday to develop Uganda's energy resources and build a vast regional oil pipeline, a megaproject that has incensed environmental groups.

Text size:

The so-called Final Investment Decision was announced at a ceremony in Kampala by the heads of France's TotalEnergies and the China National Offshore Oil Corporation (CNOOC).

"Today is the day we commit to invest $10 billion in the Tilenga and Kingfisher projects and the 1,443-km long pipeline," TotalEnergies chairman and CEO Patrick Pouyanne said in a statement.

The project aims to exploit the huge crude oil reserves at Lake Albert, a 160-kilometre (100-mile) natural border between Uganda and the Democratic Republic of Congo.

The oil would be pumped from landlocked Uganda through a 1,443-kilometre (900-mile) heated pipeline -– said to become the longest of its type when completed -- through Tanzania to the Indian Ocean port of Tanga.

Pouyanne described the controversial pipeline as a "masterpiece" of a project, although critics charge that it threatens livelihoods and fragile ecosystems in the heart of Africa.

"From today with the FID, the project will fully enter into the construction phase," he said.

CNOOC Uganda president Chen Zhuobiao said: "Achieving FID is a first step towards achieving first oil and unlocking opportunities for investment and development of Uganda and the whole region."

The ceremony was also attended by Ugandan President Yoweri Museveni and Tanzania's Vice President Philip Mpango.

- 'Devastating' impact -

Lake Albert lies atop an estimated 6.5 billion barrels of crude, of which about 1.4 billion barrels are currently considered recoverable.

In Uganda, the drilling is located in several natural reserves, one of which extends to Murchison Falls, the country's largest national park.

TotalEnergies, formerly Total, said last year it had taken steps to reduce the project's impact on people and the environment, but conservation groups charge it will be devastating.

The pipeline project would be "displacing thousands of households, endangering water resources for millions of Ugandans and Tanzanians, devastating vulnerable ecosystems and pushing the world further into climate chaos," campaign group 350Africa.org's regional director Landry Ninteretse said in a statement.

A consortium of Ugandan and French NGOs filed a lawsuit in 2019 against the French company accusing it of failing to abide by its legal obligations to protect the environment and the rights of the people affected by the project.

In December, the Court of Cassation, France's highest, ruled that the case should be heard in a civil court rather than assigned to a commercial tribunal, in what the activists said was an important victory.

S.Fujimoto--JT