For All Entrepreneurs Confusing About The Benefits Social Media Can Bring In The Oil and Gas In East Africa

/in /by


Social media has been lagged behind in the oil and gas. This is because companies don’t see the return on investment sooner as the business to consumer firms do.

I agree that for the companies sell to the individuals can attract many customers to the social media. Look at this example, car firms can sell more cars by simply posting the advert on the Facebook or twitter.

While you can’t get drilling contract on Facebook or you won’t sell more oil and gas equipment on Facebook or get the award the contract to offer catering services in the pipeline on Facebook. Also, sales in oil and gas is based on the relationship.That is why many oil and gas companies tend to not actively using social media.
But for the oil and gas companies to benefit from the smartphone age where clients, decision makers employees  and community in which you operate are on social media, they should not view the social media as the companies sell to individuals do. They should see it in different ways.

They should view social media as  allow them to educate,, help them to interact and connect with the host government, communities, employees, and stakeholders.

So if you wondering the benefits social media can bring in the oil and gas companies by actively using social media here are some of them.

1.Retain and attract  personnel

The oil and gas industry is now experiencing a substantial challenge, we call this “BIG CREW”. To clarify big crew is the lack of personnel and it happens when oil and gas companies hire a lot when the oil price is high and downsized when oil price is lower. Also, the lack of personnel the is the result of the retirement for many experienced oil and gas professionals. To resolve this problem companies should hire local engineers and attract the young workforce.

The simple truth is that large percentage of young professionals and engineers have accounts on the various social media platform. So engineers and your prospect employee already use social media why don’t you go where they are?

By setting up the LinkedIn group and Facebook of your companies and update about the new position it will help you attract highly qualified employee who will help build a profitable business.

2.Educate People
Since the oil and gas in East Africa is just started, so a lot of people have misconception about the oil and gas sector. Some of them they might discuss your companies on the social media.

So if you have Facebook, LinkedIn or Twitter accounts you will give them positive feedback and respond them to a negative comment. Also, you will consult them about the safety and how your activities will not harm them.

Remember public are on social media and they talk about you on there. So social media can be the attractive option to get your message to people, so if use them wisely to reply their comments you will stand greater chance to have successful operation

3.Collaboration
Oil and gas professionals and stakeholders can come together to share their positive experience on social media.If your company have a Linked In group, oil and gas companies can use to discuss their work, exchange ideas and discuss o on new technology in your companies etc
Build Authority and Brand awareness.

If you use social media to share your press release, publishing statistics introduce new products or technology or announce the mega& acquisition, you will surely view as a leader in the industry. You will not be regarded as a Vendor or operators but you will start increasing your reputation

4. Oil and Gas Conference participation.

I learned the great lesson at the last oil and gas congress attended.One of the delegates went to the registration desk and asked for the Wi-Fi code. The best part is I sat next to him when the conference began.So I noticed he was on his smartphone when the speaker was talking. Social media can be a platform to engage audiences and speakers.

5 Crisis management.

If any possible hazards happens in the industry such oil spills, pipeline leakage, social media will play vital role in spreading out message
The oil and gas industry is difficult to adopt new technology but the social media is the cheaper and faster and cost effective to increase brand awareness, interact with stakeholders, manage public perception and inform them about any possible hazards and activities.

I would love to hear your from you, please leave your comment below and share your input.

Hussein Boffu

Hussein.Boffu@tanzaniapetroleum.com

+25574285606060

+255655376543

How To Get Potential Clients In Oil and Gas In Tanzania and East Africa Using Cold Emailing

/in /by

 

 

The oil and gas is a word of mouth industry, to sell more goods and services In the industry you need to have face to face meeting with your client and tell them how you can help with your products and services. Because once you meet with your client in a person there is a greater chance will do business with you

And the best way to get client in oil and gas to speak to you is by booking appointments or sales meeting.
And the more appointment you make, the more client you see and the more goods and services you sell that increase your profit margin

The good news is that the ideal approach to reach out client and get more sales meeting is through email.
Whether you want to get client in the proposed Uganda-Tanzania oil pipeline project or any other oil and gas project, cold emailing can help you a lot

In this post, you will be learning how to get high paying client in Tanzania and East African oil and gas using cold emailing. You will learn how to find client email in the oil and gas without annoying anyone. You will also learn how to write effective cold email that will get you more appointments and more revenue in the oil and gas.
If you are wondering how? read on to find out

Use professional email address
Client don’t take seriously people who reach out to them using emails associated with “Gmail” ‘yahoo” “Hotmail “
. If you use unprofessional email like hussein2005@gmail.com to reach out client in oil and gas. I guarantee your email going unread. Or even if they read, nobody will reply.
You should use professional email that linked to your company like Hussein@quicksource.com
And the only way to have professional emails is by setting up company website because the end part of your email is the domain name that holds a company website.
For example, Hussein@quicksource.com in this email “quicksource.com” is the domain name of the company website
So if you want to get the client in oil and gas in the East Africa, go and create a website. If not, you will lose significant businesses.

