Victoria Lake Inc. (LVCA)

[TripleL]

Tanzania Refinery Project Receives Funding

The country's vast gold mines are located around the Lake Victoria basin.
by Nicholas Bariyo
Dow Jones NewswiresMay 12, 2010

U.S.-based Noor Oil & Industrial Technology Inc. is planning to construct a 200,000 barrels a day refinery and an oil pipeline in Tanzania to supply refined fuel products to the domestic and regional markets, the company said Wednesday.
The company has already got funding for the $3.5 billion project which includes plans to run a pipeline from the coastal port of Dar Es Salaam to Mwanza on the shores of Lake Victoria and Kigoma on Lake Tangayika, in northern Tanzania, according to Minoo Davar, president of NOIT as the company is known.

The country's vast gold mines are located around the Lake Victoria basin.

"Plans, design and feasibility studies are in progress. The refinery will be a state-of-the-art facility and will yield 98% white products. The design of the project will allow room for expansion if the need may arise," the company said in a statement.

Talks with the government over the start of the project are in the final stages, Davar, who is in Tanzania, said late Tuesday in remarks broadcast on national television.

The company has already secured land in the coastal district of Mkuranga and an environmental impact assessment report for the project is being concluded, she added.

The refinery will process imported crude mainly from the Middle East.

The Tanzanian government will hold a 10% stake in the refinery and a 5% stake in the pipeline.

Negotiations to expand the pipeline into neighboring countries are in advanced stages, the company said.