Oil pipeline project

And Tanga a place is where the launching stone will be laid!
Where in tanga? its not like the pipeline will consume the whole place Geza and I have a feeling you guyz have a huge white elephant ever witnessed in African modern times.
 
Oil, Gas Prospects High Despite Oil Price Slump

By Sylivester Domasa

Tanzania's oil and gas prospects remain high despite global oil price slump as new global investors are now taking interests in undertaking exploration activities in the northern zone.

The Tanzania Petroleum Development Corporation (TPDC) Director General, James Mataragio, told the 'Business Standard' that there now positive trends from oil marketing companies with interest to undertake exploration activities in the country.

"There were no oil exploration companies which were listed here almost the entire last year. Now as we speak many international oil and gas giants are coming," he said in an interview.

Mataragio admits however that the fall in oil price that started in 2014 had affected prospects in Tanzania. Global forecast remained relatively positive in the subsequent year 2015. U.K energy database announced the number of exploration wells either drilled or planned around the world could fall by 26pc to 1,004.

But TPDC boss says Tanzania is fortunate now with the proposed Uganda oil pipeline to be built through Tanga port. More explorations are targeted for Northern Tanzania, the Director General added.




He said senior representatives from several international oil and gas companies have expressed interest to undertake oil and gas explorations especially in Tanga region. "Investors are seeing potentials in the sector following agreed decision between Uganda and Tanzania to build a crude oil pipeline," emphasized Mataragio.

The 1,400km (about 800 miles) pipeline will connect Tanzania's port of Tanga to Uganda's western region near Hoima, where big oil reserves have been discovered.

The project expected to cost about 4billion US dollars; it will as well create 15,000 jobs. Uganda's oil reserve discovery is estimated at some 6.5bn barrels, and the country expects to start production in 2018.

TPDC licensed AFREN a UK based Oil Company to start exploration of oil and gas in the Tanga Block. The London listed firm acquired a 74 pc stake in the Tanga block, located in North-east Tanzania, on March 24, 2011 from Petrodel who still retain a 26pc interest in the block.

Business analysts say Tanzania among other Eastern African countries, is gaining investors attention owing to its natural gas reserves now standing to 55tcf.

http://allafrica.com/stories/201606140125.html

Kiliwani North subsea gas pipeline enters commissioning phase offshore Tanzania
06/08/2016
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Offshore staff

LONDONAminex says commissioning has started on the subsea pipeline and gas plant for its Kiliwani North development close to the Tanzanian coast.

Commissioning of the power generation system and other auxiliary facilities has been completed.

Last week gas from the Kiliwani North-1 well was processed and entered the pipeline system connecting the Songo Songo plant with the Tanzanian national pipeline.

During commissioning, gas rates will increase to 30 MMcf/d while pressuring up the plant and pipeline.

The company and state-owned TPDC plan a well test to determine the optimal flow rate, which will also serve as the commercial production rate.

Based on initial pressure response from Kiliwani North 1, the probable test rate is around 30 MMcf/d.

06/08/2016

Share your news with Offshore at news@offshore-mag.com



http://www.offshore-mag.com/article...rs-commissioning-phase-offshore-tanzania.html

M&P Exploration waiting for license to extract Mkuranga gas
www.ippmedia.com/business/mp-exploration-waiting-license-extract-mkuranga-gas

This was revealed on Thursday by the company’s Deputy Managing Director, Elias Kilembe, at the handing over ceremony of classrooms, 80 desks and items to Ruvula villagers in the district to help improve provision of education.

“We are ready to produce natural gas in Mkuranga because the district council has allocated an industrial park for investors who have already agreed to use natural gas that will be produced by our company,” Kilembe said.

The company has already informed Mkuranga District Council on how it will produce the gas and supply it to the industries that will be established in the district.

M&P is currently negotiating with Tanzania Petroleum Development Corporation (TPDC) to secure the development license for gas extraction.

“We have already submitted our application to TPDC to request Mkuranga Gas Development License so that we can start to implement the project,” Kilembe said.

The application was submitted to TPDC on April 27, this year. “We have managed to meet industries that need gas from us and as a company we will work in partnership with Mkuranga District Council to ensure those investors obtain the gas they need,” he said.

