Amid one of the deepest oil price crashes in history, Britain’s Tullow Oil (TLW.L) is sending one of the world’s biggest floating deep-water oil production platforms to West Africa to pump crude for at least 20 years.

The 340-metre long production vessel, named after late Ghanaian president Prof John Evans Atta Mills, was converted in Singapore from a Very Large Crude Carrier (VLCC) super-tanker, and is expected to set sail this weekend to Ghana, where it is scheduled to gradually ramp up production from the TEN deepwater oilfield from July/August this year, the company’s chief operating officer Paul McDade said on Thursday.

With costs (operating plus capital expenditure) of around $20 per barrel and an expected production life of 20 years or more, London-listed and Africa-focused Tullow hopes it can weather a storm which has seen crude prices LCOc1 tumble over 70 percent in 18 months to around $30 per barrel. [O/R]

Despite its low production costs, McDade said the current downturn was causing the industry huge pain, and he added that he did not expect a sharp rise in oil prices as happened in 2009 after the last crash during the global financial crisis.

“It feels more like a 1986 than a 2008. It’s a more fundamental shift. 2008 was a financial crisis, today is very different. We have oversupply, that’s structural and takes longer to adjust to,” he said, referring to low oil prices in the decade following the price crash of 1986.

Despite the outlook for excessive global output, McDade said the John Evans Atta Mills Floating Production, Storage and Offloading (FPSO) vessel was going ahead as scheduled.

“We are very much on schedule for a July/August gradual start of production. The aim is to hit peak production in early 2017,” McDade told Reuters in Singapore.

The TEN oilfield off the coast of Ghana lies at a water depth of 1,000-2,000 metres and has a maximum capacity to produce 80,000 barrels per day (bpd) of a light sweet crude quality close to Brent, and Tullow plans to operate at full production.

Tullow already produces similar grade crude from the offshore Jubilee oilfield, also in Ghana, and the company said once TEN was at full production, combined net output from West Africa would reach 100,000 bpd in early 2017.

In the midst of a huge global production overhang, with 1-2 million barrels of crude pumped every day in excess of demand, West Africa is one of the few regions that is expected to see production increases and further investment this year.

Analysts at AB Bernstein said they expected “Africa … as the most active basin in 2016”, in terms of developments and investments of potential offshore projects.

“In Ghana, we’re kind of blessed with high quality, low cost assets,” McDade said.

He said that Tullow’s overall cash operating costs were around $15 per barrel.


Because of the low prices, McDade said Tullow would have to be flexible with its next investment decisions, including expansion of the Jubilee field, which Bernstein estimated to see a final investment decision (FiD) in the second quarter of 2016.

The plunge in crude prices has already thrown several oil and gas projects off track. Energy consultancy Wood Mackenzie estimates projects worth $170 billion would be deferred or cancelled between 2016 and 2020, bringing the total since 2014 to $380 billion.

Barclays has said it expects global spending on exploration and production to fall by 15-20 percent this year, after already declining in 2015, noting it would be the first time spending will fall in consecutive years since 1986/87.

Tullow’s McDade said the firm would only develop its East African oil assets in Uganda if it managed to farm out a significant part of its production in order to re-invest the money made from such a sale back into those developments.

“Ideally, you’d want to invest in the current environment as services are cheap and likely to become cheaper still. In the last 8-10 years we may not have seen a better time to invest than now,” McDade said, but added this would depend on Tullow’s financial and equity position.

Tullow’s share price has fallen by around 70 percent over the last year, giving the company a market capitalization of 1.18 billion pounds ($1.68 billion).

The firm’s low share price and market capitalisation meant that Tullow was potentially a take-over target.

“As a smaller company, you’re always going to be a take-over target,” he said, but added that Tullow was not up for sale and warned any bid would also be challenging as its partnerships in Africa would entail clearances from regional governments.

(Editing by David Evans and Himani Sarkar)


wish to earn money by investing in Tanzanian oil and gas sector?

Look for investment opportunities in Tanzanian gas sector that will result in mediocre return?

All fair questions, And in the next minutes I will answer all

What is staffing services?- quick definition

means you help oil companies find temporary local workers.

Owing the fact that, an immense discovery of natural gas in Tanzania, staffing services is the worth investing in Tanzanian oil and gas industry.

Why? because oil firms have been attracted to the region.

And these oil companies are in dire demand of temporary workers because of the capital-intensive nature of the industry.

