Major Opportunities for Local Entrepreneurs in the East African Crude Oil Pipeline (EACOP) Project

 By Hussein Boffu

The construction of the 1445-kilometer East African Crude Oil Pipeline (EACOP) project is another gold rush. The campsites have been built and some jobs related to studies and engineering are being conducted.

Tanga airport is smaller than Dar es Salaam airport, but it has more activities now: the terminal building is largely occupied and the parking lot is filled with different kinds of cars.

People are migrating into Chongeleani Peninsular near Tanga port (the region where the pipeline and its facilities will be constructed).

They wear business suits or cowboy clothes coming to examine the pipeline. These men want to know how to find a job in the project. Others want information on the prime contractors or the updates on the status of the project.

Newspapers are jam-packed with EACOP news. The project is the main subject in all trade shows, conferences, and industry events. The pipeline is just another big blessing.

If you would like to rent an apartment in Tanga, hurry up! The influx of people into Tanga will cause a shortage of available apartments.

In truth, the project will bring economic development to Tanzania and Uganda. It means jobs and business opportunities to Tanzanians and Ugandans.

Read Also.Have you heard what’s trending in Uganda and Tanzania right now?

Opportunities for local service providers and suppliers range from: material and procurement; security; health, safety, and environment and emergency services; civil engineering work; construction material supply; logistics and transportation services; fuel and chemical supply; human resources, training, and manpower supply; auditing and insurance; catering and accommodation; equipment leasing, etc. Just to mention a few.

Opportunities for local workers ranges from cooks; carpenters; electricians; plumbers and pipeline welders; geologists; secretaries; equipment operators for machines such as forklift, crane and sideboom, bus and truck drivers; oilers, etc.

An area where there may be shortage is the pipeline welding.

Anybody can learn how to fire up two pieces of iron, but in pipeline construction, you just don’t weld anyhow. Pipeline welders know the temperatures and the porosity of each weld.

In pipeline welding, it is not a matter of joining two pieces of iron. But the welds should be x-rayed to ensure its quality.  Pipeline welders have educational institutions in which they have to be highly trained, tested, and qualified before placed to work on the pipeline.

Uganda and Tanzania have never built a major pipeline before. So, natives may not have requisite skills to expertly weld the pipe.

The host governments enforce the local-hiring policy to some extent. So, natives have a preference in contracts awards and jobs.

In fact, if you are looking for the place to make a fortune, the pipeline might just be the right place you are looking for.

Hussein.Boffu@tanzaniapetroleum.com

+255655376543

Why Uganda and Tanzania Should Start Women and Minority Programs for the East African Crude Oil Pipeline (EACOP) Project

By  Hussein Boffu

The proposed pipeline designed to carry crude oil from the Hoima-Uganda oil field to Tanga port in Tanzania is a great move.

But let’s ask ourselves, “How do we increase opportunities for women and minority-owned businesses on the pipeline project?”

Basically, how do we increase job opportunities for women on the proposed pipeline project?

In many oil-producing countries, women don’t usually participate in the commercial aspects of the pipeline projects.

No offering of goods and services. Because:

1. They were not actively recruited.
2. They were discouraged.

Consequently, women could not get skilled jobs to work on pipeline projects.

Many of those construction works require people with history in the construction industry. And very few women have it.

So, it should be as plain as a day that to enable women acquire jobs to work on the project, a special program must be established for them.

There must be a Women-and-Minority Business Enterprise program. The program should focus on helping qualified women to market their products and services to oil companies and their pipeline contractors.

This will increase employment opportunities for women on the pipeline project.

I totally agree that not every woman can do every kind of job. But there are men of small stature who are still employed to work on pipelines. There are also huge manly women, strong, who still couldn’t get a job. There are men who can’t lift a bag of cement.

Let me clarify.

During pipeline construction, nobody is expected to break his or her back lifting hundred (maybe thousands) of pounds of materials.

That is what cranes, bulldozers, sidebooms, are meant for.

Let’s help our qualified sisters, daughters, and mothers sell products, provide services, and work to benefit the advancement of the East African Crude Oil Pipeline project.

