Aminex Celebrates Ntorya Development Licence at Grand Handover Ceremony in Tanzania
In a notable event signaling a significant advancement in Tanzania’s energy sector, Aminex, a company specializing in oil and gas exploration and development, alongside the development operator ARA Petroleum Tanzania Limited (APT), formally received the Development Licence for the Ntorya gas discovery area. The official handover ceremony took place in Mtwara, attended by high-ranking government officials, local dignitaries, industry leaders, and a sizable public turnout.
The Development Licence, valid for an expansive 25-year period, was granted by the Ministry of Energy in May 2024 and symbolically presented by Dr. Doto Mashaka Biteko, Deputy Prime Minister and Minister for Energy. The event saw substantial representation from the Tanzanian government, including Lindi Regional Commissioner Ms. Zainab Rajabu Taleck, District Commissioner Mr. Abdallah Mwaipaya, and other notable officials from the Ministry of Energy and Tanzania Petroleum Development Corporation (TPDC).
With over 1,000 attendees, including Members of Parliament and regional community representatives, the ceremony underscored the Tanzanian government’s commitment to leveraging its natural resources for the nation’s benefit. Dr. Biteko emphasized the role of President Dr. Samia Suluhu Hassan in spearheading this initiative and projected an optimistic timeline for the completion of the crucial pipeline from Ntorya to Madimba within the next six months, which will facilitate gas delivery for electricity production.
This Licence is expected to catalyze significant gas exploitation in Tanzania for the first time under the current administration, marking a monumental step towards enhancing the region’s electricity availability and overall economic development.
The joint venture has already made substantial progress on the Ntorya site. Recent efforts include acquiring land for upstream processing facilities and the Chikumbi-1 appraisal well, as well as expanding infrastructure to support gas production activities. The project pipeline includes well tests and conversions at existing wells and the drilling of new appraisal wells to ensure a steady gas output.
Under the Gas Sales Agreement with TPDC, initial production estimates anticipate 40-60 million standard cubic feet per day (mmscf/d) in the first year, scaling up to 140 mmscf/d in subsequent years. This substantial increase in production capacity is poised to boost Tanzanian gas output by 20-80%.
Aminex, with its 25% interest in the project, looks forward to contributing to the region’s industrial and economic prosperity through this partnership. The extensive 3D seismic survey conducted over the licence area reveals considerable potential for expanding Ntorya’s gas production, contingent on phased development and industrial maturity of gas offtakers.
The ongoing work programme carries an expected gross capital expenditure of $140 million, with Aminex’s share amounting to $35 million. This strategic investment marks a pivotal point in Tanzania’s journey towards harnessing its natural resources for broader economic empowerment and energy security
