Tanzania catches the eye of big oil explorers | JamiiForums | The Home of Great Thinkers

Dismiss Notice
You are browsing this site as a guest. It takes 2 minutes to CREATE AN ACCOUNT and less than 1 minute to LOGIN

Tanzania catches the eye of big oil explorers

Discussion in 'Biashara, Uchumi na Ujasiriamali' started by nngu007, Nov 6, 2011.

  1. nngu007

    nngu007 JF-Expert Member

    Nov 6, 2011
    Joined: Aug 2, 2010
    Messages: 15,871
    Likes Received: 64
    Trophy Points: 145
    [FONT=Arial, Helvetica, sans-serif][/FONT]

    Posted Sunday, November 6 2011 at 15:41

    The discovery of oil in Uganda and Mozambique has triggered renewed interest in Tanzania, putting the country on the radar of major oil explorers and sparking acquisitions and mergers in the scramble for oil blocks.

    Last week, Tanzania signed the production sharing agreements (PSAs) with the two companies to explore oil and gas exploration in Lake Rukwa and Nyuni-East Songo Songo.

    Minister for Energy and Minerals William Ngeleja said Aminex will undertake oil and gas exploration at Nyuni-East Songo Songo and about $75.3 million will be injected into the project. Heritage Oil will embark on oil and gas exploration at Lake Rukwa and will put in about $66.5 million.

    "The terms of the PSAs cover 11 years, which are divided into three sub-periods," said Mr Ngeleja. He said that though Tanzania has yet to find a commercially viable oil source, investors are confident that the country has oil.

    He added that, "Exploration for oil and gas is capital intensive, risky and it takes a long time. In view of this, attracting capital is not an easy task particularly to areas such as Tanzania where no discoveries of oil have been made. I am therefore delighted to see enormous interest by junior and medium-ranked international companies in joining the exploration race".

    According to Mr. Ngeleja, the government is in production sharing agreements talks with more than six new international exploration companies to undertake oil and gas exploration in different prime-places of the country.

    He said that discussions are at different stages and if successfully concluded, these PSAs will cover Deep-sea Block-8, Lake Tanganyika area (northern area), Kyela, Ruhuhu, Mikumi and Pangani.

    He said that, in promoting exploration of oil and natural gas, the government will ensure that the production sharing terms are competitive enough to secure the country's interests and provide adequate incentives to investors.

    The signing of the agreement with Aminex Plc and Heritage Oil Plc brings the number of exploration companies operating in Tanzania to 17 and 23 PSAs, the highest number since exploration of oil and gas started in the country in 1950.

    "Oil remains the prize in off-shore East Africa and Tanzania in particular. Gas has been discovered but no commercial oil reserves have been found yet despite increasing evidence of its potential presence," said Mike Rego, exploration director for Aminex Plc.

    "The company has already made two discoveries of gas in the Nyuni area including the Kiliwani North field, which it expects to put into commercial production next year," said Mr. Rego.

  2. nngu007

    nngu007 JF-Expert Member

    Nov 6, 2011
    Joined: Aug 2, 2010
    Messages: 15,871
    Likes Received: 64
    Trophy Points: 145
    And If OIL Discovered... we should ask the British Embassy to move back to Kenya; as even Visa's nowadays is only Available in Kenya

    They have downgraded their Embassy in Dar-es-salaam.

  3. BabuK

    BabuK JF-Expert Member

    Nov 6, 2011
    Joined: Jul 30, 2008
    Messages: 1,847
    Likes Received: 69
    Trophy Points: 145
    Kuna kamchezo cha kibiashara na uwekezaji hapa....