A consortium including Malaysian state oil firm Petronas has started work on a 1,070-km (669-mile) oil pipeline from landlocked southern Chad to the Cameroon coast, Petronas announced Thursday.
Petronas has a 35 percent stake in the project, ExxonMobil has 40 percent and Chevron 25 percent.
The Malaysian firm said in a statement that the project, which is supported by the World Bank, would cost an estimated 3.5 billion dollars and the first oil was targeted for delivery in 2003.
The Chad fields will produce about 225,000 barrels of oil a day, totaling about one billion barrels over their expected 30-year life.
Petronas said pipeline installation would begin next year and drilling of the first of 300 wells in the oilfields would start late next year. The Malaysian firm already has interests in several other African states.
In Sudan it is involved in developing part of the Muglad Basin and the construction of a 1,500 km pipeline from the oilfields to Port Sudan.
The Sudan project is currently producing an average of 185,000 barrels per day. In South Africa, Petronas has acquired Engen Ltd which owns a refinery in Durban and operates a network of about 1,400 service stations in southern Africa. Petronas also has exploration interests in Algeria, Angola, Gabon, Tunisia and Libya. –AFP.
©--Agence France Presse.