Selected Engagement Experience.
The engagements summarized below are representative of feasibility studies and business plans prepared to support funding and investment decisions in LPG projects.
These examples demonstrate the analytical rigor and capital scale at which Tanzania Petroleum is typically engaged. Project descriptions have been generalized to preserve confidentiality and reflect the analytical scope of work rather than specific project outcomes.
Petrol Station Development – Arusha, Tanzania
Project Type: Development of a petrol station.
Capital Scope: TZS 778,354,000 total project cost (construction, equipment, and licensing)
Purpose of Study: Independent feasibility analysis to support investment decisions
Key Issues Addressed:
- Traffic count and transport profile of vehicles plying or residing near the proposed site
- Assessment of nearby petrol stations to determine competitive positioning
- Estimation of available diesel and petrol volumes in the trading area and projected sales volumes for the proposed station
- Determination of the minimum required storage capacity for underground tanks
- Evaluation of investment costs relative to current market conditions, operating expenses, return on investment, and payback period
Outcome: The project was determined to be financially and operationally feasible, excluding external factors such as future infrastructure developments that may further increase traffic flow and sales in the trading area.
LPG Business Expansion Analysis.
Project Type: Market study and analysis for LPG business expansion in Tanzania
Purpose of the Study: Independent feasibility analysis to evaluate expansion viability and sustainability
 Key Issues Addressed:
- LPG regulatory framework in Tanzania
- LPG market structure
- Regional LPG consumption trends
- Existing LPG infrastructure
- Requirements for importing and distributing bulk LPG
Outcome:
The report covered all critical aspects, including the regulatory framework and a high-level market overview. It analyzed growth trends in importation and distribution, existing market players, infrastructure, and the pricing regime, enabling informed investment decision-making.
Establishment of an LPG Receiving and Storage Facility in Dar es Salaam
Project Type: Market study for setting up an LPG receiving and storage facility
Purpose of the Study: To develop a comprehensive understanding of the regulatory processes and requirements for establishing an LPG receiving and storage facility in Dar es Salaam.
Outcome: The client was able to make an informed decision regarding entry into the LPG sector in Tanzania.
Establishment of an LPG Refilling Plant in Arusha (100 MT).
Project Type: Business plan development for an LPG refilling plant
 Purpose of the Study: To communicate all key aspects of the LPG refilling plant business to stakeholders and promoters, and to assess the technical, operational, and financial viability of the project.
 Key Issues Addressed:
- Financial assumptions, investment planning, and financing structure
- Sales projections and operating costs
- Projected income statement and balance sheet
- Profitability and sensitivity analysis
- LPG demand analysis in Tanzania
- Break-even analysis
Outcome: The study determined that the project is financially and operationally feasible and has the potential to deliver substantial socio-economic benefits to the country.
