NOIC Pipeline Project
The NOIC Pipeline Project is the construction of a second pipeline after the Feruka-Harare Pipeline. The pipeline is expected to run from Zimbabwe to Harare and Bulawayo. From Bulawayo, it will run southwest to Botswana and north through Zambia to the Democratic Republic of Congo.
The deal was facilitated by Eddie Cross and Daniel McKenzie-Ncube.
In August 2021, reports stated that the National Oil Infrastructure Company of Zimbabwe (NOIC) had entered into a joint-venture agreement with Coven Energy Limited to establish a second fuel pipeline from Beira to Harare. Monica Mutsvangwa said the pipeline would be built over four years, at an estimated cost of US$1.3 billion.
The project would result in the NOIC and UK-based Coven Energy entering into a 50:50 public-private partnership. The partnership will be for a period of 30 years.
The projects will include the following:
- Strengthening the infrastructure at Mozambican ports to establish the capacity to handle regional petroleum needs;
- Establishing a floating single point mooring (SPM) off the coast of Beira capable of handling large tankers (Beira can only handle small tankers because of draft). A SPM is a floating buoy/jetty anchored offshore to allow the handling of liquid cargo such as petroleum products for tanker ships. It serves as a link between the shore facilities and the tankers for loading or off-loading liquid and gas cargo;
- Building a new pipeline for refined fuels from Beira to Harare terminating at Mabvuku storage facilities where Noic has underground tanks for 400 000 tonnes of petroleum products;
Constructing the capacity to distribute fuel by rail from the Harare hub to regional states; and eventually building pipelines to the Congo, South Africa and Malawi.
The NewsHawks reported that upon completion the deal's cost would have escalated to US$4 billion.
- ↑ LIVINGSTONE MARUFU, Zim expedites US$1.3bn second pipeline project, Business Times, Published: August 2021, Retrieved: August 28, 2021
- ↑ 2.0 2.1 NYASHA CHINGONO, Controversial pipeline deal to balloon to US$4 billion, The NewsHawks, Published: August 21, 2021, Retrieved: August 28, 2021