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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
Capital
Start with scale that you are comfortable

Offices
Lease small office and hire few employee at the early stages of your business, when the business expands, purchase large offices
Location
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
Registration
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

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Do you struggle to sell products or services into Oil and Gas Industry? Like to sell more into oil and gas industry with less effort?

Article meets all of these questions?

Nowadays in Tanzania there are many small organizations and companies that sell products and services to the oil and gas companies.

Some of these organizations supply safety  equipment like Safety boot, helmet. Also, they provide training services, transport services,

Human resources services both permanent and temporary staff, consultation services etc

However, few of these organizations have successfully selling, because either they sell into the wrong segment of oil and gas industry or they use wrong sales strategies

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

Article explores tips to improve your sales and generates more income selling into oil and gas industry
Let face them

Fix the problems
If you wish to sell more into oil and gas industries, you should solve a specific problem that your clients have.

Determine who has that problem and determine which segment of oil and gas industry is more likely to buy your product or services.

The industry has three segments decide to fix something either upstream, downstream or midstream segment. Read here 3 segment of oil and gas industry and how industry works

Due to crude to this oil below $ 50 per barrel if you fix problem into upstream sector you are wasting your time and I recommend you to skip into midstream and downstream sector.

Oil exploration and production companies will not listen to you and buy anything from because they are hurting with money

Focus on few vital products and services than many trivial
The common mistake that an organization does is this. They think will sell all products they have into petroleum industry.

In all of your product or services, you offer there few vital products that your clients are more interested in. also, have a great positive impact into your sales.

Concentrate on those few vital products than many trivial. This will not only increase your productivity but will save your time.

Reputation of your organization
This is the most important thing to have success selling into oil and gas industry. It refers how other clients and customers outside there think and talk about your services.

If other clients provide positive comments on your services and products you have a greater chance to attract new prospects.

Focus on quality and forget on prices
Clients would be willing to pay what  want if they believe your products and services will fulfill their wants. Remember you are paid for results and not activities,

so if your products or services have a specific benefit that customers need, they will purchase at prices you want.

Your customer has experience of buying cheap products. So prices do not matter if you sell a quality product
Final words
To sell more into oil and gas industry, you must have a better understanding of how the prospect will enjoy the benefit of using the product or services. Clients would not buy your products if he does understand how they can benefit from services or product you sell.

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Dar es Salaam — Tanzania Petroleum Development Corporation (TPDC) will start an advanced search for oil in Lake Tanganyika, the state-owned firm said at the weekend.

From its first stages of surveys across Lake Tanganyika waters, TPDC believes the area from Kigoma Rural, Kigoma Ujiji, Uvinza and Mpanda Rural contains abundant oil resources.

The belief stems from the fact that neighbouring Uganda has already discovered oil in Lake Albert which has the same environment as that of Lake Tanganyika.

Also Read:Managing citizens expectation on Tanzania gas sector

TPDC said in a statement at the weekend that it is deploying a non-invasive Airborne Gravity Gradiometry Survey (AGGS) over Lake Tanganyika North Block in the five districts between November, 2015 (this month) and January, 2016.

“The objective of the survey is to acquire high resolution gravity and magnetic data to map subsurface structural geological framework, thickness and extent of the sedimentary rocks over Lake Tanganyika rift basin,” the TPDC managing director, Dr James Mataragio, said in a statement at the weekend.

Gravity gradiometry refers to a study and measurement of variations in the acceleration due to gravity. Gravity gradiometry is used by oil and mineral prospectors to measure the density of the subsurface effectively and the rate of change of rock properties.

From this information it is possible to build a picture of subsurface anomalies which can then be used to more accurately target oil, gas and mineral deposits.

According to Dr Mataragio it is expected that the AGGS data will assist in planning for another survey that will finally identify potential areas associated with hydrocarbon deposition and subsequently identifying drilling targets.

TPDC is funding the entire project using its own development funds.

The survey campaign will be conducted using a low-flying special aircraft which will be flying between the altitude 80 and 100m above the ground at a speed of 220 kms/hour.

The survey will be flown during the day light time. “We would like to apologise for any inconvenience that may be caused by the presence of the aircraft around survey areas,” he said

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Even though Tanzania natural gas reserves were discovered in 1974, it was after thirty years later, in 2004, that production commenced.

This reveals a situation in which the government was excited to improve its petroleum resources, but was unable to do so due to a weak bargaining position.

Since 2010 several natural gases have been made, this indicates that Tanzania would be among the largest natural gas exporter for the future. According to an International energy of US, Tanzania has the potential to become a liquefied natural gas (LNG) exporter in the future.
However, the most important things to be done is to control public expectation on this natural gas resources. Studies of all oil and gas economies have shown that citizens expectations on natural gas are unrealistic.

Most Tanzanians especially those who live nearby the natural gas is found expect to become rich and are very optimistic that natural gas industry will create millions of jobs others think revenue generated from natural gas will stay in the hands of corrupt leaders and politicians which all of these is unrealistic

In order to avoid resources curse the country should manage expectation of its citizens. The most effective way to do so is what is called “Information sharing and public disclosure”

Information sharing and public disclosure means a country publishes all necessary information relating to Tanzania oil and natural gas industry like the scale and quality of natural gas reserves, exploration cost.