Find out the right person to email
You need to email a person who is able to make the decision to hire you. In each oil and gas companies, there is a person in charge of a particular department. For example, if you shot cold emailing to the human resources manager for the services you won’t get any response.

Perhaps he will ignore or delete your email instantly. To stand out, reach out to the right person at the company. Here are two approaches. The first approach is to email managing Directors, CEO and countries managers at oil companies
The second option is to reach out to a logistics manager and procurement manager.

But I have found the best approach send an email to CEOs and Managers. This approach has worked well for me. And here is how I do.
I emailed Manager or CEO at oil and gas company, so the manager will schedule a for meeting appointment. And when they replied to let me the date that is convenient to meet me at their premises, they copy some of his procurement staff. So I sensed I will meet not only the mangers but also with his procurement team.

How To Find Client Emails

The cold emailing is useless if you don’t have contact information for the people you want to email in the oil and gas company. Here are three ways to find client emails
1.Search on Google.
Google is a useful tool to get the email address of many executives in the oil and gas in Tanzania. You should try different phrase until you get the desired result. When I just entered the oil and gas business I had no contact in Tanzania oil and gas.

I wanted email address of the managers at the oil companies to set up appointment because If you go to the oil and gas companies without appointment, client won’t speak to you and most importantly you sound unprofessional because they can regard you as you are not time conscious

So I started to Google and I typed the different phrase and words until I found the link that had all email address and phone numbers for managers of international companies in Tanzania. Afterwards, I emailed all managers to ask for meeting appointment. Because I learned how to write effective cold email I got 7 sales meeting out of the 10 clients I pitched.

2.Leverage LinkedIn
LinkedIn has proven the best social network for professionals since its launch in 2002. Many decision-makers in oil and gas have LinkedIn accounts. So You can find email addresses of decision makers in oil and gas on LinkedIn. The first thing you need to do is to get information about the people in an organization. To achieve this, visit the company website you want to work with, go “Our Team” or a “Staff” page. And you will find names and position of the key personnel in the company. Then you cross-reference all names from website with LinkedIn

3.Use email hunter
This is the best App which to uncover email address of anybody. In order find the email address, you add the website of your prospect, so it searches and then you will track all email addresses available to the people in the company. So you can find an email address of the person you are interested in.
I used this approach and I found email s and phone numbers of all managers on the Google

How To Write Effective Cold emailing
Now, you have an email address, so now is the right time to send an email to your clients. But anybody can pitch clients. But only who write effective pitch will get the response. If you know to write an irresistible cold email that grabs client’s attention, and you write In a polite and persuasive way, you will get more responses and more appointments that will result to more leads and sales. Other ways your client will ignore or delete your email and losing business.
Here is how to write effective cold email:

1.Write Irresistible    headline

The headline is what make people to whether open your cold email. So a good headline will

2.Personalize
Once you have written a headline, the next step is to personalize your cold email with prospect’s first name
Sending people email without personalizing reduces your reply rates. If you send email without addressing them by name, there is a greater chance client will trash your email. The research points out that 48 percent of decision makers do not reply when they receive emails that haven’t address them by their name

The simple truth is oil and gas manages are super busy. They receive tons of email every day and hundreds of phone calls. They have to deal with government officials and attend meetings.
Procurement managers in oil and gas also are busy, they have to send “Request for proposal to other service providers and suppliers, also they have to evaluate them to ensure they choose the right supplier for particular services. So personalize your email with your client’s first name shows you care and increase the response rates

But sending them to email simply saying “Hello” “ Dear sir” won’t give the desired result because it may be misconstrued as spam
For example, how do you feel when you receive emails. The first email, a sender starts with Dear (Your first name)
And the second email, the sender starts with Dear (Sir) without mention your name
I bet you will feel excited the one who has included your name in the mail. The same way when you shot the cold email to the client. The simple truth is that people love to hear their name. So when you approach client personalize will increase your response rates

