MINISTER OF ENERGY Tour’s TAZAMA PIPELINES LIMITED

The Minister of Energy Honorable Mathew Nkhuwa  conducted a familiarization  tour of TAZAMA Pipelines LTD in order for him to have a deeper understanding of TAZAMA operations.

The Minister was accompanied by Ministry Energy ,Permanent Secretary Brigadier General Emelder Chola and her Tanzanian counterpart Dr .Hamisi Mwinyomvua.

TAZAMA Pipelines Managing Director Mr Davision Thawethe and Board of Directors were on hand to offer technical explanations during the tour.

The tour was to culminate into the commemoration of TAZAMA’s  50 years Anniversary in Chinsali,Zambia and

Dar ES Salaam in Tanzania respectively.The events would also be ideal for TAZAMA pipelines Limited to declare dividends and present cheques to the Governments of Zambia and Tanzania.

 

 

TAZAMA installs new engines and Pumps

TAZAMA has embarked on an exercise to replace all the 28 pumping units (4nos per each station) at a cost of USD5.2 Million per station. Replacement of main engines at three pumping stations, Kigamboni, Elphons Pass Pumping Station in Tanzania and Chinsali Pump Station in Zambia have been completed. The remaining four stations will be concluded this year, 2018 after the share-holder government of Zambia authorised the Ministry of Energy to utilize the Strategic Reserve Fund (SRF) to complete the remaining four stations.

Installation of New main Engines and pumps at Kigamboni

 

TAZAMA Declares FIRST EVER DIVIDEND cheque to the Zambian Government

TAZAMA Pipelines, a joint venture between the Governments of the Republic of Zambia and the United Republic of Tanzania, has handed over its FIRST EVER DIVIDEND Cheque to Zambia, 50 years after the establishment of the company in 1968.

According to a statement issued by the Ministry of Finance, a K6 million cheque, representing two-thirds portion of the dividend, was received by the Minister of Finance Hon. Margaret Mwanakatwe who is the shareholder in TAZAMA on behalf of the Republic of Zambia.

Tanzania will receive K3 million, proportional to its shareholding in TAZAMA.

“18 months ago, President EDGAR CHAGWA LUNGU and his Tanzanian counterpart PRESIDENT JOHN MAGUFULI both expressed concern about non-performing State-Owned-Enterprises. This was during President Lungu’s visit to Tanzania.”

Mrs. Mwanakatwe said the dividend declaration is a pleasing response to the concern raised by the two leaders as it demonstrated the positive impact that good governance practices can achieve on institutional performance.

“TAZAMA is a success story of friendship of the two Presidents and of hard work of the peoples of the two nations; it is a success story of corporation by neighbouring countries and presents a model of how peaceful relations between countries can culminate into positive developments,” stated Mrs. Mwanakatwe.

She added that “this event speaks positively of Government to Government business cooperation and negates the notion that Governments are unable to do business together and create wealth for their peoples.”

And Energy Minister MATHEWS NKHUWA has said Government’s aspiration for the Petroleum sector is to ensure an adequate reliable and affordable supply of petroleum products.

“To achieve this, it is imperative that all players in the sector are well aligned to this policy objective,” he said, adding that, “a number of reforms are being pursued to ensure that we have a vibrant petroleum sector and satisfy the demands of the country so that economic growth and development are propelled to greater heights.”

And TAZAMA Board of Directors Chairperson Brigadier General Emeldah Chola [Retired], who is also Zambia’s Ministry of Energy Permanent Secretary highlighted that TAZAMA recorded a profit before tax of K50.4 million in 2017, an increase of 104% from 2016.

She attributed the positive result to improved throughput and prudent cost management measures put in place by the Board and Management to improve the performance of the company, and added that: “TAZAMA has opportunities for improvement, diversification, and modernization of business operations.”

TAZAMA presents Dividend Cheque To Zambian Government

The Director Finance and Director Corporate Services handing over the Dividend Cheque

The Minister Of Finance addressing the audience

Cheque Presentation to the Minister Of Finance

The TAZAMA Board Chairperson sharing a light moment…

Tanzanian President Joseph Magufuli praises TAZAMA for declaring dividends

Tanzanian President Joseph Magufuli has praised the Tanzania Zambia Mafuta (TAZAMA) pipelines for declaring dividends to the two governments.

President Magufuli is impressed that TAZAMA declared dividends at a time when jointly owned firms and many parastatal companies have failed to do so.