Hussein Boffu

Hussein. Boffu@tanzaniapetroleum.com

+255655376543

Most Demanded Jobs On The East African Crue Oil Pipeline (EACOP) Project

Politicians and industry leaders have been told us that there would be increasing in employment opportunities during the construction of the East African crude oil pipeline.

In truth, the pipeline is a free ride for many Ugandans and Tanzanians who want to cash in on it.

But the important question is what most in-demand jobs in the pipeline? As a petroleum consultant, I thought I would take moment to clarify more details on the people who have a great chance to prosper on the pipeline.

Technically speaking, pipeline construction is dangerous when you have a number of men who don’t know what they are doing.

So pipeline construction requires special skills along with experience.

But since Tanzania and Uganda have never built before the major pipeline, chances are more people with little experience may land a job on the project.

And with the local –hire policy enacted by the government of Tanzania and Uganda. Natives have a preference for the project than outsiders.

Most In Demand Jobs On The EACOP

The essential group in building pipelines are, pipe welders, pipefitters, mechanics, and operators.

Pipe welders are crucial on the projects to position pipes, welds it and x-ray welds so as to ensure quality. Operators run all equipment such as cranes, sidebooms, loaders, and backhoe.

There would be oilers, their main duty is to keep machines and equipment greased. They have two hours  to do the task. Every equipment operator has one oiler. Since they work closely with operators, oilers also learn to run machines.

These people should have some technical training and experiences.

The other group include truck drivers, bus drivers warehousemen, forklift drivers, clerical workers, surveyors, and secretaries.

Bus drivers to move pipeline workers from the camps to the work site.

Laborers have a dozen works on the pipeline, sometimes is difficult to uncover what they do. Much of them have never gone far in school. in most cases, they run small drills and replace broken cables. And helpers are needed to keep the camps cleans.

There would be Cooks who prepare the meal in the camps, meanwhile blusters and diggers.

AThe last group named building construction people includes carpenters, electricians, ironworkers, sheet metals workers, laborers, and surveyors

There will be operating engineers the construction in the construction of new roads and upgrade existing ones along the proposed pipeline route. You can’t exclude geologist who tests the soils.

Most pipeline jobs require people with work history in the construction industry. You may get your foot in the door if you have requisite skills.

5 Trends In Oil & Gas Technology, And Why You Should Care

 

 

Oil and gas (O&G) technology is a field often ignored in many technological publications.

The majority of tech publications have been focusing on areas such as healthcare and communication.

While much of the attention in the O&G industry has been focused on price fluctuations and the impact on national and world economies, organizations across all sectors are advocating for environmentally friendly energy projects.

This could put the O&G sector at risk if it fails to adapt to the new trends. In this article, I focus on 5 trends and technologies in the O&G industry that you should care about.

  1. Capacity to operate in remote environments

In the past, O&G exploration activities used to be based only in areas that were accessible.

However, the trend has currently changed with an increased number of companies venturing to previously inaccessible areas.

This trend has been enabled through the application of innovative methods such as offshore vessels and drilling rigs. These structures come equipped with modern telemedicine facilities which help to ensure an employees’ well-being in cases of emergencies in such remote places.

  1. Increasing accessibility of inaccessible fields

Innovative methods of O&G extraction have been on the increase in recent years. For instance, BP has successfully used rock fracturing technology to increase extractions from 40% to 60%. This method is effective in accessing oil trapped in rocks which previously was inaccessible.

  1. Capitalizing on fuel efficiency

Oil is extracted in the form of crude oil, which is a high-density hydrocarbon. As such, the product has high potential to pollute the environment. However, new technologies can be used to replace such oil with natural gas for use in the manufacturing systems. Through the use of innovations such as fracking technology, fossil fuel can be converted to natural gas which is less harmful to the environment. Other technologies are advocating for the replacement of petroleum with energy generated from garbage.