3.Introduce Your Company

The first line of your email should aim to introduce your company. This help client to know who is dealing with. Also, introducing your business establish trust with client which is the key in making sales
Here is an example.” We are {Rock gas Tanzania Limited} a Tanzania based supply and procurement duly registered”

4. Purpose of the mail
The next stage is to answer a question “why you are emailing me”, you should be specific to explain what you reach out to client
Here is an example “ We are writing officially to apply for registration and do business with your company.”
5.Establish reputation
You have to write anything that will increase credibility for the client. If you have entered a partnership with reputable experience firm in the oil and gas just state it. If you have already served other big oil and gas companies just sate it. If you have accomplished a big project even in the industries that is irrelevant with the oil and gas mention it in your email.
Here is an example “ Rock gas Limited has worked with various oil and companies in Tanzania, include, Statoil and Shell.”
If you haven’t worked with any oil and gas companies in Tanzania, establish credibility by the state any achievement you have accomplished as a company that is relevant to your potential client. In oil and gas experience is critical.So You can establish credibility by telling your client the number of years you have been in the business

5.Outline the services or products you offer
The next step is to tell your client how you can you help them. You should outline all the service and product you think your clients will benefit from

6.Conclude and Encourage your client to take action
The final step is to explain what action you want your client to take? Because the aim for shot a cold email is to get appointment with client so as you can present our goods and services to client
So here is how you can conclude your cold email “We humbly pray to have a good working relationship with (Name of client’s company) for mutual benefit. Kindly Schedule us a face to face meeting to further discuss our services.We know you are busy so we only need few minutes of your time to show you what we have got and you can judge for yourself if is what you are looking for. Will Monday or Thursday work for you?

Why this conclusion works well. The reason it works well is that

They are busy, so telling them you will spend few minutes with them, your client will be happy to meet you because they are confident you won’t take a lot of the time. Also, it makes client say yes because up

3-7-7 Follow Up Formula
Cold email can be frustrated when you send an email to the client and you don’t get a response.
What will you do when this happens? Will you give up? The answer is you send up follow up email.
There are many reasons why your client hasn’t reply your cold pitch. Here are some of the reasons

He hasn’t received your email. Sometimes, email is marked as a spam
So sending follow up email can resolve this challenge. But if you don’t know how to follow up with cold emailing, you will annoy your clients and end up hearing nothing. The purpose of follow up cold email isn’t to harass your client to book appointment with you but to remind them they didn’t receive or overlooked your email.
The good news is that using 3-7-7 follow up formula you will get more replies from the clients, and get more appointment that will result to sell more goods and services in the oil and gas in East Africa.
Stay tuned until the next post when I will reveal the 3-7-7 follow up formula that will get your more sales meeting

Tanzania Oil and Gas Upstream Sector Activity Outlook 2017-2018 Synopsis

/in /by

It is truly remarkable how East Africa, and specifically Tanzania has in a short period of time become the main focus of attention as a source of new global gas supply. Large amounts of foreign investments have been made in the Tanzanian Oil and Gas industry after its discovery. These investments have made East Africa the next lucrative market in the international scenario.

Since 2010, Tanzania has witnessed further exploration and discoveries of significant quantities of natural gas both on and off-shore.

The speed at which governments in East Africa are developing hydrocarbon reserves is a clear indication of their will to cement the region’s reputation as the new hotspot  for oil and gas  exploration and production.

Recently, Tanzanian President John Magufuli ordered that exploitation of natural gas begin as a matter of urgency,

 

Tanzania Upstream Sector Activity Outlook 2017-2018  presents an in-depth assessment of the upstream sector in Tanzania including a look through the last over 65 years of oil and gas exploration, , discoveries as well as development and production of  natural gas.  The report also forecasts expected activity over the next 12 months and highlights various long term projects such as power generation and consumption by industries.

This outlook answers several questions for stakeholders, primarily which market segments they should focus upon during the next 12 months to prioritize their efforts and investments. These stakeholders include: engineering consulting firms, geophysical contractors, equipment providers, logistics companies, drilling contractors, research institutions, security firms, catering providers among others.

Our primary sources for the information herein include corporate presentations, financial statements, press releases, one on one interviews, SEC filings, government and related agencies announcements, news articles to name but a few.

This 17 page report looks into activity in the currently licensed exploration blocks and development licenses in Tanzania and guarantees you will remain better informed than your competition.

The research includes historic data from 1952 to 2017 and forecasts until 2035 which makes the reports an invaluable resource for industry executives, marketing, sales, advisors, analysts, and other people looking for key industry data in readily accessible documents with clearly presented tables and graphs.

