Rwanda is expected to export petroleum to region countries once the construction of oil storage facility is implemented.
The regional oil pipeline will connect Kigali and Eldoret via Kampala, making Rwandan location an advantage compared to Eldoret in Kenya where several regional countries have been importing their petroleum products.
In a reaction to this Christian Rwakunda the Permanent Secretary in the Ministry of Infrastructure on January 5, 2014 said the move will reduce transportation costs .
He added on to say, constructing the regional oil pipeline will benefit Rwanda’s overall economy by reducing the cost of transporting fuel into the country.
A UK-based company, Penspen, has been contracted to conduct a mapping exercise for the project, whose completion is targeted within the next three years.
Penspen deals in engineering and management services related to oil and gas industry.
Three regional countries including Rwanda, Kenya and Uganda have equally contributed to the Rwf51 million mapping contract and still studying on the required amount to implement the project.
This oil pipeline initiative is one of the several projects that was discussed and agreed upon under a tripartite arrangement during a summit between the Heads of State of the three countries in Uganda in June 2013.
Currently, Rwanda imports about 20,000m3 of oil products monthly such as kerosene, petrol, jet fuel and diesel.