Business in Cameroon | The National Hydrocarbons Corporation of Cameroon (SNH) informs that as of November 30, 2020, the Cameroonian public treasury had collected XAF33.48 billion of oil transit duties on the Chad-Cameroon pipeline, up by 2% year-on-year.
It explains that this rise was due to an increase in new Chadian oil exporters’ production. Indeed, over the period, the said shippers exported 44.72 million barrels of crude from the Komé-Kribi 1 terminal, up by 3% year-on-year. As for the new Chadian oil exporters (PetroChad Mangara/Glencore, China National Petroleum Company Inc. et Overseas Private Investment Corporation), their overall exports represent 71% (28.50 million barrels) of the crude transported via the pipeline, SNH indicates. “Their production has been increasing since 2014, while members of the consortium managing the pipeline (Exxon, Petronas, Chevron) are experiencing a decline in their oil production at the Doba oil fields in Chad,” the SNH says.
The Chad-Cameroon pipeline, a huge infrastructure built by Chad to transport oil for exports from the Kome terminal in Kribi (southern Cameroon), was officially commissioned on October 3, 2003. The over 1,000 kilometers long infrastructure was financed by the World Bank and a consortium of oil companies consisting of Exxon-Mobil, Petronas, and Chevron-Texaco.
During the first eight years of the pipeline’s operation, Cameroon collected XAF85.5 billion of transit fees, according to figures published in 2012 by the Pipeline Steering and Monitoring Committee (PSMC), chaired by Adolphe Moudiki, Director General of the SNH.
After further negotiations, the said transit fees were raised on October 29, 2013, to allow Cameroon to derive greater benefit from the pipeline. That fee is updated every five years. The last update took place in 2018 and the next will take place in September 2023.