By Nicholas Bariyo

KAMPALA Uganda--Uganda will delay the long-awaited launch of its $3.5-billion oil export pipeline through Tanzania until next month following the death of Tanzania's President John Magufuli, Uganda's oil regulator said Tuesday.

The launch of the 900-mile project, along with the commencement of work on oil fields operated by Total SE, was originally meant to take place on March 22 but will now remain on hold until April as Uganda joins Tanzania to mourn Mr. Magufuli, the Uganda Petroleum Authority said.

The pipeline will move from Uganda's western border with the Democratic Republic of Congo, through Tanzania, and end at the Indian Ocean port city of Tanga. Construction is expected to take around three years.

Uganda discovered oil around its western border more than a decade ago, but the commercialization of vast crude reserves, estimated to contain as much as 6 billion barrels of crude, has dragged on due to a number of disruptions.

Total holds a majority stake in Uganda's oil project, expected to deliver some 230,000 barrels a day of crude by around 2023.

Write to Nicholas Bariyo at nicholas.bariyo@wsj.com

(END) Dow Jones Newswires

March 23, 2021 12:27 ET (16:27 GMT)

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