The research provides the historical and current blocks overview:

Exploration

·         Rukwa Basin License – Heritage Rukwa Ltd

·         Kilosa-Kilombero Basin License – Swala Oil and Gas (T) Ltd

·         Tanga Basin License – Afren/Petrodel

·         Ruvu Basin License – Dodsal Resources

·         Nyuni License – Ndovu Resources

·         Ruvuma Basin License – Ndovu Resources

·         Block 1 and 4 – BG/Shell

·         Block 2 – Statoil

·         Lake Tanganyika North License – Tanzania Petroleum Development Company

Development License

·         Songo Songo – PanAfrican Energy

·         Mnazi Bay – Maurel et Prom and Wentworth

·         Kiliwani North – Ndovu Resource

 

Download this guide for a token of  $ 100 now.

To buy the report , make a payment of $  100  through Tgo pesa, M-pesa to any of these numbers:

  1. +255742856060
  2. +255653702878

Once your payment is done, send an SMS to +255689955711 or +255655376543 with the following details:

  • Your full name.
  • Your email address.

Alternatively, send an email with the above details to info@tanzaniapetroleum.com The moment we receive your email or SMS, and we confirm your payment, the eBook will be delivered to your email address (in PDF format) within ten minutes.

You can then download it and read it on your Smartphone or computer.

 

For international clients you can order your copy and make payment via Western Union

 

 

 

How To Get Repeated Business In East African Crude Oil Pipeline Project

/in /by

 

 

The massive discovery of natural gas in Tanzania and crude oil in Uganda, has made East Africa the hub and lucrative market for investment
Large investment has been made in East African specifically Uganda and Tanzania after the significant discoveries of gas and oil in the countries

 

The recent huge investment is proposed East African Crude oil pipeline will take Crude oil from Kabaale –Hoima in Uganda to Chongoleani peninsular near Tanga port in Tanzania. This project provides immense opportunities across different sector of economy
And many people have been eyeing on this pipeline.

 

The simple truth is that the most profitable sales in any business are from REPEAT clients … and their REFERRALS!

 

 

The problem is… this rarely happens

 

Suppose you have approached a pipeline construction contractor and has given you a job to supply civil equipment.

My question. How are you going to get them give you repeated business?

So here are realistic ways to make clients in the proposed East Africa pipeline to rely on you for the supplies and services

1: Meet Delivery Schedule 

very Believe me, no client wants to deal with supplier or service provider who delivers the services late.
This is because delay of delivery of goods or services affect pipeline construction schedule
They will highlight delivery time on the purchasing order(P.O). But undoubtedly deliver the services on time or early is the easy way to get repeated sales in the EACOP project.

 

Read: 5  Warning  Signs You Will Never EVER Make Money In Oil and Gas In Tanzania and East Africa

 

Back in the day, when a client ( oil and gas exploration and production company in Tanzania) award me a small job to supply them with chemicals. In the purchasing order, the delivery time was one month.

But I delivered the material in the first week from the date I received purchasing order.
Guess what happened? In the next day, the procurement manager of such company sent the Request for Proposal (RFQ) invited me to quote for more supplies.

I looked for the price of the Items they needed, and I submitted my proposal. Again, they awarded me the job.

Since then, they kept giving more and more job.
Once you provide service in time, you make your client happy. become a friend of your business and which will result in more jobs

 

2:Provide the quality services
So, supply high-quality products and render topnotch services. If clients ask you supply them with local welders, bring them the best welders.

If clients ask you to construct access road along the pipeline route. Offer them the best service,
Don’t act as if you are the only service providers in the industry. The oil and gas is a competitive sector, to get repeated business in the pipeline project you should wow your clients with fast and good service

 

More opportunity in the East African crude oil pipeline project will be determined on how you did your last job
So when you get an order or contract, deliver on time. If not, clients may not invite you to bid on the next contract
When you fail to meet delivery schedule and offer quality services. Client will pull you out as his a supplier or service provider

5  Warning  Signs You Will Never EVER Make Money In Oil and Gas In Tanzania and East Africa

/in /by

The multibillion-dollar oil and gas investment like drilling projects, construction of East Africa crude oil pipeline has been grabbing entrepreneur’s attention to pursue opportunities in Tanzania and East Africa’s oil and gas.

A lot of people figure out the ideal approach to make money in Tanzania and East Africa’s oil and gas sector.
But the truth you may not want to hear is that the large percentage of those people will never make a cent in the industry and the few of them will make little money.

