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Nairobi oil talks call for detailed pipeline assessment

Talks on construction of the Uganda-Kenya oil pipeline were not conclusive in Nairobi on Monday, with the two leaders Uhuru Kenyatta and Yoweri Museveni agreeing to let the technicians refine their proposals ahead of another meeting in a fortnight.

The pipeline project, a key plank of the Northern Corridor Infrastructure Projects (NCIP), was designed to move crude oil from the oilfields of Hoima to the Port of Lamu, through Kenya’s own oilfields at Lokichar.

Museveni and Uhuru seeking a pipeline solution.

In construction of the pipeline, Kenya favours the “northern route” through Lokichar, because as part of the Lamu Port, South Sudan, Ethiopia Transport (LAPSSET) project, it would transform infrastructure and the way of life of the people in the towns and counties across its path.

Uganda’s oil producers – Irish company Tullow Oil, French company Total that favours the route through Tanzania instead, and China’s CNOC – attended the meeting and made presentations at State House, Nairobi.

The two leaders heard technical presentations by Kenyan & Ugandan energy officials on options of constructing the pipeline from Hoima in western Uganda.

Museveni, Kenyatta meet oil officials on pipeline.

Museveni makes a point in Nairobi.

The officials have been asked to harmonise their presentations focusing one ensuring, a least-cost option for a regional integrated pipeline; address constructability issues along all routes; confirm the current proven reserves, which will have an impact on the size of the pipeline and asses the viability of the ports of Lamu, Mombasa and Tanga as export options.

Statement after Nairobi talks

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