  1. Digitizing oil fields

Digitizing oil fields has been a concept perceived as an impossibility in the O&G sector. Recently, major organizations have gone digital which has enabled effective information management and sharing. If the O&G industry wants to remain competitive, then it must consider going digital to enhance data tracking, measurement, and management. Digitizing oil fields will enable the O&G industry to detect and identify mechanical hitches the in production systems. Moreover, digitizing oil fields will provide companies the ability to collect and store data in the cloud for further analysis. This data can ultimately be leveraged in real time by operational centers looking to minimize downtime and optimize production. There are numerous technology vendors consulting with the industry towards this end, such as SAS, Cisco, Microsoft, and IBM to name a few. By having oil fields digitized, O&G companies will have an increased capacity to compare data from different product vendors.

  1. Reduction in hydrocarbon pollution

With the increased climate change concerns globally, all organizations are under pressure to comply with hydrocarbon minimization. O&G companies can achieve this by focusing on the production of fuels with less hydrocarbon-based fuels. Also, the O&G industry can minimize pollution by minimizing water pollution related to the extraction of these natural resources.

AJen is part of the content and community team at Specialty Fuel Services – providers of emergency fuel continuation services, in locations affected by catastrophic events.

The New Ophir- Energy Boss Is Not An Engineer, Why?

 

It surprises me this that the current Manager for the Uk- based Ophir Energy Mr. Fidelis Benedict Lekule is a graduate of Bachelor of Art, international relations and affair form the University of Dar es Salaam. I thought he should have read, an engineering.

I can’t believe my eyes that a Tanzanian millionaire and CEO of Lake Oil group Ally Awadhi he is a graduate of business administration. I thought should have read petroleum chemistry.

You can learn a great lesson from these oil and gas Moguls who have a positive contribution to Tanzania’s energy sector.

You Don’t Need To Be A Petroleum Engineer To Get Into Oil and Gas Business
Those who made fortune in oil and gas business in Tanzania have started small and even not with a career in oil and gas sector.

Forexample, Greyson Kiondo a chief executive officer ( CEO) of petrol gas field services limited, he is a graduate of Business Administration

Look up to Ally Awadhi, CEO of Lake Oil Group who has built his company into $1 billion revenue.
Ally Awadhi is a graduate of business administration from a Canadian University
Some people make millions of shillings trading petroleum products but never saw the four wall of the universities.

Guys don’t let your academic qualification holding you back from enjoying the riches brought by Tanzanian oil and gas

As I stated earlier these guys are not engineers, but what makes them stand out is that they acquired the right knowledge before found their in the industry.

If all you want is to venture into oil and gas business, acquire the right knowledge and find the area you can fit in the industry.

Nobody Use His Money In Oil and Gas Deals
Many people believe that oil and gas business is only for BIG BOYS with huge financial muscles, fat bank account, and deep pocket.

I thought you have to make millions of dollar in your previous business before venturing into small oil and gas business.

I used to think that way, back in my college days. But I realize the reality is different when I hit the street. I totally agree oil and gas business requires huge start-up capital.

But as petroleum professional by training, I can confidently tell you that, those in the oil and gas business do not use their own money. The fact is they don’t have that kind of money to run the oil and gas deals.

They use other people’s money to run the oil and gas. Without using other people’s money, chances are, petroleum industry can be very productive for those who participate.

So where do they get money to venture into oil and gas? That is talk for the other day. Stay tuned for the next post.

+255655376543

Hussein.boffu@tanzaniapetroleum.com

Updated Information On Tanzanian Upstream Oil and Gas Sector

 

Recently, Swala oil and gas agreed to buy 40 % stake in the Orca exploration subsidiary firm Pan African Energy. But the Tanzania TPDC hold back the planned $ 130 sales until it satisfied with a deal.

Pan African energy was the first gas producer in Tanzania started operated Songo Songo gas field for a decade.

Shell-previously BG drilled two offshore exploration wells but they found no petroleum resources. Shell drilled Kitanga-1 in Block 1 and Bunju-1 in Block 4. They found good geology but encountered  no oil  or gas.

Read:  Why Tanzania Should Turn Natural Gas Into Diesel

Shell and its joint venture partners London-based Ophir energy and Sinagapore-based Pavilion energy, operates block 1 and block 4 offshore Tanzania and has discovered about 17 trillion cubic feet of gas in both blocks.

Meanwhile, the Norway-based firm partnered with Exxon Mobil has found 22 trillion cubic feet of natural gas solely in block 2 offshore Tanzania.

