Three Oil Marketing Companies Secure Contracts Under TAZAMA Pipeline Open Access
The TAZAMA Pipeline Open Access Selection Committee has awarded contracts to three oil marketing companies (OMCs) to supply low-sulfur gas oil to Zambia, marking a significant step in the country’s fuel supply strategy.
Indeni Energy Company Limited, Boltt Global Solutions Limited, and a joint venture between Titanium Oil Corporation and ADNOC will begin utilizing the TAZAMA Pipeline in April 2025.
According to the Ministry of Energy, each company has been contracted to supply 35,000 metric tonnes of diesel, totaling 105,000 metric tonnes. The contracts are valued at $2.94 million, with a premium of $84 per metric tonne.
This decision follows the Zambian government’s implementation of the open access regime, allowing multiple OMCs to transport diesel through the TAZAMA Pipeline from Dar es Salaam to Ndola. The open bidding process is expected to enhance competition, secure better pricing, and potentially lead to lower pump prices in the coming months.
TAZAMA Open Access Selection Committee Chairman Lameck Banda confirmed the contract awards, noting that they remain conditional on the formal acceptance and signing of agreements with TAZAMA Pipelines Limited.