Highlighting on the capacity of gas production in Mkuranga, he said the firm will produce between 10 and 14 million cubic metres per annum.

M&P is a subsidiary of France-based Maurel and Prom Company, an independent oil and gas producer with a diversified portfolio providing cash-flows in Africa, established in Tanzania to explore oil and gas activities in Mtwara Region.

The firm has already drilled five wells at Mnazi Bay Peninsula for gas production. Four wells are connected to the Madimba Processing Plant and one well is connected to Mtwara Power Plant. Apart from that, the firm is working with Tanzania Electric Supply Company Limited (Tanzania) to produce gas and supply it to the state power utility.

MY TAKE
While we do our things quietly, even British companies have started to move South, next is Tullow itself!


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Total, Tullow to Get Oil Licences Soon

By Ismail Musa Ladu
Kampala — Tullow Oil and Total E&P Uganda will be issued with production licences before the end of this month, the State minister for Minerals (designate), Mr Peter Lokeris, has disclosed.

Speaking on the sidelines of a dialogue on "Enhancing local participation in the oil and gas industry," Mr Lokeris said licences for six blocks are up for grab for the two leading contenders; Tullow and Total.

"Everything is set. Before the end of the month, we shall issue licences for six blocks. At the moment, I cannot divulge more details but just know that Tullow and Total will be those we shall sign agreement with," Mr Lokeris said in an interview with Daily Monitor.

"We took our time because we wanted to make sure everything is alright. We didn't want to regret later. And now we are convinced that we have a good deal and government will not lose out in terms of royalties and revenues (taxes) for we are covered at every stage," the minister explained.

During the presentation at the conference organised by the Advocates Coalition for Development and Environment (ACODE), the minister said so far, a total of 120 exploration and appraisal wells have been drilled.




Out of these, prospectors have encountered petroleum in 106 wells in the subsurface. This represents a drilling success rate of 88 per cent, which is the highest worldwide. It is estimated that the in-place volume of petroleum in the country to-date is more than 6.5 billion barrels of oil equivalent. These resources, he said are sufficient to support commercial oil production in the country.

"It is important to note that the investment in seismic surveys, exploration and appraisal drilling increased from $50 million (Shs165.6 trillion) in 2006, to $3.2 billion by the end of 2015, and is projected to go over $3.4 billion mark in 2016.

According to data from the Ministry of Energy and Mineral Development, this next phase is expected to happen within the next 4-5 years and attracting additional investment of approximately $20 billion.

Dr Arthur Bainomugisha, the ACODE executive director in his remarks said oil resource is a national resource and it should be treated as such. He said division based on tribe, region or even politics should be divorced from oil and gas if meaningful local content agenda is to be achieved.

Total, Tullow to get oil licences soon
 
Guy Maurice : « Total s’est profondément remis en cause »
17 juin 2016 à 15h31 — Mis à jour le 17 juin 2016 à 15h35
Par Christophe Le Bec
@tintinlebec
60 partages

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Le géant pétrolier français, dont la production atteint 2,3 millions de barils d’équivalents pétrole (bep) par jour, dont 678 000 en Afrique, se serre toujours la ceinture. État des lieux des opérations de Total en Afrique subsaharienne avec Guy Maurice, le patron exploration-production de la zone.


Jeune Afrique : Quel est votre état d’esprit en Afrique dans le contexte actuel des cours très bas, autour de 50 dollars mi-juin 2016 ?

Guy Maurice : Depuis près de deux ans maintenant, nous sommes dans une logique de réduction des coûts, pour faire baisser notre « point-mort » [seuil de rentabilité] et traverser au mieux la crise actuelle.

Après une phase de déni, toute l’industrie – des majors jusqu’aux sous-traitants – a maintenant compris que nous allions rester encore pour un temps avec un niveau de prix du baril entre 50 et 60 dollars, au mieux.

Total s’est profondément remis en cause. Nous avons repensé la manière de développer nos projets pour en diminuer les coûts. Nous faisons tout pour que le modèle économique de nos projets soit viable dans la situation actuelle. Et pour y parvenir nous dialoguons constamment avec les autorités de chaque pays.

C’était le cas dernièrement au Congo-Brazzaville et en Côte d’Ivoire, deux pays qui se sont montrés coopératifs.