Shell, Statoil and their joint venture upstream partner plant to build $30billion Liquefied natural gas plant to cool and export gas to the international market.

On the other hand, Tanzanians onshore upstream filed are divided into three segment include:

  • Songo Songo field has been operated by Canada- based orca exploration under its subsidiary Mauritius –based firm Pan African energy started produced gas in 2004.
  • Mnazi Bay field started producing gas in 2015 operated by Pertamina-owned Maurel & Prom partnered with Alberta-based Wentworth Resources and the state-owned oil company Tanzaniapetroleum development corporation have a stake in the field.
  • Also, Kiliwani North field started in 2016 operated by Uk-independent oil and gas exploration firm, partnered  with Abu Dhabi-based RAK Gas, UK-based Solo Oil, %, Australia-based Bounty and Tanzania oil company TPDC.

Hussein.boffu@tanzaniapetroleum.com

+255655376543

,

Tanzania And Mozambique Can Learn From Dubai

Huge quantities of natural gas have discovered in Tanzania and Mozambique in the year 2010 and 2014.

As per today, Mozambique ntural  gas assets reach at 100 TCF (trillion cubic feet ). Meanwhile, Tanzania estimated 57 TCF (Trillion cubic feet) of natural gas.

And according to the US Geological Survey, the country still has potential natural gas reserves up to 441 trillion cubic feet solely in the coastal region, so more gas discovery might be forthcoming.

But the huge reserves will be worthless if East African countries won’t transform the rich brought by oil and gas and gas resources into economic and social development.

A report from the Brookings Institution’s Africa Growth Initiative (AGI) point out that Tanzania has potential to generate US$ 2.5 billion per year in government revenues from the gas sector.

The world bank foresees the revenue generated from the sources in Mozambique will reach $ 9 billion in 2032.

Natural resources are prosperity when they used to promote social and economic development.

The Modern Dubai
The oil wealth has transformed countries such as Norway and United Arab Emirates (UAE). These countries had few resources. Since the oil discoveries, the economies of these countries are booming.

United Arab Emirates (UAE) has transformed from the small desert to modern state with the high living standard. As per today, Dubai is a center of trade and tourism which attract millions of tourists a year.
The countries have reached such height because they transform oil wealth into another sector of the economy .

East African countries can look up to Dubai and follow in its footsteps.
many resources rich countries have turned resources into a curse. For example, Nigeria learned the hard way in Niger Delta. Resources curse is the situation a country with an enormous natural resource has poor economic development than the country without.

This mistake shouldn’t repeat in East Africa. The use of Sovereign Wealth Funds (SWFs) can be a better way of managing oil and gas revenue.

Read also.Why Kenya, Uganda and Tanzania Should Set Up Sovereign Wealth Funds.

 Hussein. Boffu

 Hussein.Boffu@tanzaniapetroleum.com

+255655376543

18 Stages Of East African Crude Oil Pipeline (EACOP) Construction


Pipeline construction involves multiple steps. Understand the stages help to identify the roles your business can play in the proposed 3.5 billion dollar Uganda-Tanzania pipeline.

Here are the 18 phases of the construction of the East African Crude oil pipeline

1.Construction survey
The first step in the construction of the EACOP project is a civil survey. The survey team will locate facilities such as utility lines, the rights of ways, working spaces and sensitive resources to allow construction activities. Also, survey team might mark the areas for digging trench. This help construction crews to minimize the impact on the surrounding areas as they have a clear picture of the construction activities.

2.Clearing
This phase involves removing all obstacles that can hinder construction process along the pipeline route. It consists cuttings, burning or removal of trees crops vegetations along the construction corridor. Once the area is well cleared, it easy to get construction equipment to the site.Heavy machines such as bulldozers can be used during this activity.

Read.: 7 Opportunities in the Uganda-Tanzania Pipeline Project and How to Participate

3.Grading
The next activity in this construction of EACOP project is grading. This is the leveling of the ground so as to keep safe work and level surface operation for the pipeline construction crew and help heavy machine and huge construction equipment to smoothly operate along the pipeline route. Also since the EACOP passes via various topographies, leveling minimizes excessive pipes bending for example in the areas of steep slopes

4.Top Soil stripping
This activity will include removal of the topsoil from the construction corridor. And this will be done to preserve the original topsoil to its natural state. The topsoil will be protected and replaced once construction is completed.

