Zambia-Angola inks $5billion pipe-line deal
…that will reduce fuel prices in Zambia and create jobs says Amb. Lawrence Chalungumana

30th April 2021 LUANDA

Zambia and Angola have penned a $5billion deal to build a pipeline that shall pave way for the erection of a pipeline that shall supply finished petroleum products from oil rich Angola to Zambia said the Ambassador of Zambia to Angola H.E Lawrence Chalungumana.
Mr Chalungumana said the milestone agreement to jumpstart the project was signed in the Angolan capital Luanda on 29th April bringing to an end a more than 10 year old complex negotiation process that shall lead to cheaper fuel for Zambia.
“I must start by thanking President Edgar Lungu for allowing Energy Minister Hon Mathew Nkhuwa for coming to Luanda to sign this agreement with his Angolan counterpart Hon Diamantino Azevedo to start this long overdue project that will make fuel cheaper in Zambia,” said Ambassador Chalungumana in a statement issued by the embassy.

The facts of the agreement in a nutshell are that the petroleum pipeline will be developed by the private sector with state-owned petroleum Angolan company SANANGOL and the Zambia state company Industrial Development Corporation or IDC Zambia Ltd being strategic equity partners.

“The Zambian Government was represented by Hon Mathew Nkhuwa while the Angolan Government was represented by Hon Diamantino Pedro Azevedo in this productive deal,” said Ambassador Chalungumana.

Once completed, Angola/Zambia multi product petroleum pipeline will transport petrol, diesel, kerosene and gas.

Ambassador Chalungumana said, “Hon Nkhuwa hailed the occasion as a major milestone towards establishing a framework for the construction of the petroleum pipeline by the private sector. The pipeline project will cost about US$5 billion and two state companies will be strategic equity partners, SONANGOL from Angola and IDC from Zambia.”
Angola´s Minister Diamantino said “the construction of the petroleum pipeline to Zambia is part of the Angola’s strategic plan in the petroleum sector.”


Currently the Angolan Government is developing a 100,000 barrels per day refinery in Cabinda, a 100,000 barrels per day refinery in Soyo, a 200,000 barrels per day in Lobito and is increasing the refinery capacity of the already existing refinery in Luanda by 3 times.
A combination of these projects will transform Angola into a surplus refined petroleum producer hence need for the pipeline to transport the fuel products to Zambia and the region.

Ambassador Chalungumana said “the process involved complex negotiations for over 10 years and the deal signed today is a legacy project given that the last pipeline was built in 1969 by KK’s government between Zambia and Tanzania.”

He hailed “the good leadership of President Lungu for providing foresighted leadership in the accomplishment of this major milestone. The project is likely to be commissioned in 2025 as it involves complex Engineering solutions.”
Hundreds of jobs are expected to be created for many Zambians and Angolans according to H.E Chalungumana, as President Lungu targets poverty reduction.

Others who attended the ceremony include HE Xavier Francisco Azevedo Angolan Ambassador to Zambia and the Gasper Martins CEO of SONANGOL and Mr Wamulume Kalabo the CEO of BBLR the project promoters.



Please enter your comment!
Please enter your name here