Après une phase de déni, toute l’industrie comprend que nous allons rester pour un temps avec un baril entre 50 et 60 dollars.

Le développement des grands projets que vous avez lancés avant 2015 – tel que Moho Nord au Congo Brazzaville – se poursuit. Mais Total va-t-il annoncer d’autres projets extractifs d’envergure malgré le marasme actuel ? La maison d’analyse américaine Baker & McKenzie faisait remarquer dernièrement que chez vous, comme chez vos concurrents, aucun méga-investissement n’a été annoncé en 2015 sur le continent…

Nous allons rester dans cette logique de réduction des coûts pendant quelques temps encore. Mais je suis optimiste sur notre projet ougandais.

Nous avons résolu en mai 2016 la question du trajet du pipeline exportant le pétrole, qui, sur décision des autorités ougandaises, passera par la Tanzanie jusqu’au port de Tanga et non via le Kenya, ce qui satisfait à nos exigences en matière de sécurité et de sûreté de fonctionnement des futures installations.

Avec nos équipes d’ingénierie, nous espérons bénéficier des baisses des coûts de développement des projets en cette période de crise, et présenter un budget raisonnable. Si nos études prouvent la faisabilité économique et technique de ce grand projet, nous pourrions prendre une décision d’investissement fin 2017 ou début 2018, pour plusieurs milliards de dollars.

Cette décision sur l’Ouganda n’a pas dû ravir votre partenaire Tullow Oil sur ce projet, qui préférait un passage par le Kenya, ce qui lui aurait permis de raccorder au pipeline ses projets extractifs autour du lac Turkana…

Il y a eu énormément de travail pour déterminer la meilleure voie pour le projet ougandais. La solution tanzanienne est clairement apparue comme la moins onéreuse en termes de coûts du transport par baril et la plus sûre pour garantir la continuité des opérations d’exploitation.


Nous comprenons les regrets de Tullow Oil, mais si ses réserves sur ses projets kenyans s’avèrent trop petites pour supporter les coûts d’un pipeline dédié, il gardera la possibilité de se raccorder au pipeline Ouganda-Tanzanie.


D’ici une éventuelle décision d’investissement en Ouganda, quelles sont les prochaines actualités de Total concernant l’exploration et la production en Afrique ?

Le projet de Moho Nord [qui doit produire 140 000 barils par jour], au Congo Brazzaville, entrera comme prévu en production en 2017, pour un investissement de près de 10 milliards de dollars.

Nous étudions de nouvelles opportunités en Côte d’Ivoire, où nous avons renégocié les conditions fiscales pour l’exploration du bloc CI100 et obtenu un nouveau permis, le CI605, en eaux très profondes.

En RD Congo, au sud-ouest du lac Albert, nous venons de réaliser une sismique [analyse des réserves d’un gisement par envoi d’ondes sismiques, ndlr] dont nous attendons les résultats dans les prochaines semaines. Si nous découvrons de beaux gisements, la faisabilité économique de ce projet serait facilitée par la proximité géographique avec le futur pipeline Ouganda-Tanzanie, même si on parle là du très long terme.

Guy Maurice : "Total s’est profondément remis en cause" - JeuneAfrique.com
 
James Mataragio said they are yet to determine the exact place in Tanga where the stone would be laid.

He did not give a specific date but told the meeting attended by Tanga regional commissioner Martine Shigela the function would happen "soon".

Where in Tanga?
soon? When is soon?




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Hawa wanawake wenye wivu wanapuyanga tu ngoja tupige kazi nyie zungukeni tu kutafuta umbea
 
Uganda, Tanzania discuss oil pipeline
home02pix.jpg

Energy minister Irene Muloni



KAMPALA.

Ministry of Energy officials from Uganda and Tanzania will pitch camp in Hoima District for two days starting tomorrow to review progress of implementation plan for development of the proposed crude oil export pipeline.

The Ugandan team is led by Energy minister Irene Muloni while the Tanzanian team is led by Muloni’s counterpart Prof Sospeter Muhongo. The talks will also have representatives from the three oil companies—Tullow, Total and Cnooc.

Following the April’s pronouncement by the regional heads of state that Uganda will develop the pipeline to the Indian Ocean coast via Tanzania, officials from the two countries have been holding back and forth meetings to harmonise legal regimes and policies that will impact the project.