If you don’t want to be the part of this group who will never make a cent in the oil and gas sector,  please read this post and you will know how to go about it.
Before I share with you the signs, I want to clear up something. This article does not intend to discourage anybody. But I want to be honest with you about the oil and gas sector.

Now, let’s dive in

1:Oil and Gas Is Not Your Thing
The major mistake people make is get motivated to join the oil and gas because they saw or heard their friends make a six-figure income, they go into the oil and gas sector for money.

Don’t get me wrong, there is nothing with wanting to make more money from the industry, everyone loves making money (include my self)

The problem comes up when you try to enter the oil and gas thinking is filled with money, without loving the industry.
The good news is that, if you passionate about the oil and gas you will keep moving even in the tough times. But if oil and gas is not your thing that means you don’t love the industry, and if you lack passion for the industry you will quit even when you face a little challenge.

To be successful develop the deep interest in the industry.Once you love the industry nothing will prevent you from making money from the oil and gas

2.You care about instant result
Here I am talking about people seeking to have fat bank account quickly. They believe will produce income in the oil and gas quickest
You want to enter the oil and gas market today and get the client in the next month.

Or generally, you want to get a job in the big oil and gas company straight out of college(I had the same thought, too). That might happen. But not for everybody. I admit the oil and gas is the most rewarding sector.

But getting high paying clients in the oil and gas needs to build trust and long-term relationship with clients. And neither of those things happen overnight. And just like anything worth having, it takes effort.So if you are looking for the quickest income you will never make a cent in the industry

 

3. You don’t want to upgrade your knowledge
The only way we advance in this industry is through continuous learning.
You need to focus on learning and understanding the oil and gas. You should learn how to do business with oil and gas sector. Most importantly you should be learning to sell goods and services in the petroleum sector.

The moment you stop learning the moment you stop making money in the industry
The best mistake you can make is believing you know everything about the industry and position yourself as an expert. The oil and gas huge, you need to continuously upgrade your knowledge. Graduation never happens in this industry because you need to be a lifelong learner.

When I said learning, I am not talking about getting back to college for Masters degree in Petroleum engineer.

Today the planet earth is one global campus, you can learn everything you want to learn about the oil and gas sector. So go online, take oil and gas training, read the oil and gas book, there is a dozen of books available online for free. Attend oil and gas conference and events to learn more about the industry. And ask guidance from the expert.
.
Take for example I have a virtual oil and gas consultant in America, a countless time I reach out to him for guidance. Thankfully, he answers all my question His name is Mark LaCour. And here’s  his  website, have a look at it, (https://modalpoint.com/)
Just click the link to see the video that I had interview with him,  (Advice From American Oil and Gas Expert For Tanzanians Youths) I never underestimate anybody. I strongly believe every one I met has something to offer me about the oil and gas sector.

I got a university student who’s teaching  me how to use some oil and gas software.

The future of the oil and gas sector belong to the learner and not hard worker this is because once you learn you will bring the tangible result to your business and you will have successful oil and gas career.

4.You  don’t expand your  relationship 

 

The oil and gas is the personal  contact industry, people in this is industry prefer to work with people they trust and know, so networking is the key to success in the oil and gas sector. So build relationships with other oil and gas professional. Attend the industry conference and events and conference, and join the association and clubs.

This will help you gain more contact and you will meet many people who can help you and help them in return. Networking is all about helping others. Networking is received and take, so once you meet new people in the event or conference avoid to sell yourself or your products in the initial interaction of networking. Instead, figure out how you can help them.

People have two fear when you meet them, fear of being manipulated or taken advantage, so your job is to eliminate these fear in your initial interaction of networking, and the best way to do that is to figure out how you can help them in the first place, Instead of focusing on what they can offer you
If you won’t build relationship, you will be suffering from getting client or even job in the oil and gas

5.You don’t have plan
You need strategies to reach your goals, how many clients you will meet and talk in a week or month. What are potential people will help you in achieving such goals
If you close your eyes, where you see yourself in the next 5 years In your oil and gas career
For example, recently I got an idea to write oil and gas ebook. So I started to figure out who will be my audience. When do I want to publish the book? Who will assist me in my eBook, I listed names of all people that I need help from, Then my strategies was  to set up  one to two hours to work on the ebook every day
If you don’t have clear goals, you will make a cent in the industry

 

The Latest Upstream Oil and Gas Updates In Tanzania and Uganda

/in /by

Uk independent exploration and production company (Aminex) the operator has applied for  25 years development  license of Notary field, Ruvuma basin in Tanzania.

