project profile - d'appolonia ?· project profile the chad/cameroon oil development and...

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  • PROJECT PROFILE

    The Chad/Cameroon Oil Development and Transportation Project (also re-ferred to as the Chad Export Project) involves the development of oil fields in southern Chad ($1.5 billion) and con-struction of a 1,070-kilometer-long pipeline to offshore oil-loading facili-ties on Cameroon's Atlantic coast ($2.2 billion). The development Consortium comprises ExxonMobil (the operator, with 40 percent of the private equity), Petronas of Malaysia (35 percent), and ChevronTexaco (25 percent). Approximately 300 wells are planned and total production will be on the or-der of 1 billion barrels of low-sulfur oil

    over a period of 25 to 30 years at the rate of 250,000 barrels per day. Oil began flowing in the pipeline in July 2003, and the first cargo of crude oil was loaded on October 3, 2003 from the Floating Storage and Offloading (FSO) vessel, located offshore from Kribi, Cameroon. One of the conditions imposed upon the development Consortium as a partial requirement for obtaining loans from the International Finance Corporation (IFC), the private-sector lending branch of the World Bank Group, was to pre-pare and implement a comprehensive Environmental Management Plan

    (EMP) for the project. D A p p o l o n i a was retained by the Consortium to act as the En-v i r o n m e n t a l C o m p l i a n c e M o n i t o r i n g Group (ECMG) with responsibil-ity for verifying that the Consor-tium complied with the envi-ronmental commitments established in the EMP. In this role, DAppolonia has acted as an independent auditor, from an environmental standpoint, for all project activities. The results of the pe-riodic site audits by DAppolonia have been published on the Internet at www.ifc.org in order to provide trans-parency to interested parties. DAppolonia conducted nine audit trips to the Chad and Cameroon sites of pipeline construction and other field activities between January 2001 and March 2004 and has made annual trips since that time. DAppolonias ECMG team comprises six to eight members covering the following disciplines: Socioeconomics to review compen-

    sation, relocation and management practices related to induced access to work camps.

    Health and safety to verify both

    worker and community health and safety programs.

    Wildlife management along the

    pipeline route. Environmental management issues,

    including solid waste management, wastewater treatment, erosion and sediment control, surface and ground water protection, and recla-mation along the pipeline route.

    Cultural resource management in-

    cluding archaeology and protection of sacred sites.

    In addition to its role as ECMG on the Chad/Cameroon pipeline project, DAppolonia has also been responsible for monitoring performance on two re-lated World Bank Technical Assis-tance/Capacity Building (WBTA) pro-jects. This monitoring work has been conducted under a parallel agreement between the World Bank and DAp-polonia and included the monitoring of the Petroleum Sector Management Ca-pacity Building Project for Chad and the Petroleum Environment Capacity Enhancement Project for Cameroon. This scope of work for this project has included monitoring of the processes related to development of two large environmental offsets, Campo Maan and Mbam Djrem, into National Parks through a foundation (FEDEC) estab-lished by the Consortium.

    ENVIRONMENTAL COMPLIANCE MONITORING CHAD/CAMEROON PROJECT

    Map of central Africa showing route of 1070-kilometer oil pipeline.

    Pipeline construction in Cameroon.

    Public water point managed by villagers following a DAppolonia recommendation.

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