Uganda Might Consider New Investors for $4.5 Billion Pipeline, President Says
September 19 2022 - 9:00AM
Dow Jones News
By Nicholas Bariyo
KAMPALA Uganda-The Ugandan government is ready to consider other
investment partners to develop a crude oil export pipeline to the
East African coast, amid criticism from the European Union.
According to President Yoweri Museveni, Uganda will not hesitate
to find someone else to build the 900-mile pipeline should current
French partner TotalEnergies listen a recent resolution by the
European Union's Parliament to pause the $4.5 billion project.
"We should remember that Total Energies convinced me about the
pipeline idea; if they choose to listen to the EU Parliament, we
shall find someone else to work with" Mr. Museveni said on
Saturday.
The European Union's parliament resolution, which was passed
last week, urged the international community to exert maximum
pressure on Ugandan and Tanzanian to stop the project, citing human
rights concerns as well as environmental fears.
The resolution drew condemnation from Ugandan officials, who
insist the project is needed to transform the lives of Uganda's 42
million people.
"The European Union motion seeks to curtail the progress of
Uganda's oil and gas developments and by extension, the country's
socio-economic growth," said Thomas Tayebwa, the deputy speaker of
parliament.
The standoff could further raise fears about the already
long-delayed development of Uganda's 230,000 barrels-a-day oil
project, initially slated to deliver first oil by 2025. The project
is a joint venture between Total Energies and China's CNOOC
Ltd.
A spokesman for TotalEnergies said the company remains committed
to the projects in Uganda and Tanzania.
"TotalEnergies reiterates that this project is major for Uganda
and Tanzania," a spokesman said. "We are doing everything we can to
make it an exemplary project in terms of transparency, shared
prosperity, economic and social progress, sustainable development,
environmental accountability and respect for human rights".
The pipeline has attracted criticism from environmental groups
for its potential to add up to 34.3 million tons of carbon dioxide
and other greenhouse gases that contribute to climate change into
the atmosphere.
Write to Nicholas Bariyo at Nicholas.bariyo@wsj.com
(END) Dow Jones Newswires
September 19, 2022 09:45 ET (13:45 GMT)
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