The development plan involves findings from the commercialization study done by oi oil and gas consultant which Is joint venture of Baker Hughes, GE company, and Mcdermott. The plan comprises the various gas monetize plan include selling compressed natural gas (CNG), gas to power and pipeline transmission of gas from Notrya field to Madimba plant. So what does all this mean to you? This is the milestone towards early production

Recently, Statoil Tanzania has signed a contract with Ocean Rig Poseidon for drilling one offshore well in Tanzania.

The drilling program will start in the first quarter of 2018 and will be performed by Ocean Rig Poseidon drill ship.

 

Also Read: How Much Does It Cost To Start A Mini Fuel Statio With Two Pumps  In Tanzania

Total Uganda Limited and Its upstream partners (Tullow Uganda Limited and CNOOC Uganda Limited) have completed exploration phase. They now are headed to development stages this will result to the monetization of Uganda oil resources

 

Also, the construction of proposed East Africa crude oil pipeline is expected to start once the final investment decision is reached in December 2017. So the early construction work is targeted to start in early 2018

 

How Much Does It Cost to Start Up Small Petrol Station With Two Pumps In Tanzania

/in /by

Walk around remote or off-the-major roads areas of Tanzania; you will see some roads and districts with no filling stations at all while others have only one.

Walk around in rural areas; you will see people travel many kilometers to purchase the fuel. Some of them turn to unlicensed suppliers (illegal vendors) whose product quality cannot be guaranteed.

Consumers also often buy and store large quantities of fuel for use, and this has sometimes resulted in fire outbreaks causing damage to property and human life because of poor handling.

This is your opportunity to set up a rural filling station to serve consumers in those areas.

 Major oil marketing companies prefer to set up modern fuel stations in major towns. So they always neglect these rural areas. 

Having your small petrol station in the rural areas is far less expensive to set up and maintain and still guarantees a sustainable profit.

Related Project:A Detailed Feasibility and Project Report on Starting a Profitable Small Petrol Station with Two Pumps in the Rural Areas and Small Towns in Tanzania

The simple truth is that the demand for petroleum products is growing at a fast rate in rural areas. The part of these reasons is the increase in economic activities in those areas.

Read also: Petrol station business plan in Tanzania

Look all around. All over the rural areas in Tanzania. Villagers rely on kerosene. Big trucks transport crops. There is still a power-failure problem, so, people depend on generators—both diesel and petrol powered.

Most importantly is the emerging mode of transportation. There are tricycles or boda-boda, as everyone calls it, and it has increased the demand for petroleum products in rural areas. The good news is that all these vehicles and generators run on diesel or petrol that you can set up in your fuel station and get huge income selling it. The surprising truth is that there are fewer filling stations in rural areas. EWURA.

Even EWURA has set up less requirement to encourage investors on set up stations in those areas.

It’s cheaper to start. To set up a mini fuel station in rural areas can cost you less than TZS 58 million. But I would advise you to invest more if you can afford more.

And you can easily raise the capital without begging, bribing, or cajoling friends who might not willing to help you. Also, you can start small like this and grow bigger and develop more stations in other cities of the country.

If you have read my articles on purchased my feasibility report on how to set up profitable petrol station business in Tanzania, you will discover it require 

Tsh 200 million to 1 billion to set up a petrol station in Tanzania especially in town areas. Now huge start-up costs are not barrier to become a petrol station business owner.

If you’re passionate about starting a filling station and have limited funds. I would advise you it’s pretty cheaper to set up a mini fuel station in rural rather than in a commercial city. Moreover there less government requirement for setting up a petrol station in rural areas as the EWURA want to encourage investors to set more fuel stations in remote locations 

For example, as only a minimum size of 400 square meters of land space, EWURA can approve for mini fuel stations set up in those areas. And you can start with two storage tanks. Depending on which fuel products have high demand in your location but you can start with one tank for diesel and one tank for petrol. All of 5,000 or 4,5000 liters capacity.

How to Get Started With Profitable Mini Fuel Station In Tanzania

1.Business Plan and Feasibility Report.

Modern business start with a comprehensive business plan. To respond with rapid changes in the industry like regulatory changes and oil price volatility, successful oil and gas business owners have embraced the business plan for strategic planning as well as to respond with uncertainty across the industry.

The sad reality is that most Tanzanians don’t understand the value of the business plan. Their needs for the business plan come when they consider requesting a bank loan. 

Technically speaking, in today’s competitive oil and gas business, develop your own business plan will help you stand out from the crowd. Petrol station business can be lucrative that needs a lot of strategic planning. Most Tanzanians when they first consider joining the petrol station business were motivated by high-profit margin per liter rather than the total sales volumes that the petrol station business generates.