Not to mention Tanzanian oil and gas local content policy that entices oil firm involve Tanzanians in oil and gas jobs

Read:How to start to start Oil and Gas Business with Zero Capital

How much you expect to earn from this business
We all know, oil and gas are a multi-dollar business. isn’t it? right?

The money you make from this business apparently endless, It depend on your initial capital.

However in the first year of the staffing business, you earn at least $ 125,0000 as a gr

Okay let’s get started

How staffing services in Tanzanian oil and gas work?

Ever think how oil companies get Local workforce when searching for oil and gas in Mtwara?its pretty simple, First they come with few permanent skilled employees.

Second they find local temporary workers to meet additional work.
And the provide tender to an external recruiter to recruit workers and select qualified candidates regarding their needs.

And what you will do, you recruit, you select qualified candidates

And you pay tax and workers compensation, Guess what next. Oil companies pay you for getting them Local workers.

The best part.

This business you earn money in the situation you help Tanzanian get a job in the sector.

Read:Lubricant Oil A booming business opportunities In Tanzania

Why staffing service demand is huge in Tanzanian oil and gas sector?

Staffing services in Tanzanian oil and gas business are booming because, oil firm benefit accessing cheaper short-term workers than replacing permanent employees.

Here are the reasons outsourcing staffing services is highly valued in Oil firms

Save time and money
The entire process of Recruiting and hiring people costs in terms of money and time,

And because oil companies invest lots of money into the business.So what they do? They outsource staffing and recruiting services to third party recruiters.

And they focus on the single vital task. guess what? that’s getting oil and gas out of the ground. And for this reason, you make unlimited money by staffing service

Wide connection to find local workers quickly
When oil firms arrive in the region, don’t have detailed information on where to get temporary workers.

Guess what? They develop opportunities to you as external recruiters to help them get local workers.So as to get job done fast and better

Who are you clients firms?
Exploration and production companies
These main clients and involve in searching and getting oil and natural gas out of the ground.

What kind temporary workers they need? They need people who will help in drilling of exploration wells, mud mixing etc

    Pipeline companies
Ever heard Mtwara-Dar es salaam pipeline? Yes here’s how it works.

These companies require workers in the entire process of transmission liquefied natural gas to the processing plants and to the market

Natural gas processor firms
Need local workers to clean natural gas so that it can be commercially viable to the market

Requirements to succeed in staffing services regarding Tanzanian oil and gas sector
Start with scale that you are comfortable

Lease small office and hire few employee at the early stages of your business, when the business expands, purchase large offices
Find a location that is easy to reach your clients.Why? the reason is simple, you will reduce unnecessary costs.

And it makes it easy to offer services. In Tanzanian the best Location is southern part of Tanzania, where much natural gas discovery have been made, An are like Mtwara, Lind is promising
Your clients do not prefer to deal with an individual. And to avoid missing some deals register your company with BRELA, which is the agency responsible for business registration and licence in Tanzania

Who tells you is hard to invest in Tanzanian oil and gas sector
Everyone is capable doing business in Tanzanian oil and gas sector.

And the best part you can approach the sector in multiples ways? Start where you are, Start investment today because tomorrow will never arrive

Workers are transferred via a 'Frog' basket from the tugboat Bourbon Auroch, operated by Bourbon SA, onto the deck of the Agbami floating production, storage and offloading vessel (FPSO), operated by Chevron Corp., in the Agbami deepwater oilfield in the Niger Delta, Nigeria, on Monday, Nov. 16, 2015. Nigeria plans to review agreements for deep offshore oil production to seek more favorable terms in line with the latest industry standards, state-owned Nigerian National Petroleum Corp. said. Photographer: George Osodi/Bloomberg via Getty Images

 As drought continues to cripple its hydropower plants, Tanzania is struggling to produce enough electricity — and is moving towards using more fossil fuels to make up the shortfall.

Hydropower plants normally produce about 35% of Tanzania’s electricity needs, with gas and oil plants making up most of the difference.

But as demand grows and water shortages hit hydropower production, Tanesco — the state-run power utility firm — is investing in more fossil fuel plants to maintain its electricity supply.

In October the east African nation was forced to shut down its main hydropower facility for nearly a month because the water level was too low to run the turbines, officials said.

In December, the country’s hydropower plants, which can produce as much as 561 megawatts of power, generated only 110MW, according to Tanesco.

“The main challenge we have been facing is overreliance on hydropower as the major source of electricity, which is hard to maintain due to unpredictable weather,” said Tanesco’s managing director Felchesmi Mramba in an interview.