5.Trenching
The next stage of the EACOP construction process is digging the trench. The top of EACOP to be buried to a minimum of 1.2 meters below the ground surface. During this trenching operation, the crews will use excavators to remove material from the trench

6.Stringing
Once trench operation is finished, the pipe segment will be placed in the dug trench. Trailers can be used to moves pipes from the storage yard to the trench or construction corridor

7.Bending
The EACOP will not go flat land along the route. To fit with topography changes along the pipeline route pipe needs to bend using specialized bent machines so as to fit with land topography

8.Line Up
In this stages of EACOP construction procedures, pipes will be line up one another in the construction corridor

9.Welding
The different sections of the steel pipes will be joined up to form a continuous length. Each joint will be expertly welded to prevent leakage. The proposed EACOP will undergo root bead welding and fill and cap welding

10. X-ray and welded Repair
Once the segment of the pipe is welded the welds will be checked to the x-rays and ultrasonic equipment. This is done to increase the integrity of the pipes. So it ensures welds are safe, secured and would not break. Qualified welders take x-rays of the pipe welds and once they identify any flaws the weld is repaired is cut out and they will make new welds

11.Weld coating
Once the welding is completed and tested, the next step is coating
In this stage, the surface of pipes will be coated so as t minimize and control corrosion risk of the pipes. Welds will be coated prior to being placed to the right of way where all construction activities occur. Before coating crew will make sure the pipes are clean by removing debris and all kinds of dirt that might interact with coatings

12.Coating Inspection
To ensure the surface of pipes are free from defects such as scratches, workers will use high voltage tools specialized equipment to detect any defect before the pipeline is get into the ground

14.Lowering-in
Is the process of getting pipe into the ground.
In this step, the welded pipe will be placed down in the trench. The specialized tracked construction equipment will lift the pipe and lower into the trench. During this phase, precaution is taken to ensure they no damage occurs to coating when they lower pipeline into the trench.

15.As-Built survey.
This survey performed over the course of the pipeline construction to record all changes happen as pipeline construction is in progress. This provides important information to know the level of completion the project reached. This helps to make any changes to ensure they meet construction schedule.

16.Pad and backfill
This activity will involve place back the excavated subsoil into the trench. You fill back the material back into the trench or hole you previously dug.This involves refilling the trench to cover pipeline with both top and subsoil. Topsoil removed during topsoil stripping phase and subsoil removed during trench digging will be placed back to cover the pipeline

17.As built survey
Again, survey team carried out the as-built survey is carried out after completion of the pipeline construction to identify whether the job is done well. Survey team record information what was actually constructed.

18. Clean up and remediation
The final stage of EACOP construction is clean up and remediation. This activity is done to turn the construction site as close to its original pre construction condition. Example of activity taking place at this stage is the removal of construction materials, remove from large rocks, perform final grading etc

 

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Hussein.Boffu@tanzaniapetroleum.com

The Complete Guide To Start Oil and Gas Television Show In Tanzania

 

The idea here’s you introduce an oil and gas television show. The demand for this business is very huge. As you engage the community in Tanzania’s gas sector you’ll attract more viewership in your television show.

You’ll make money from oil and gas companies who are keen to advertise their products and services on your Television program
And the best part is this, Oil and gas companies have a huge budget advertisement. And some of them have a fund to pay for 4 to 8 slots

Topic You can Cover For Your Oil and Gas Television Show

Start a series explaining how the Oil and Gas industry works.
Then move the history of Oil and Gas in Tanzania.
Business opportunities: You show should highlight business opportunities in the oil and gas industry, teach and inspire citizens to use them. And interview oil and gas industry leaders and expert from the TPDC and oil companies operating in Tanzania
Latest trend: You must highlight trends in the oil sector such as global oil price fluctuation and how it affects oil and gas business and economy too.