It is not a secret that the petrol station business can make a profit margin of 100 to 300 per liter. But since the business generates a solid profit margin does not mean it would be profitable for you.

Let’s say your margin is TZS 200 a liter and you sell only 300 a liter per day. That will make you less money than some someone who has total sales volume around 6000 liters a day.

Hence why I strongly recommend investors to focus on total sales volume versus a profit per liter of fuel. And a comprehensive business plan can help you forecast your sales projections and help you see what kind of business you are building. 

2.Getting the Needed Government approval.

To construct and operate a petrol station anywhere in Tanzania, you will need government approval. There are several approvals you may need. From the National economic empowerment council to EWURA.

I would advise you to hire a consultant to assess if your location is commercial for starting petrol station business before you start the process of acquiring necessary permit and license

3.Getting EWURA Approval

EWURA is the government agencies regulate the oil and gas business in the downstream sub-sector or segment of the petroleum industry. EWURA approval comes in two ways:

  1. Approval to construct.

After all environmental impact assessment carried out by NEMC, the building permit, and the land title dead you need to get approval from the EWURA to construct your station. You can’t build the petrol station the way you want. You have to meet the EWURA requirement. I will advise you to visit the EWURA office to learn more about their requirement.

2.License to Operate

After you have built the petrol station, you still need EWURA to approve it and give permission to start selling petroleum products. The license to operate your petrol station cost TZS 1,000,000.

So what are You Waiting For?

   Start today by taking small actions towards your ideas. A little things matter. Small actions today can lead to big results tomorrow.

I am your partner, facilitator, motivator, and advisor. Reach out to me via +255(0)655376543 or Hussein.boffu@tanzaniapetroleum.com

 

A New Independent Oil and Gas Service Company Won  £1 million  Deal   in Tanzania oil and gas Sector   

/in /by

Tems International MD Bill Walkingshaw, left, with international business development manager Colin Bruce. Picture: Contributed

Tems International MD Bill Walkingshaw, left, with international business development manager Colin Bruce

 

An independent based  Aberdeen based oil and gas service company named STEM international has secured its first huge contract In Tanzania.

STEM International  founded in 2017 and now has secured  2 years  contract that worth £1 million  to carry out:

  • Environment and regulatory compliance
  • Drilling waste processing and treatment work.

At onshore oil and gas waste processing facility in Tanzania.

The current workforce of STEM international is seven staff and three consultants. The firm has absorbed another Aberdeen based company name  TEAM CB which delivered:

  • Solid control
  • Tank Cleaning services

Three members of STEM international workforce will be onsite at oil and gas waste processing facility in Tanzania. And the staff will be responsible to oversee.

  •       The processing and treatment of oil and gas drilling waste
  •      Ensure facility remains compliant  with environmental and governmental regulation

 

What Have You Learned From This  New oil and gas Service company

 

  • You can start your oil and gas business in any economy and hit your mountaintop:    Stem international formed in 2017 in the period of low oil prices where everyone worries. But they still successfully secured its huge oversee contract.
  • You should know what you do. The number one reason most business owners fail is that they don’t know what they do. But STEM international is formed with experienced oil and gas professional. So they know what it takes to win a contract regardless.

Bill Walkingshaw, TEMS international managing director, and Colin Bruce Tem international business development manager has experience specialized in environmental waste and water treatment services.

So this is your high time to set up your oil and gas business and start to scout for bids and win a major contract, too.

Aminex Applied For Development Stage of Notrya Field In Tanzania

/in /by

 

Uk independent exploration and production company (Aminex) has applied for development license of Notary field, Ruvuma basin in Tanzania. Aminex submitted development plan to Tanzania petroleum development operation (TPDC).

And Petroleum Upstream Regulatory Authority (PURA) will approve.

The development plan involves findings from the commercialization study done by oi oil and gas consultant which Is joint venture of Baker Hughes, GE company, and Mcdermott.

The plan comprises the various gas monetize plan include selling compressed natural gas (CNG), gas to power and pipeline transmission of gas from Notrya field to Madimba plant southern part of Tanzania through an approximately 35km spur line.

 

Aminex has applied for the development phase, so as to set up early production with in existing wells,
Recently, Aminex has tripled its natural gas resources from 4.66 billion cubic feet to 1.3 trillion cubic feet
Aminex drilled to 1326m in January this year and planned to drill for a depth of 2860m

So what does all this mean to you? This is the milestone to wards early production

Aminex has a working interest of 75% in the in the Ruvuma Basin Petroleum Sharing Agreement in which Ntorya was located.
Solo held a 25% working interest in the Ruvuma Basin Petroleum Sharing Agreement in which Ntorya was located.

