中国邀请乌干达商讨原油管道项目融资

China invites Uganda for talks on crude pipeline project financing

Kingfisher Oil Field at Buhuka, in Kyangwali Sub-county, Kikuube District, that is operated by CNOOC Uganda Limited. PHOTO | ABUBAKER LUBOWA.

  • Discussions had already been going on between Uganda and Chinese export credit agency SINOSURE for possible funding but multiple deadlines for conclusion of those talks had passed without a resolution.

China has invited Uganda’s Energy minister to Beijing to discuss the country’s $5 billion crude oil pipeline, Uganda’s presidency said on Friday.

Potential Chinese funding is being considered as pivotal after Western banks declined to fund the pipeline after pressure from environmentalists who said the project would add to global carbon emissions.

China’s Special Envoy for the Horn of Africa Affairs Xue Bing delivered a message to President Yoweri Museveni on Thursday, in which Chinese President Xi Jinping expressed his support for the 1,445-km (898-mile) pipeline, Museveni’s office said.

“Chinese financial institutions are open to discussions on the project and extended an invitation to Hon. Ruth Nankabirwa, the Minister of Energy and Mineral Development, to visit China for further discussions,” Mr Museveni’s office said.

“I am in full support of Eacop. I believe that it will enhance socio-economic development for the region,” Museveni’s office quoted Xi as saying in his letter.

Discussions had already been going on between Uganda and Chinese export credit agency SINOSURE for possible funding but multiple deadlines for conclusion of those talks had passed without a resolution.

The construction of the pipeline, which will be electrically heated to keep the oil flowing, has started with the transportation of pipes and other material to sites in Tanzania and Uganda.

A thermal insulation plant to insulate the pipes before they are laid started operations in late March.