That should be an entire year’s worths of TV episodes

Tips to run successful oil and gas TV program in Tanzania:
• Your program must be well organized:
Nobody wants to watch rubbish. Creativity is critical in this business. You ought to come up with ideas that interest viewership.
• Give viewers what they want:
The television show, collect many advertisements, have many viewers. To attract a load of them your program must meet viewers’ needs.
It useless running oil and gas Tv show nobody ’s watching. People spend more time watching Tv program that offers them value

Also Read. 15+ Lucrative Oil and Gas Business Opportunities And Ideas In Tanzania And East Africa

How To partner with Television Station In Tanzania
Buying airtime on television station is costly. But the reward is high if you can. However, when your content is great to generate committed viewership, trust me television channel will get you program without collecting a dime from you.
All you need is a good script that addresses a key issue in Tanzanian oil and gas industry. And reach out any Television station.

By Hussein Boffu

Hussein.boffu@tanzaniapetroleum.com

+255655376543

Why Tanzania Should Turn Natural Gas Into Diesel

 

If you are skeptical, technology has made it possible to convert natural gas and coal into high-quality liquid transportation fuel such as diesel, kerosene, lubricants oil and jet fuel just to mention a few. This technology is known as Gas-To-Liquid (GTL).

Gas-To-Liquid (GTL) has been around for years. It enacted in the 1920s by the German scientists named Franz Fischer and Hans Trapsch when they had figure out the best way to convert coal into oil materials like diesel and kerosene.

The technology become the most important source of energy in German that provides fuel to keep transportation going in the country.

Gas-To-Liquid (GTL) worked dramatically not only with coal and natural gas, applying heat and pressure and convert natural gas into oil products such as diesel, engine oil and so on.

With no oil but huge quantities of natural gas assets, it is a reasonable option for Tanzania to give the gas-to-liquid technology a chance.

Tanzania does not produce oil, is a net importer of the oil-related product such as diesel, lubricant oil.

With huge gas reserves in the country (about 57 trillion cubic feet of gas gross recovered). Transforming natural gas into transportation fuel is the best way to sustain our oil-reliant way of life.

The gas-to-liquid process will help Tanzania to become self-sufficient and reduce or stop relying on importing the transportation fuel from the foreign country.

And use our natural gas rather than buying the fuel from other countries.

It will help Tanzanians, consumers, to buy cheap fuel at the pump.

Another reason to encourage the use of the gas-to-liquid process is the liquid fuels derived from the technology has fewer impurities such as sulfur and Nitrogen, than fuel made from crude oil. Because it derived from the cleanest fossil fuel-natural gas.

Tanzania should look up to South Africa.
Tanzania has to learn from South Africa and follow in its footsteps.

When state-owned south Africa coal, oil, and gas corp(ltd) created in the 1950s, South Africa had little oil, but great volume of coal. To come out ahead, they converted coal into liquid fuels that power cars. aircraft, and tankers.

Five years later, It was pumped the first coal derived from oil. Today, South Africa supply 29% of the country transportation fuel.

Also Read.    Tanzania’s Thirst For Gas

Many Multinational Oil Companies Are Looking At The Gas -To -Liquid Technology.

The gas-to- liquid process increases popularity day by the day. Many companies such as Exxon Mobil, BP, Conoco and Royal Dutch Shell Plc have examined the technology for quite some time. And they built gas-to-liquid plants in several regions.

In 2014, Shell signed an agreement to carry out a feasibility study for the gas-to-liquid plant in Mozambique.
And now Shell is constructing $19 gas-to-liquid plant in Qatar.

 

How The Gas-To-Liquid Technology Work.

Natural gas is extracted from the ground, afterward, they add oxygen to the extracted natural gas.
This form combination of hydrogen monoxide, hydrogen, and carbon dioxide.
With the presence of catalyst often cobalt, it subjected to high pressure and temperature.

Cobalt is used as a catalyst to speed up the reaction.
This led to the production of wax. To turn into usable form wax processed at the refinery where heat and pressure is used to split the hydrocarbon into various oil-related products,

 

By Hussein Boffu

Hussein.boffu@tanzaniapetroleum.com

+255655376543