Solar and wind untapped

While Tanzania has significant untapped renewable energy potential from sources such as geothermal, solar and wind, the government has mostly failed to tap this potential as an alternative to hydropower, said University of Dar es Salaam Institute of Resource Assessment climate change expert Agnes Mwakaje.

However, Tanzania’s minister for energy and minerals Sospeter Muhongo said the government is keen to invest in alternative power production, including using wind and solar, to meet the hydropower shortfall and give hydropower dams time to refill.

Mtera and Kidatu hydropower dams on the Great Ruaha River at one point shut down for three weeks because water levels fell below the minimum required, officials said.

“The water level in most of our hydropower dams is not sufficient to generate electricity, yet there’s nothing we can do other than waiting for the rains to come,” Mr Mramba told the Thomson Reuters Foundation.

The hydropower shortfalls have led Tanesco to suffer losses of about 500 million Tanzanian shillings ($230,000) daily, Mr Mramba said.

In an effort to find a more reliable mix of energy sources, Tanesco is now building more gas-fired power plants, and looking at other renewable energy sources to supply the national grid.

“We are hoping to reduce hydropower dependence to 15% once our gas-fired plants become fully operational,” Mr Mramba said. According to Tanesco, gas power plants could provide 60% of the country’s electricity needs.

Tanzania’s government last year launched an electricity supply “roadmap” that aims to boost generating capacity from about 1,590MW today to 10,800MW in a decade, largely by building more gas and coal power plants.

Analysts say diversifying power sources is crucial to avoiding shortages like that caused by the current drought.

“Tanesco must use an energy mix in the order of priority to include natural gas, coal, hydro and renewables if it has to make electricity generation sustainable,” said an economics professor at the University of Dar es Salaam, Haji Semboja.

“Natural gas can keep electricity flowing when the sun doesn’t shine and the wind fails to blow. You can switch it on and off pretty quickly,” he said.

Tanzania might also consider importing electricity from large-scale hydropower projects in Ethiopia, Mr Muhongo said.

Dirty but cheap

Although Tanzania has for many years depended on hydropower, the country’s electricity generation has moved increasingly towards gas over the last decade after off-shore gas deposits were discovered near Mtwara on the southeast coast.

Today, oil and gas facilities account for 63% of the country’s power generating capacity, compared to 36% for hydropower, the government said.

Tanzania has more than 58-trillion cubic feet of gas, equivalent to 9.2-billion barrels of oil, according to the Ministry of Energy and Minerals. The country also has 1.9-billion tons of coal that could be used to generate electricity, the ministry said.

Ministry officials say that Tanzania, facing power shortages, should consider increasing its use of coal to produce electricity, even though burning coal is a major driver of climate change.

“It is the dirtiest but cheapest source of energy. Many countries are still producing their electricity almost entirely from coal. So why not Tanzania?” asked Ministry of Energy and Minerals commissioner for petroleum and energy Hosea Mbise.

But the government is also planning to use some solar, wind and geothermal power in its energy mix. A $132-million, 50MW wind facility is being built, Mr Mbise said, and the country hopes to win funding from the African Development Bank to develop geothermal plants.

About 36% of Tanzanians have access to electricity, and only 7% of those are in rural areas, according to the ministry. It said demand for electricity is growing by between 10% and 15% a year.

How To Get Into Tanzania Oil.Gas Industry



Wizara ya Nishati na Madini Inakaribisha Wawekezaji Wa Kitanzania Kuwekeza Katika Miundobinu ya Uzalishaji Umeme Katika Vyanzo vifuatavyo

Gesi asilia (Natural Gas)

  1. Makaa ya mawe (Coal)
  2. Miradi mikubwa na midogo ya maji (Hydro)
  3. Nishati jadidifu (Renewables):-                                                                                                                                                                                                                       bofya hapa kusoma zidi Soma zaidi 





East Africa is emerging as a hotbed for energy related investments not only for its robust economic growth, but also for its potential to become one of the largest producers and exporters of oil and natural gas in the world.

Countries like Tanzania, Kenya, Ethiopia, and Rwanda – which have traditionally depended on biomass to meet most of their energy requirements – are gradually shifting to modern energy sources to meet the growing demands of the expanding urban population and the rising per capita income levels.

New analysis from Frost & Sullivan, East Africa Energy, finds that East Africa will possess more than 50,000 MW of generation potential by 2030, dominated by hydro, coal, wind, geothermal and natural gas-based generation systems. More than 80% of the potential gas reserves in East Africa are concentrated around Mozambique and Tanzania.


