Transports

Cameroon: Kribi deepwater port contract awarded to Necotrans consortium

2015-09-03T21:32:58+02:00

Cameroon has announced that it has awarded its Kribi deep-water port contract to a consortium led by French logistics group Necotrans.

The aim of the contract is to allow for the import and export of raw materials such as timber and cotton as well as vehicles and service equipment for Cameroon's oil and gas sector. Meanwhile a contract for the Kribi container port was awarded to a Bollore-led consortium last week.

The government is however rushing to get Kribi operational in order to ease congestion on the port of Douala, 150 kilometres to the north.

"As the only deepwater port in Central Africa, Kribi will be the economic lifeblood for Cameroon and the region, notably Chad and the Central African Republic," Necotrans President Gregory Querel told Reuters in a statement.

Necotrans' 20-year contract includes exploitation and maintenance. The company said it plans to invest 26.2 million euros ($29.56 million) on the site and aims to have it handle more than 3 million tonnes of freight annually.

Philippines-based ICTSI and port operator APM Terminals, a unit of shipping and oil conglomerate A.P. Moller-Maersk, were among those bidding for the same contract.

Kenya and Uganda begins Talks over Construction of new Oil Pipeline

2015-08-28T17:08:02+02:00

Talks have been ongoing between the two neighboring countries Kenya and Uganda over the construction and financing of a new oil pipeline linking the two countries and ferry crude produced by companies including Tullow Oil Plc, according to the Kenyan Energy Ministry.

Discussions over project time frames involving officials from both East African countries also began this week, Joseph Njoroge, the ministry’s principal secretary, told Bloomberg. The negotiations followed an announcement made by the Kenyan President Uhuru Kenyatta on the 10th of August that the route for the conduit had been agreed upon after months of debate.

“We have started working out the details together with the Ugandans. We will also engage as many stakeholders as we can. We want this project to take off immediately.” Njoroge said.

Despite the facts that oil was discovered in Uganda in 2006 and four years later in Kenya, both are still in the planning stages of commercial development.

The pipeline however will run for about 1,500 kilometers (930 miles) from Uganda’s Hoima district through Lokichar north of Kenya and on to the coastal town of Lamu. The facility will be developed jointly, while each country will be responsible for raising financing for the project costs within their borders, Njoroge said.

Raising financing for the pipeline may be a “complex process, but not entirely impossible,” John Ngumi, chairman of the state-owned Kenya Pipeline Co., commented.

“It’s never easy,” he said. “Infrastructure financing is done all over the world. Raising financing for crude oil pipelines is done all around. I know what options exists to raise financing, it’s doable.”

Oil has been found in both countries, with Uganda estimating finds at 6.5 billion barrels and Kenya at 600 million barrels. The planned pipeline to the Indian Ocean, which the government estimates will cost about 400 billion shillings ($3.9 billion), will allow the U.K. company,Tullow to start exports from joint ventures with Africa Oil Corp. and Total SA. China’s Cnooc Ltd. is also a partner in Uganda.

Nigeria set to export maximum level of crude oil come October

2015-08-28T09:09:53+02:00

Nigeria has declared its plans to export a total of at least 2.04 million bpd of crude oil come October; the highest level this year. Sweet crude reports.

The exports, which is said to be loaded on 68 cargoes, could increase as the programmes for no less than two grades were still impending. The amount is related with prearranged September exports of just fewer than 2 million bpd, in addition is the highest total since January, when the country issued an initial programme of 62.97 million bpd, or 2.03 million bpd.

Furthermore the record comes at an unfortunate time for the nation, as European refinery maintenance typically rises in October, limiting the amount of crude oil in which they consume.

However drooping demands in Asia, where Chinese refineries are cutting runs, has begun to pressure differentials to dated Brent for West African crude grades.

Although crude oil futures were assembling, the Brent benchmark on which Nigeria’s export prices are based was still close to 6 and a half year lows.

Total Nigeria set on securing damaged oil export pipeline

2015-08-28T08:58:21+02:00

Total Exploration and Production Nigeria (TEPNG) today revealed that the Joint Investigation Visit, (JIV), team which visited the oil spill incident reported at Kilometer 25 and 27 locations on the Obagi–Rumuekpe oil export pipeline recently gathered that the incident was a third party sabotage.

Total E&P Nigeria operates OML 58 with a 40% interest, alongside the Nigerian National Petroleum Corporation (60%).

The company revealed that the JIV was carried out in accordance with the existing regulations, at the oil spill locations, with relevant regulatory agencies like DPR, NOSDRA, and Rivers State Ministry of Environment.

Total’s trained intervention teams are set to clamp the leaks on the pipeline. Relevant agencies and service providers were also mobilized and have installed containment booms to contain the spill and prevent further spread.

TEPNG said they are committed to preventing further spread of the spill and to restore the environment. Total will however continue to work with the relevant government authorities and communities, to certify that it is achieved.

Charles Ogan DGM, Corporate Communication at Total, disclosed in a statement that further updates will be provided in due course.