TANGA: TANGA’s planned integrated refining and energy hub has moved from agreement to implementation, after special coordination teams were formed and started work to fast-track the strategic project involving Tanzania, Uganda and Vitol Bahrain E.C.
The teams were established after the Tanzania Petroleum Development Corporation (TPDC), Uganda National Oil Company (UNOC) and Vitol Bahrain E.C. signed a Memorandum of Understanding (MoU) on August 6 this year to implement the project.
TPDC Executive Director Mussa Makame announced the development in Dodoma yesterday while briefing reporters on the corporation’s 2025/26 performance and projects planned for the current financial year.
“Following the signing of the MoUs among the parties implementing the project, project coordination teams have been formed and have started carrying out various activities that will facilitate its efficient implementation,” Mr Makame said.
The project will include crude oil refining facilities, storage facilities for crude and refined petroleum products, pipelines for transporting refined products and other supporting infrastructure.
The development is expected to position Tanga as an important energy hub for Tanzania and the wider region.
Mr Makame said the project will complement the 1,443-kilometre East African Crude Oil Pipeline (EACOP), which has now reached 92.7 per cent completion.
According to him, the first crude oil is expected to enter Pump Station No. 1 in Uganda in December 2026 before being pumped through the pipeline to Chongoleani in Tanga.
The crude is expected to take about two months to reach Chongoleani, arriving in February 2027.
Once the crude reaches Tanga, it will be stored in four tanks with a combined capacity of two million barrels.
Mr Makame said the first crude oil shipment is expected to be loaded onto a vessel in March 2027, after tests are completed to confirm the tanks’ storage capacity.
“Once the crude oil reaches Chongoleani in Tanga, it will be stored in four tanks with a combined capacity of two million barrels. Upon completion of tests to verify the tanks’ storage capacity, loading of the first crude oil shipment onto a vessel is expected to begin in March 2027,” he said.
Mr Makame said the EACOP project has already generated significant economic benefits, creating 10,000 jobs, with 7,500 of them, equivalent to 75 per cent, going to Tanzanians.
He added that more than 200 Tanzanian companies have secured contracts worth over 1.325tri/- to supply goods and services for the project.
The TPDC chief also said work is progressing on several cross-border oil and gas transport projects aimed at strengthening regional energy integration.
He said a consultant is conducting a feasibility study for a natural gas pipeline linking Tanzania and Uganda, while another feasibility study for a refined petroleum products pipeline to Uganda is expected to be completed by March 2027.
“Other projects under way include a natural gas pipeline to Kenya’s coastal city of Mombasa, a new refined petroleum products pipeline to Zambia being developed through a Public-Private Partnership (PPP) arrangement and discussions on a natural gas pipeline connecting Mozambique and Tanzania,” he said.
According to Mr Makame, the projects are expected to strengthen regional energy connectivity, improve fuel distribution infrastructure and create more opportunities for local businesses and employment as implementation progresses.