While LNG exports from these countries are expected no earlier than 2020, rapid development of gas power projects would provide a short term response to growing electricity demand in the region. The region will, therefore, provide immense opportunities for companies specializing in oil and natural gas exploration and production, power generation and associated infrastructure, as well as renewable energy technology commercialization.

“Energy development is gaining priority as East African economies look to attain middle income status over the next decade,” said Frost & Sullivan’s Energy & Environment senior research analyst Neeraj Sanjay Mense. “In view of this objective, governments in the region are adopting strategies to diversify the energy mix as well as encourage private sector participation.”


Also Read: top-3-places-on-the-internet-where-evey-tanzanian-can-learn-about-oil-and-gas-sector-for-free/

Investment from private sector is critical as the East Africa energy reserves require substantial funding in order to reach full potential, which cannot be met by government subsidy alone. Issues pertaining to finance, political stability and security could limit private sector participation within the region, and private players will, therefore, need to align investment strategies with the developmental plans of the respective regions in order to be successful.

Also Read:7-ways-to-make-money-in-Tanzania-oil-and-natural-gas-industry/

Furthermore, the lack of adequate infrastructure and skilled resources escalates the costs of operation and stalls energy projects. Therefore, training local workers will ultimately aid the long-term sustainability of energy businesses in East Africa.

“An adoption of mechanisms to share technical knowledge through international cooperation will ensure steady growth,” observed Mense. “Collaboration with experienced project developers will also be imperative to accelerate technological advancements and implement the respective plans within the East African energy sector.”



East Africa Energy is a Market Insight that is part of the Energy & Power Growth Partnership Service program. This research provides an insight into the potential opportunities presented by the energy sector in Tanzania, Kenya, Rwanda and Ethiopia for future development. The study provides market drivers, restraints and detailed analysis of the conventional and non-conventional energy sector in each country.

There lot of oil and gas business opportunities in Tanzania oil and gas industry, And the rate of this opportunities are increasing due to increasing demand of energy in Tanzania as well as flocking of foreign oil and gas company in the region.

One can approach sector in multiple ways, However, Interested people should think clearly, and decide kind Oil and gas business in order to accurate profit. Oil and gas business has to do with the market, So an investor should have better understanding market prior investing. This will help them to invest for better returns.


Also Read:interesting-business-opportunities-in-Tanzania-oil-and-natural-gas-sectors-for-local-entrepreneurs/

No, it’s not a mistake! you read the title correctly, you’re about to read, is 29 years old woman and has already become the first Tanzanian woman petroleum engineer to involve in oil and gas drilling projects in the middle of the ocean.

Under those hurdles and hassles in her way, she persists until she accomplishes her goals
Today I would like to share inspiring story with you about Ghati Mwita a woman raised in Mara region

Let’s see her interesting life journey

When she was a little girl her dream was to become an engineer. Her lovely father used to get her different books that would help her to improve knowledge

Ghati joins secondary education
After completing ordinary level Ghati started high school, despite the fact that she got A in the subject of accounting, she was interesting in science subjects (Physics Mathematics and Chemistry)


Also Meet Tanzanian engineer incharge and supervisor at Schlumberger-Innocent Anthony Urio


Ghati enters TTCL
She then got the job at TTCL after completing high school, but she finally left the job and joined the university.

Ghati goes University of Dar es salaam

Getting division three in high school final examination forced Ghati to join special courses that help candidates who have obtained marginally lower grades than the minimum entry requirement of higher learning institutions.

After successfully completing pre-university courses Ghati joined with the university of Dar es salaam  and do  Bachelor of science in mineral processing engineering

Desire to pursue career in petroleum industry
While she continued her studies, One among of their teachers taught a module about exploration and drilling of oil and natural gas. From that day on Ghati began fascinating with oil and gas field.
She began to look for all opportunities concerning oil and gas industries, and finally  went to Norway for masters’ degrees in petroleum engineering thanks to Statoil company’s scholarship

To make a long story short, currently she is in one-year industrial practical training enjoying a career in oil and gas industry.

