Ports body: Oil jetty to be relocated

Kurasini Oil Jetty in Dar es Salaam.

What you need to know:

That will involve the relocation of the Kurasini Oil Jetty (KOJ) to Mbwamaji. The Tanzania Ports Authority (TPA) has announced an expression of interest for consultancy services for a feasibility study and detailed engineering design.

Dar es Salaam. Tanzania is in the process of constructing a new oil jetty and a tank farm to cater for growth in liquid bulk trade at the Dar es Salaam Port.

That will involve the relocation of the Kurasini Oil Jetty (KOJ) to Mbwamaji. The Tanzania Ports Authority (TPA) has announced an expression of interest for consultancy services for a feasibility study and detailed engineering design.

“The objective of this assignment is to provide a technical, financial and environmental feasibility assessment on the most suitable method of constructing an oil jetty and a corresponding tank farm,” reads a request for expression of interest. The Dar es Salaam Port is now served with KOJ and a Single Point Mooring (SPM) which started operations in 2013 and the project’s cost stood at $60 million.

TPA, however, has not revealed the cost of the envisioned oil jetty and did not specify when exactly the project will begin.

The Dar es Salaam Port serves as a gateway for landlocked countries including Uganda, Rwanda, Burundi and Eastern DRC.

Stakeholders say that the introduction of the SPM at the Dar es Salaam Port has reduced demurrage charges by more than 90 per cent.

Augusta Energy SA told The Citizen that before the introduction of the SPM petroleum products importers used to pay ship owners up to $45 per tonne as the cost of delaying to return the leased ships.

Now the amount has decreased to less than $2 per tonne.

“Ship owners take very seriously the agreement of returning their ships on time,” said Orlando D’Costa, an official with Augusta Energy recently.