Russia Approves Construction of a Major Petroleum Pipeline in The Republic of Congo

Russia has formally approved cooperation with the Republic of Congo to construct the proposed Pointe-Noire-Loutete-Maloukou-Trechot petroleum pipeline by signing a bill ratifying the project into law.
The bill, which was signed into law by the Russian President last weekend, ratifies an earlier agreement signed between the Congo and Russia in Moscow on September 28, 2024, emphasizing the creation of friendly terms for implementing the pipeline project.
“The agreement aims to create favourable conditions for cooperation in the sphere of building the Pointe-Noire – Loutete – Maloukou-Trechot oil pipeline on the territory of the Republic of the Congo,” the Kremlin stated on Saturday, June 7, on its official portal of legal information.
According to the agreement, the pipeline would be constructed by the Russian pipeline company, Zakneftegazstroy-Prometey LLC, with the National Petroleum Company of the Congo being the client. The two entities would also establish a joint venture in which Russia will hold 90% of the stake and the Congo will hold the remaining 10%.
The project aims to establish a critical pathway for energy supplies to three major Congolese towns, starting from Loutété, stretching to Maloukou, and extending to the coastline of Pointe-Noire.
Russian Deputy Energy Minister Dmitry Islamov said the latest agreement between Russia and the Central African nation aims to establish a “sanctions-resistant” channel to supply critical petroleum products and make Russia a strategic partner for the Region’s energy security, Interfax reported.
"The implementation of the agreement will enable the Congo to ensure uninterrupted and stable supplies of petroleum products to the capital region, reduce logistics costs, gain the status of a key player in ensuring the region's energy security - including the Democratic Republic of the Congo and the Central African Republic - and create additional jobs," Islamov said while presenting the bill to the Russian State Duma.
Following the project’s approval, a concession agreement in the form of a build-own-operate-transfer (BOOT) with the joint venture will be finalized to allow the Russian company to construct and operate the pipeline for a 25-year period, during which a tariff pumping guarantee would be in place to ensure optimum pipeline utilization and return on investment.
Islamov said the planned petroleum pipeline would be built within three years and is expected to be in operation for about 30 to 40 years.