Country
Uganda
Sector
Oil & Gas
Intelligence Type
Capital
Status / Stage
Disbursing
Estimated Value
USD 5,000,000,000
Confidence
Confirmed
Latest Development
Capital Details
Capital TypeProject Finance / Bond Issuance
DateFID February 2022; First external debt tranche March 2025
Investor / FinancierTotalEnergies (primary — via two bond issuances totalling ~$7 billion); African and regional banks (first external tranche); Citi, Deutsche Bank, JPMorgan, MUFG, RBC, Société Générale, BBVA, Wells Fargo, Santander, Mizuho, UniCredit (bond underwriters)
Recipient / BorrowerEACOP Ltd
Purpose of CapitalConstruction of the 1,443km heated crude oil pipeline from Kabaale, Uganda to Tanga port, Tanzania
Financing StructureRevised structure — equity now ~52% (up from planned 40%) after Western banks withdrew. TotalEnergies funded via two bond issuances: Feb 2025 (€3.15bn) and June 2025 (€3bn). First external project-level tranche ($775 million) closed March 2025, led by African regional banks Tenor: Bonds maturing 2031–2045 across tranches
TenorBonds maturing 2031–2045 across tranches
Market Significance
Defines the new template for African energy project finance when Western institutional debt withdraws — sponsor balance sheet and bond markets replacing traditional project finance syndication. African regional banks stepping into the gap left by BNP Paribas, Société Générale, Barclays and five other Western banks that withdrew under climate activist pressure.
Risk / Considerations
Climate activist and litigation risk ongoing; Western bank exclusion limiting traditional debt syndication options; first oil target H2 2026 creates construction timeline pressure on remaining financing tranches
Commercial Opportunity Intelligence
Commercial ReadinessVery Early