Moreover, her purpose is to bring significant development in Tanzania oil and gas sector. Therefore, she expects to get a doctor of philosophy degree for the next 5 years

Why I choose to share with you this inspiring story

  • There are great lessons to receive from her journey
  • You can be anyone you want to be or achieve anything you desire if you have clear and realistic goals
  • Success is not mattered your background, intelligence native ability, family, friends or contacts that enable us to do extraordinary things but is our ability to get very best out under all conditions. As we have seen Ghati is the woman raised up from rural areas.
  • What men can do, women can do as well. As the nature of petroleum jobs many people believe oil and gas career is for men only.

Key to succeed

  • Decide exactly what you want
  • identify the price you want to pay in order to accomplish what you wantDear readers, we love your comments from all of these, and if you found this interesting, do not delay to share with friends



Since falling of oil price in June 2014, Tanzanians have been losers and winners as wells. Oil slump might be a bad news for Tanzanians but is a great to them also.
Articles discusses different consequences of low crude prices to Tanzanian citizens
Let’s face them
Why low crude prices is good for Tanzanians
Import expenses
Trust me or not a lot of Tanzanians are living happily with this crude low price as they use a car with cheap gasoline.This is because import expenses of processed oil product like diesel gasoline kerosene have decreased thanks to low oil prices Tanzania has no recent crude oil discovery. It depends on oil finished products imports.So low oil prices mean benefit to Tanzanians oil consumers

Minimize living cost of Tanzanians

Decline of oil prices means low transportation costs, cheaper food products as a result of lower living costs for an average Tanzanians
Why crude prices is bad for Tanzanians
On another hand, we are losers and victims of these low oil prices level due to the following reasons
Career in Tanzania oil and gas
Low crude prices are bad news for contemporary Tanzanian graduates who pursue careers in the oil and gas industry.In recent years petroleum engineering, petroleum geoscience, petroleum geology courses were seem as the ticket for the direct jobs to the Tanzania oil and gas companies.

However due to crude oil below $ 50 per barrel, these courses perceived as the ticket for unemployment offices


Layoffs(Tanzania oil and gas professionals)
Many Tanzanians oil and gas workers have been lost jobs. I think the layoff will increase if low crude prices prolonged

Low crude hurts Tanzania organizations that supply services to the oil and gas companies especially the upstream segment of the industry. Low crude price makes oil and gas companies do not buy anything from these organizations as they struggle to minimize expenses so as they can cope with low oil prices.

Read also :4-tips-for-local-organizations-to-sell-products-and-services-to-the-oil-and-gas-industry
Final Words
This continued low oil prices has both positive and negative impacts to Tanzanians Oil slump do not affect the country as compared to oil exporters like South Sudan that depends on revenue generated from oil.

Dear readers, we love to hear all of these from you


Solo Oil has agreed to farmout a 12.5% net working interest in the Ruvuma Petroleum Sharing Agreement in Tanzania to Aminex. In what is a back-to back agreement, Bowleven will join the Ruvuma PSA joint venture with a 50% net working interest.

Solo will receive from Aminex a total consideration, in the form of a carried work program contribution and production bonus payments, of USD3.625m.

Note :PSA  stands for Production sharing Agreement

Also Read:4 Tips for Local organizations to sell products and services to the oil and gas companies

you may also like to read:7 effective way to make money in Tanzania oil and natural gas industry

Also read:Natural gas does more than producing electricity and cook food


Unfortunately oil and gas do not exist is liquid pools underneath the earth’s surface. In fact, you could hold a rock containing oil in your hand and would not be able to see the oil.

Also Read:How oil and gas are formed

Important Properties of Rocks

Rock Formation Showing Strata For rocks to contain oil and gas they must have two very important properties. The rock must have a place for the oil and gas to be stored. These storage areas are called pores. These pores are not visible to the naked eye and must be viewed using a microscope. The number of pores that a rock contains indicates how much oil or gas can be stored. The more pores the more oil or gas that can be contained in the rock.

Scientists measure the amount of pore space by determining the rock’s porosity. Porosity is expressed as the volume percent of the rock that contains open space and can range from 5 to 30%.

Drawing Illustrating Porosity and Permeability

The greater the porosity, the more oil and gas can be stored in the rock. Porosity does not mean that there is oil or gas in the the rocks. In fact the pores could be filled with water.

Not only must the rocks have pores, the pores must be connected so that the oil and gas can move through the rock. Scientists measure the ability of oil and gas to move through rock by determining its  permeablity.

Oil and gas in low permeability rock have difficulty moving out of the rock and into a well. Permeability is measured in thousandths of a darcy or millidarcys. Sandstone and carbonate rocks are generally the most porous and permeable rocks and are therefore where scientists usually find oil and gas.