East Africa set to enter global oil markets as US$5bn EACOP targets first exports by October

By Business Insider Reporter

East Africa is on the cusp of joining the global oil-exporting map, with Uganda and Tanzania targeting first crude exports via the East African Crude Oil Pipeline (EACOP) as early as October, in what would mark a watershed moment for the region’s energy sector.

The US$5 billion pipeline, stretching 1,443 kilometres from Uganda’s oilfields in the Albertine Graben to the Indian Ocean port of Tanga in northern Tanzania, is one of Africa’s most ambitious energy infrastructure projects. Once operational, EACOP is expected to become the world’s longest heated crude oil pipeline, specifically engineered to transport Uganda’s waxy crude at high temperatures.

According to officials cited by Africa Business Insider, construction is now between 75 percent and 80 percent complete, with all major pipeline sections laid and cumulative investment exceeding US$3.3 billion. Project partners are targeting mid-2026 for full operational readiness, paving the way for initial exports shortly thereafter.

Uganda’s Petroleum Authority chief executive, Ernest Rubondo, has described EACOP as a “transformative” project that will unlock the country’s long-held petroleum potential. Uganda is estimated to have about 6.5 billion barrels of crude oil resources, a significant share of which has remained undeveloped for nearly two decades due to the absence of a viable export route.

Political momentum and regional coordination

The project’s momentum was reinforced earlier this month at a high-level stakeholder meeting in Dar es Salaam, bringing together senior officials from both countries to assess progress on pipeline construction, above-ground facilities and the marine export terminal at Tanga.

Uganda’s delegation was led by Energy Minister Ruth Nankabirwa, while Tanzania was represented by Energy Minister Deogratius Ndejembi, alongside regulators and executives from national oil companies. Both governments reaffirmed their political backing for the project and their commitment to keeping it on schedule.

At full capacity, EACOP is expected to transport up to 230,000 barrels of crude oil per day, effectively linking landlocked reserves in the Albertine region to international energy markets via the Indian Ocean.

Economic gains for Tanzania

While the oil originates in Uganda, Tanzania stands to reap substantial economic benefits as the host of the export terminal and a significant portion of the pipeline route. Authorities in Dar es Salaam say the project has already generated tens of billions of shillings in tax revenues, levies and fees, in addition to creating jobs in construction, logistics and support services.

Tanzania’s EACOP project coordinator, Asiadi Mrutu, has previously said the pipeline strengthens the country’s position as a regional energy and transport hub, with positive spillovers for infrastructure development and cross-border trade.

Environmental scrutiny remains

EACOP has, however, attracted sustained criticism from environmental and human rights groups over its potential climate, ecological and social impacts. Project developers – led by TotalEnergies alongside China National Offshore Oil Company (CNOOC) and national oil firms – say extensive mitigation measures are in place, including the use of solar power for parts of the pipeline’s operations.

As Uganda and Tanzania press ahead, officials argue that EACOP reflects a strategic bet on infrastructure-led growth and regional integration at a time of global energy transition. If completed as planned, the pipeline could fundamentally reshape East Africa’s energy landscape, opening a new export corridor to global oil markets while anchoring long-term economic ambitions for both countries.