Is Pan African Energy A Top-Performing Oil and Gas Company In Tanzania?
Have you ever wondered what separates the top-performing oil and gas company from the rest of the pack?
Why Some companies dominate the market while others struggle? The answer is pretty simple: Performance.
In the competitive oil and gas market, people pay for performance versus activities.
While oil and gas companies love talking about seismic, wireline, logging and all the boring stuff, the Investors love to see drilling and production. Because that is what generates revenue.
Top performers in the oil and gas industry focus on results versus activities.
Pan African Energy Tanzania(PAET), a subsidiary of Canadian Orca Exploration Group Inc. (“Orca”) it is.
The company has been operating the Songo Songo gas field located in the Southern part of Tanzania for a decade.
Read: Is Aminex Getting Ready To Supply the Much-Needed Gas In Tanzania
The reason I like Pan African energy is that, their knowledge of the Songo Songo gas field. Pan African energy is the first gas producing company in Tanzania which has been producing gas since 2014.
So, the company has been playing an important role in supporting continued economic and industrial development in Tanzania by producing and supply gas to power and industrial users for a long time.
The Big Year For Pan African Energy.
The year 2019 was a big one for the Pan African energy Tanzania l (PAET). According to its latest announcement, the company has experienced an increase sales volume to 63.1 million standard cubic feet per day (“MMscfd”) compared to 39.9 million standard cubic feet per day (“MMscfd”) in 2018
Furthermore, in its latest announcement, the company says that “it is evaluating the merits of conducting three workovers on the onshore wells, namely SS-3, SS-4, and SS-10. SS-3 and SS-4 are owned by Songas and are currently shut-in.
A decision on the timing and scope of the workovers is subject to the approval of the Board of Directors and agreement with Songas and will likely to be taken by the end of Q2 2020. A cost of US$13.1 million has been included in the 2020 budget for the three workovers”
With Increasing demand for natural gas in Tanzania, it suffices to say that the time is really now for Pan African Energy.
Future Gas Demand In Tanzania
On January 2020 Company announced that it expects gas demand from Songo songo field to grow.
This is driven by an expected increase in the use of gas for power plants and industrial users and expected starts date dates for new gas-fired power generation facility such as Kinyerezi – extension should be commissioned by in the third quarter of 2020 and bring up to 185MW combined cycle generation capacity in the fourth quarter of 2020.