The director of downstream (refinery, pipelines) in the ministry, Mr Robert Kasande, told this newspaper at the weekend that the Hoima meeting is intended to review progress and provide officials from all sides with status updates.
Mr Kasanda also explained that since April, the two countries have since ratified “a draft inter-government agreement” the main document that guides the project.

“There has been a lot of progress and the meeting [today] is one of those in the implementation plan,” he said.
Mr Kasanda said environmental baseline surveys have been conducted and more surveys are ongoing.

In the earlier studies the pipeline had been allocated a 20-metre wide right of way but it is being narrowed down. The 1,403km pipeline will run from Hoima to down south to Tanzania.

From Hoima, according to an insider, the crude oil pipeline will use the same allocated right of way with the proposed finished product pipeline, which will end at the distribution terminal in Buloba, Wakiso District. This pipeline running from the Greenfield oil refinery is estimated at about 210 km.

The government in July last year hired Ramboll Group A/S, a consulting engineering company from Denmark, to conduct “an early phase” detailed route and environmental study for the Hoima-Buloba pipeline, studies which have been completed. The initial corridor/pipeline reserve proposed was about 110 metres but it was revised.

Meanwhile, while the governments are working on harmonising the requisite policies and laws, the oil companies this newspaper understands are yet to embark on negotiations for project financing.

musisif@ug.nationmedia.com
Uganda, Tanzania discuss oil pipeline


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Energy officials from Uganda and Tanzania meet over oil pipeline

Uganda and Tanzania Energy Authorities today met over the proposed construction of the 1,403KM oil Pipeline from Hoima to Tanga Port.



Officials from Uganda and Tanzania energy authorities have met over the proposed construction of the 1,403KM oil pipeline from Hoima to Tanga Port.

Among other issues at the ongoing meeting in Hoima is the proposal to narrow the pipeline corridor out of the earlier 20 metre width as a way of managing the project’s costs.

- See more at: Energy officials from Uganda and Tanzania meet over oil pipeline | NTV


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Uganda, Tanzania Resolve to Fast-track Oil Pipeline Project
6 Jul 2016, 10:12 0 Comments 345 Views Hoima, Uganda Business and finance Report

Fredrick Kivabulaya

Energy Ministers Irene Muloni and Muhongo exchange agreement documents after oil pipeline meeting in Hoima Login to license this image from 1$.

In short
Energy and Mineral Development Minister Engineer Irene Muloni told journalists after the meeting that timelines have now been set to have the pipeline front-end engineering design launched in October this year. Muloni added that land acquisition and project funding equally need to be fast-tracked.


Read more: Uganda, Tanzania Resolve to Fast-track Oil Pipeline Project :: Uganda Radio Network
 
Tanzania to buy shares in Ugandan refinery

Tanzania has said it will buy shares in Uganda’s oil refinery. A total of 6.5 billion barrels of crude oil have so far been confirmed from about 40 per cent of the explored wells in western Uganda

Monday July 11 2016

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Uganda’s Energy Minister Irene Muloni, Tanzania Energy minister Sospeter Muhongo and Tanzania Permanent secretary in the Ministry of Energy and Mineral Development Justin Ntalikwa discuss during oil refinery negotiations in Hoima District last week. Photo by Francis Mugerwa

In Summary
Tanzania wants the pipeline corridor to be wide enough to accommodate a gas pipeline, which will enable Tanzania to export its gas reserves

Advertisement

By Francis Mugerwa
Hoima. Tanzania has said it will buy shares in Uganda’s oil refinery. A total of 6.5 billion barrels of crude oil have so far been confirmed from about 40 per cent of the explored wells in western Uganda.
While some of the oil will be exported in crude form using a pipeline to Tanga in Tanzania, the government also plans to build a refinery through a public-private partnership.
A delegation from Tanzania held closed-door negotiations with their Ugandan counterparts who were led by Energy and Mineral Minister Irene Muloni in Hoima on July 5.

The following day, the officials visited the proposed oil refinery site in Kabaale Parish,Mputa-5,Mputa-2 oil wells, Tullow oil’s Kisinya camp, Kyehoro Health centre III and Enviroserve oil waste treatment plant.
The Tanzania minister of Energy and Mineral Development, Prof Sospeter Muhongo, told Ugandan government officials that they have the money to invest in Uganda’s proposed 60,000 barrels per day oil refinery.

