TAZAMA Pipeline Awards Supply Contracts for April 2025
The TAZAMA Pipeline Open Access Selection Committee has announced that three oil marketing companies (OMCs) have been awarded significant contracts to supply low-sulfur gas oil to Zambia.
Indeni Energy Company Limited, Boltt Global Solutions Limited, and a joint venture between Titanium Oil Corporation and ADNOC will begin to use the Pipeline in April 2025.
According to the award of tender posted by the Ministry of Energy, the three companies have been awarded a contract to each supply 35,000 metric tonnes of the commodity, amounting to a total contract value of $2,940,000, at a premium of $84 per metric ton.
This decision follows the government's recent implementation of the open access regime, allowing multiple OMCs to use the TAZAMA Pipeline to transport diesel from Dar es Salaam to Ndola.
Allowing OMCs to participate in an open bidding process will allow the government to secure the most competitive pricing for diesel and should lower pump prices in the next few months.
Open Access Selection Committee Chairman Lameck Banda notified the public about the award of the contracts, emphasising that the award is conditional upon each company's formal acceptance and the signing of the contract with TAZAMA Pipelines Limited.