How To Start and Succeed In Oil and Gas Business In Tanzania If You Don’t Have Prior Experience and Background Related To Oil and Gas

/in /by

How can you start a business In upstream oil and gas without experience and succeed on it?

But here is a misconception out there. People believe without practical experience in oil and gas you can’t make it in the oil and gas business.

If you don’t have a degree in petroleum engineering, oil and gas business isn’t for you. If you didn’t expose to the oil and gas rigs or platform in the field sites for years, you can’t succeed in the oil and gas business.

But this is entirely false. Oil and gas business is limited to everyone, no matter what program you took in college, No matter what profession you are in, upstream oil and gas sector offer opportunities in every sector. You only need to passionate about this industry and motivation to help others.

I don’ t say experience is worthless in this industry, To be honest, nothing can replace experience in oil and gas sector.

But a key point is, even if you lack experience you can start and succeed in this industry. If you doubt me, Read on to find out

But what is upstream? I hear you ask? Upstream is the segment of the oil and gas sector involves companies that dig deep underground to extract and bring oil and gas resources to the surface. So can be transported to consumers.

You often hear named as Exploration and Production companies(E&P). Does this sound too technical? Let me clarify to give you a better understanding. These are companies you hear announcement every day in the media they have discovered new gas discoveries in Tanzania.

These are companies you will find have a huge drilling machine, puffing red flames and black some into the sky in Mtwara.

This article shows you how you can start a business providing goods and services to these Exploration and production companies (E&P ) operating in Tanzania. if you have zero experience in oil and gas sector.

This is privileged information that helps you achieve the success I the industry.

Here is Fact Nobody Tells You About Start Oil and Gas Business Without Experience
When you start your oil and gas company you become a manager or chief executive. And managing Directors (MD) or Chief executives don’t need to go the field to maintain equipment.

A manager is not expected to know everything about the industry.
As a manager of the new company starting out, your primary job is to going and look for a job.

And once you get a job you hire engineers and technicians to execute such work.
So you don’t need to know how to maintain a gas turbine, You don’t need to have 10 years experience to make money in this industry.

You only need how to get contracts in the industry. In other words, you should know how to sell in the sector. Simple as that.

 

.

The Million Dolar Skills That Will Make You Succeed In Oil and Gas Business

The most important skills and experience you need to succeed in oil and gas is SALE. No matter how experience you have in the oil and gas sector if you don’t know how to sell in the industry you are going to be in trouble. Why ? because sale is the oxygen of your company.

Without sales or contract no cash flow, And without cash flow no business.

But the good news is that sale is learnable skill, you can learn to sell into oil and gas through repetition until it becomes your second nature.

Even if you don’t have zero physical experience in oil and gas sector. You can learn how to sell into the industry through practice until you adapt it

Read Also: If You Don’t Make Money In Fuel Sector Now, You Will Hate Yourself Later

Powerful Strategies To Succeed If You Start Oil and Gas Business Without Prior Experience
1.Find out a products or services you want to offer
The first thing first, if you are don’t have prior experience in oil and gas, you should identify the products or services you want to render in the industry. A lot of goods and services are in high demand in the industry. Determine kind of services or product you passionate about.

2.Find someone who has been there before
If you want to enter the oil and gas business without experience, Find somebody who has been in the oil and gas business and asks for his guide.

Don’t go and grab employees with oil and gas and expect will guide to your mountaintop. Find some one not only has already worked with oil company but has experience in selling goods and services in the industry. Someone who already sell to the international oil and gas companies.

This kind of person will help you to fast track your journey to sell to the industry

3.Form partnership/ Alliance
When you start without experience, you form a partnership with other companies that have experience in the services you want to offer.

Why You Are Sitting Back Bench and Watching Very much Group Enjoying Everything
Succeeding in oil and gas business has nothing to do with experience. It depends on your passion, courage, faith to God.

In my life time, I have met an American guy running a successful company that provides oil and gas tools to hundred BIG oil companies across the world include Shell, Total. Surprisingly enough.

When he started his company. He had no any experience. He had never been an employee of any oil companies. He learned oil and gas business through trial and errors.
You can start your own too, and learn and gas experience along the way. Thankfully we can learn from both our mistakes and success.
If You find this information useful, share this post with your friends