“We are grateful that Uganda government has offered East African states to buy a maximum of 8 per cent shares in the refinery. We are determined to take all the 8 per cent shares. Our initial calculations indicates that the shares will cost 150.4 million dollars,” Muhongo said.
He said the investment in Uganda’s oil refinery is part of a decision that Tanzanians have made to invest in regional oil infrastructural projects.
Prof Muhongo led a delegation that among others included Prof Justin Ntalikwa, the Permanent secretary in Tanzania’s ministry of Energy and Mineral development, directors and technocrats in the Tanzania Petroleum Development Corporation, Tanga Ports Authority and officials from Ministries of Works, transport and communication.
Tanzania is partnering with Uganda to build a 1,443-kilometre crude oil export pipeline.

The mission
According to Muhongo, Tanzania wants the pipeline corridor to be wide enough to accommodate a gas pipeline, which will enable Tanzania to export its gas reserves.
He said Tanzania has more than 57.25 trillion cubic feet of natural gas which is commercially viable.
“We want to offer this commodity to East African countries. It is very likely that the (crude oil pipeline) corridor we are planning will also have a gas pipeline coming to Uganda, Kenya and elsewhere,” Prof Muhongo said.

Partnering with East African states to develop their commercially viable natural resources, Prof Muhongo said, will give East Africans an opportunity to move out of poverty.
While Uganda plans to achieve a middle income status by 2020, Tanzania plans to achieve a similar status by 2035.
“We want all the protocols complete so that we partner with you in the construction of a refinery and using refinery products,” Prof Muhongo said.

The Ugandan Government recently suspended negotiations with Rostec Global Resources (RTGR) Consortium of Russia for the role of Lead Investor for the Uganda refinery Project.
The government team had shortlisted two bidders namely RTG, which was ranked as number one and the preferred bidder and the other led by SK Engineering of South Korea ranked as second and alternate bidder.
Ministry of Energy permanent secretary Fred Kabagambe Kaliisa, said the suspension of negations with RT Global resources will not affect Uganda from proceeding with its refinery project.
Government has been in negotiations with the RT-GIobal Resources Consortium for the last 44 months and a final agreement was reached in principle in May.

However, just prior to the expected signature date at the beginning of June, Kaliisa said, the RT-GIobal Resources Consortium made additional demands from the Government, seeking to reopen and renegotiate issues that had already been agreed on between the parties.
“Consequently, government was left with no choice but to halt negotiations and draw the bid bond. We shall quickly discuss with the alternate bidder, SK Engineering & Construction,” Mr Kaliisa said.

fmugerwa@ug.nationmedia.com

Tanzania to buy shares in Ugandan refinery
 
Posted on Wednesday, 20 July 2016 15:14
Uganda defends decision to abandon Kenya for Tanzania in oil pipeline construction
By Godfrey Olukya
Uganda defends decision to abandon Kenya for Tanzania in oil pipeline construction | East & Horn Africa
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FILE PHOTO©SUE OGROCKI/AP/SIPA

The government of Uganda defended its decision to construct an oil pipe line through Tanzania, breaking its silence on why it had abandoned an earlier plan to build it through Kenya.


Ugandan legislators on Tuesday questioned why government had abandoned an earlier plan to construct the oil pipeline from Lake Albert to Kenya's Lamu Port.

The government changed to Tanzania because it's cheaper than using Kenya's route to Lamu Port

The pipeline will now be built through Tanzania'a Tanga Port.

"The government changed to Tanzania because it's cheaper than using Kenya's route to Lamu Port," Dozith Abeinomugisha, the assistant commissioner in charge of oil refinery in the Energy ministry, said.


Abeinomugisha said the Kenyan route would delay the project, as it lacks existing roads coupled with the fact that it is always affected by monsoon winds for up to three months annually.

The 1,400km pipeline will connect Uganda's western region, near Hoima – where big oil reserves have been discovered – with Tanzania's port of Tanga.

The project is expected to cost about $4 billion and create 15,000 jobs.



Read the original article on Theafricareport.com : Uganda defends decision to abandon Kenya for Tanzania in oil pipeline construction | East & Horn Africa
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