News / Economy

Uganda Agrees to Plan for Oil Pipeline to New Kenya Port

Three East African presidents, (from R) Uhuru Kenyatta of Kenya, Yoweri Museveni of Uganda and Paul Kagame of Rwanda, hold a joint news conference soon after their meeting in Entebbe, 36km (22 miles) southwest of the capital Kampala, June 25, 2013.
Three East African presidents, (from R) Uhuru Kenyatta of Kenya, Yoweri Museveni of Uganda and Paul Kagame of Rwanda, hold a joint news conference soon after their meeting in Entebbe, 36km (22 miles) southwest of the capital Kampala, June 25, 2013.
Reuters
Uganda has agreed to a plan to build a pipeline from its oilfields to a new port being developed on Kenya's northern coast, Uganda's foreign minister said on Tuesday, enabling crude exports and boosting its oil industry.
 
The pipeline to Kenya's Lamu port, where work on berths is starting, would also provide a route to export crude oil from South Sudan, which now relies on a pipeline through its northern neighbor Sudan. Rows between the two have disrupted flows.
 
Uganda, Kenya and other East African states want to capitalize on a string of oil and gas finds across the region that could make the area a major energy exporter. But production has been delayed, partly due to questions of export routes.
 
Another project agreed by the presidents of Uganda, Kenya and Rwanda, who all met in the Ugandan capital, will involve extending to Uganda and Rwanda an existing pipeline running from Kenya's Mombasa port that now stops inside Kenya.
 
“It was agreed that we develop two oil pipelines - one pipeline that currently exists and brings products from Mombasa to Eldoret [in Kenya] should be extended to Kampala and Rwanda,” Ugandan Foreign Minister Sam Kutesa told a news conference after the summit between Uganda's Yoweri Museveni, Kenya's Uhuru Kenyatta and Rwanda's Paul Kagame.
 
He did not provide figures for the date or the cost of completing the projects.
 
South Sudan previously put the price of a pipeline to Lamu at $3 billion.
 
Extending the Mombasa-to-Eldoret produce pipeline to Uganda was previously estimated to cost $300 million.
 
The product pipeline will be upgraded to allow the flow both ways, the minister said. For now, oil products only flow from Mombasa. Uganda, which plans to start crude output by 2016, aims to build a 30,000 barrel per day refinery by 2016/17.
 
“Another pipeline will be constructed and will be for evacuation of crude oil when it starts flowing, and this again will be done between Uganda, South Sudan and Kenya, ending up at the port of Lamu,” the minister said.
 
That project could boost plans for Lamu, which Kenya wants to act as an oil terminal and a port with transport links to landlocked South Sudan and Ethiopia. It would also relieve pressure on Mombasa port, the main regional gateway.
 
South Sudan, which now exports crude through Sudan to the Red Sea, previously discussed a pipeline through Kenya as well as a route through Ethiopia to Djibouti.
 
Kenya has already awarded a contract to a Chinese firm to build the first three berths at Lamu.
 
Uganda, Kenya and Rwanda also agreed to revamp an existing railway network and extend it to Rwanda and discussed power cooperation, the minister said, adding the three states would meet every two months to review progress on all joint projects.

You May Like

UN: 1 Million Somalis at Risk of Hunger

Group warns region is in dire need of humanitarian aid, with at least 200,000 children under age of five acutely malnourished as drought hits southern, central part of nation More

Human Rights Groups Allege Supression of Freedoms in Thailand

Thailand’s military, police have suppressed release of independent report assessing human rights in kingdom during first 100 days of latest coup More

Jennifer Lawrence Contacts FBI After Nude Photos Hacked

'Silver Linings Playbook' actress' photos were posted on image-sharing forum 4chan; Federal Bureau of Investigations is looking into matter More

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Ukraine Schools Resume Classes, Donate to Government Forcesi
X
September 02, 2014 12:58 PM
A new school year has started in Ukraine but thousands of children in the war-torn east are unable to attend because of ongoing clashes with pro-Russia rebels. In Ukraine's capital, patriotic education has become the norm along with donations to support injured security forces fighting to take back rebel-held areas. VOA's Daniel Schearf reports from Kyiv.
Video

Video Ukraine Schools Resume Classes, Donate to Government Forces

A new school year has started in Ukraine but thousands of children in the war-torn east are unable to attend because of ongoing clashes with pro-Russia rebels. In Ukraine's capital, patriotic education has become the norm along with donations to support injured security forces fighting to take back rebel-held areas. VOA's Daniel Schearf reports from Kyiv.
Video

Video US Detainees Want Negotiators for Freedom in North Korea

The three U.S. detainees held in North Korea were permitted to speak with foreign media Monday. The government of Kim Jong Un restricted the topics of the questions, and the interviews in Pyongyang were limited to five minutes. Each of the men asked Washington to send a representative to Pyongyang to secure his release. VOA’s Carolyn Presutti has our story.
Video

Video Internet, Technology Offer New Tools for Journalists

The Internet and rapidly evolving technology is quickly changing how people receive news and how journalists deliver it. There are now more ways to tell a story than ever before. One school in Los Angeles is teaching the next generation of journalists with the help of a state-of-the-art newsroom. Elizabeth Lee has this report.
Video

Video Turkmen From Amerli Describe Survival of IS Siege

Over the past few weeks, hundreds of Shi'ite Turkmen have fled the town of Amerli seeking refuge in the northern city of Kirkuk. Despite recent military gains after U.S. airstrikes that were coordinated with Iraqi and Kurdish forces, the situation remains dire for Amerli’s residents. Sebastian Meyer went to Kirkuk for VOA to speak to those who managed to escape.
Video

Video West Africa Ebola Vaccine Trials Possible by Early 2015

A U.S. health agency is speeding up clinical trials of a possible vaccine against the deadly Ebola virus that so far has killed more than 1,500 people in West Africa. If successful, the next step would be a larger trial in countries where the outbreak is occurring. VOA's Carol Pearson has more.
Video

Video Survivors Commemorate 70th Anniversary of Nazi Liquidation of Jewish Ghetto

When the German Nazi army occupied the Polish city of Lodz in 1939, it marked the beginning of a long nightmare for the Jewish community that once made up one third of the population. Roughly 200,000 people were forced into the Lodz Ghetto. Less than 7,000 survived. As VOA’s Kane Farabaugh reports, some survivors gathered at the Union League Club in Chicago on the 70th anniversary of the liquidation of the Lodz Ghetto to remember those who suffered at the hands of the Nazi regime.
Video

Video Cost to Raise Child in US Continues to Rise

The cost of raising a child in the United States continues to rise. In its latest annual report, the U.S. Department of Agriculture says middle income families with a child born in 2013 can expect to spend more than $240,000 before that child turns 18. And sending that child to college more than doubles that amount. VOA’s Deborah Block visited with a couple with one child in Alexandria, Virginia, to learn if the report reflects their lifestyle.
Video

Video Chaotic Afghan Vote Recount Threatens Nation’s Future

Afghanistan’s troubled presidential election continues to be rocked by turmoil as an audit of the ballots drags on. The U.N. says the recount will not be completed before September 10. Observers say repeated disputes and delays are threatening the orderly transfer of power and could have dangerous consequences. VOA correspondent Meredith Buel reports.

AppleAndroid

World Currencies

EUR
USD
0.7537
JPY
USD
103.79
GBP
USD
0.6032
CAD
USD
1.0957
INR
USD
60.522

Rates may not be current.