ZANIS reports that Zambia’s High Commissioner to Tanzania Benson Chali disclosed this when TAZAMA officials from Zambia paid a courtesy call on him at the Zambian Chancery.

Mr Chali said President Magufuli, who recently received the dividend at a state function, urged state firms including the Tanzania Zambia Railways (TAZARA) to emulate TAZAMA and step up their operations as they risk being probed and penalised by state authorities for failure to declare dividends.

Recently, TAZAMA declared dividends amounting to K9 million with Zambia that holds two thirds majority ownership raking in K6 million while Tanzania got K3 million.

And High Commissioner Chali has described TAZAMA as a great success story of the continued warm bilateral relations between Tanzania and Zambia that date back to over 50 years.

Mr Chali said TAZAMA has and continues to play a critical role in Zambia’s socio-economic development through the supply of petroleum products needed to drive the country’s economic sectors.

He said Zambians should be proud of TAZAMA as it is an important and integral part in the country’s economic transformation agenda.

Tanzania Zambia Mafuta (TAZAMA) pipelines Regional Manager for Tanzania Abraham Saunyama attributed the exceptional performance of TAZAMA to the continued good cooperation between Tanzania and Zambia and the spirit of hard work and unity among the employees.

TAZAMA Senior Public Relations Officer Kenneth Kalunga is leading a team from Ndola to Dar es Salaam inspecting the company’s infrastructure that comprises a 1, 710 km pipeline and seven pump stations that pump crude oil from Dar es Salaam to Ndola ahead of the company’s 50thanniversary this September.

TAZAMA pipeline was birthed in 1968 from the visionary efforts of founding Presidents of Tanzania and Zambia, Julius Nyerere and Kenneth Kaunda to supply petroleum products to Zambia following the Unilateral Declaration of Independence in 1965 by Ian Smiths’s Southern Rhodesia, now Zimbabwe, which blocked the country’s import route of fuel from the south.

TAZAMA management presenting the dividend cheque in Tanzania

TAZAMA presenting its “FIRST EVER” dividend cheque in Tanzania

TAZAMA Managing Director addressing the Tanzanian press 

The Director Finance and the Director Corporate Services presenting the dividend cheque to the Managing Director

We are celebrating our 50th year anniversary

Petroleum plays a crucial role in the running of any economy. In Zambia, petroleum drives economic sectors such as agriculture, transport, manufacturing and mining sectors.

After the unilateral declaration of Independence (UDI) on 11thNovember 1965 by Ian Smith, Zambia found itself in a difficult situation as it was no longer possible to obtain its petroleum imports from the Umtali Refinery (Zimbabwe)

The only alternative source for the supply of the much needed petroleum products was from the port of Dar-es-Salaam in Tanzania.

Since no railway existed between Zambia and Tanzania, Zambia’s refined petroleum products had to be imported using road tankers from Dar es Salaam which was more than 1,700 kilometres away.

As crude oil was critical to Zambia’s economic development, in 1966, a decision was made by Dr. Kenneth Kaunda and his Tanzanian counterpart Julius Nyerere to construct a pipeline covering a distance of 1,710 kilometres, from Dar es Salaam to Ndola. The pipeline was named Tanzania Zambia Mafuta or TAZAMA in short.

The pipeline was commissioned in 1968 and saw the birth of TAZAMA pipelines Limited.

TAZAMA, the company owned by the Governments of Zambia 67% and Tanzania 33%  was to operate the pipeline from Dar es Salaam to Ndola on a twenty four hour basis.

This year 2018, TAZAMA celebrates fifty years of pumping crude oil from Dar es Salaam to Ndola.

The success can be attributed to the dedicated workforce and timely maintenance of the pipeline and its auxiliary equipment. The good bilateral relations between Zambia and Tanzania have also been a catalyst in the success of the Pipeline Company.

Fifty years later, the business of pumping crude oil is on-going and TAZAMA has, against all odds, remained buoyant in managing and pumping crude oil from Dar es Salaam to Ndola.

As TAZAMA Pipelines Limited celebrates its golden jubilee, it can be said without doubt that TAZAMA is a success story of friendship between Tanzania and Zambia and of hard work of the peoples of the two nations.

It is a success story of cooperation between neighbouring countries and presents a model of how bilateral relations can climax into positive development.

Laying of the pipeline – 1968

Our Operations

Dividend Presentation