ExxonMobil Chad-Cameroon oil project official inauguration
Posted: 11 October 2003
Exxon Mobil Corporation announced its subsidiary Esso Exploration
and Production Chad, Inc. (Esso) officially commemorated the inauguration
of the Chad-Cameroon Oil Development and Pipeline Project at a ceremony
held at its Operations Center located at Kome in southern Chad.
The ceremony recognized and celebrated the successful partnership
between the Governments of Chad and Cameroon, the Project sponsors
(Esso, Petronas and ChevronTexaco) and the World Bank Group.
This partnership was created and built through years of collaboration
and consultation with the citizens of Chad and Cameroon.
Achievements in the construction and the operational phases of
the Project were also celebrated. These include completion of the
pipeline construction and pipeline fill operations one year ahead
of schedule along with the field facilities at one of the three
oil fields under development. The first cargo of crude oil was loaded
on October 3, 2003, from the Floating Storage and Offloading vessel,
offshore Kribi, Cameroon, and is on its way to world markets.
Addressing inauguration attendees, Morris Foster, president of
ExxonMobil Development Company, said, "It is with great pride
that I am here today to celebrate this tremendous accomplishment
with everyone who has been involved in the Project. I want to personally
thank President Deby and President Biya for their support along
with important contributions of our co-venturers, Petronas and ChevronTexaco,
and the World Bank Group for their commitment to this Project.
"Today we celebrate not only what was achieved during the
construction but Esso, as operator, also celebrates the manner in
which it has been accomplished," Mr. Foster added. "We
maintained our long-term focus on this project over 27 years of
effort and changes in the consortium, increased the known oil reserves
to commercial levels and helped turn a vision in 1976 into a reality.
We believe this project will help prepare a brighter future for
the citizens of Chad and Cameroon, and I am proud we are part of
it."
The Project represents unprecedented efforts in the areas of socio-economic
planning and public consultation. Since 1993 the Project has held
nearly 5,000 public consultation meetings reaching tens of thousands
of people in hundreds of villages throughout the Project area --
by far the most extensive public consultation process ever undertaken
in Africa.
The Project has also created and implemented one of the most rigorous
environmental management plans ever developed in Africa. Multiple
levels of monitoring including several external groups verified
the project's compliance with the plan and its commitments.
The Project continues to make important contributions to the economies
of the two host countries. For example, 35,000 people held jobs
during the construction phase of the Project with 80 percent of
these being citizens of Chad or Cameroon. In addition to direct
employment, the Project has spent over $650 million with 2,200 local
Chadian and Cameroonian companies and helped create significant
economic growth in the local economies through investments in infrastructure
such as roads and bridges linking local villages to outside markets.
In Chad the growth rate of the gross domestic product (GDP) has
soared to nearly 11 percent per year since construction began, compared
to a rate of 1 percent prior to Project commencement.
The Project has implemented extensive public health education
programs focused on malaria and HIV/AIDS prevention. The Roll Back
Malaria efforts included distribution of 80,000 insecticide-treated
bednets and training of health workers in diagnosis and treatment.
HIV/AIDS prevention programs included partnerships with local non-government
organizations in extensive village-level education initiatives.
In addition, facilities have been donated such as schools, community
water wells and clinics.
Key next steps for the project include completion of the central
treating facilities by year-end 2003. Full production capacity of
225,000 barrels per day is targeted for early in 2004, while drilling
operations will continue in the oil fields over the next two years.
The consortium developing the project is comprised of subsidiaries
of ExxonMobil (operator, 40 per cent), Petronas (35 per cent) and
ChevronTexaco (25 per cent).

Posted by Richard Price,
Editor Pipeline Magazine
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