Also Read:Top-3-places-on-the-internet-where-every-Tanzanian-can-learn-about-oil-and-gas-sector-for-free

Those oil and natural gas agreement should be published. A government together with private sectors should set clear goals through consultations of its citizens and communities where the resources are found.
A country should publish what percentage of revenues generated from natural gas would go to the national budget, and what percentage will set aside for development purpose.

Unavailability of this information to the citizens will result to the mistrust between communities and government

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Wonder if you know oil and gas industry has transformed the lifestyle of Tanzanians? Do you think oil and gas industry gives you more freedom?

You are about to learn excellent stuff

Despite the fact that Tanzania does not produce crude oil and the country has no recent crude oil discovery, Every Tanzanian are in contact with items that depend on crude oil on their making, like diesel, kerosene, and gasoline

According to recent statistics published by U.S energy information administration, Tanzania consumes some 35,000 barrels of refined oil product each day in 2013.And all of these were imported.
Top 5 items almost every Tanzanians throughout the country is in daily contact with including the following.

1:Gasoline
Gasoline is the fuel for cars, is the most important crude oil product used by many Tanzanians due to the presence of various filling stations in our countries.

We use gasoline in our car that help us to travel from one place to another.

2:Diesel fuel
Is fuel for car train bus and ship, everyone is in contact with diesel as we use those items for transport purpose to move from one region to another.
3:Kerosene
Is the fuel for planes and jets, kerosene has been helping us to travel hundred of miles in easy and efficient manner, it help us to visit friends family and do business.

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

4:Lubricants
Crude oil also used to make lubricants that enable us to reduce frictions into several machines and engines, Lubricants is applied on car engines, ship engines also it used for making cosmetics

5:Bitumen
Bitumen is another petroleum product, it is very viscous dark brown materials used in construction of high road

 

Final words
Items that are made from crude oil not only improve the lives of Tanzanians but also all over the world everyone uses crude oil products to run devices that allow to travel thousands of miles a day, also it drive  internet and global communication.

Crude oil controls the world and will continue to do so until another form of energy comes along that is cheap and easy to use.

THE Tanzania Seafarers Community (TSC), has declared its readiness to start performing a wide range of tasks associated with exploring oil and gas, both in deep and shallow waters.

THE Tanzania Seafarers Community (TSC), has declared its readiness to start performing a wide range of tasks associated with exploring oil and gas, both in deep and shallow waters.

The move comes after the accomplishment of all legal procedures and fulfillment of sailor’s demands such as health insurance and working contracts to companies that they will be working with.

Speaking in Dar es Salaam, the TSC Chairman, Mr Frank Chuma said that they have reached agreement with the government on the fulfillment of important requirements that are needed by seafarers.

He said next process shall be signing contracts between the Community and Tanzania Petroleum and Gas Development Corporation (TPDC). “We are happy that everything went smoothly in accordance to expectations although it took three years until the accomplishment. We are now ready to work anywhere within and outside the country,” he said.

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

“The TSC concern was to see local sailors benefit from opportunities that shall be found in their homeland,” he added. He said the move shall reduce unemployment rate for local seafarers who are about 5,000 country wide, as they are now going to be attached to both foreign and local companies that are associated to the oil and gas exploration sector.

“In accordance with Tanzania shipping business laws, for a sailor to go to the sea he/she must have insurance. We therefore recommend the remarkable contribution by the finance ministry,” he said.

He added that the issue of employment is a major problem for sailors something which pushed them to have number of consultation meeting with different stakeholders including China embassy, Tanzania Ports Authority (TPA), TPDC and the Ministry of finance.

He said, the Chinese Embassy has agreed to cooperate with them in fishery, oil and gas as well as other related activities and they are ready to bring their gears to help revive the activities in the country.

For his part, the renowned maritime instructor Mr Charles Chagula, urged the sailors to work hard once being attached to the companies as a way to prove their capacity and morality.

“We have reached the ultimatum of what we have been fighting for the past three years, it is our turn now to work hard and ensure effective delivery of our profession to the public,” he said.

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Would you like to know the life in oil and gas industry?

Are you very curious to know what oil and gas workers eat at their workplace, how they sleep, how long they work?

 it is  allowed for oil and gas employees to use the mobile phone at their working place?

You are about to learn excellent stuff
Articles examine the life condition  of   Oil and gas workers at their working places in offshore field.

From the time, they start to work, their food until they go to bed. Since the majority of Tanzania Natural gas discovered on the deep sea(Offshore) The article explains offshore lifestyle of oil and gas workers .

Okay let’s go
Food
Most of the oil and gas rig have restaurant –type where various kinds of food are offered to oil and gas workers.imgres

Food and fruits delivered to the rig by helicopter or supply boat. So breakfast covers porridge fruits and other foods.

You will never use your pocket money to buy food. All expenses of food are provided by the company. And the good news is that there is a team of the kitchen who prepares food.

Due to the nature of oil and gas jobs, employers are very careful to ensure that, oil and gas employee are getting well-balanced food so as they can do the job properly.

Also Read:3-surprising-benefits and-disadvantages-of-working-in-oil-and-gas-industry

Fun and hobbies
In the offshore platform, there are many places for entertainment, stuff like a pool table, for those who are often exercised there is a gym. Also rooms with TVs, DVDsimages

Working hours
Offshore oil and gas employees work in shift, usually day or night, shift takes 12 hours followed by 12 hours of rest

Salaries
Salaries for oil and gas workers differs from one person to another it depend on your role and company

Medical test
Medical care is the fundamental issue in the oil and gas companies, during an interview and before you go for working you should prepare for a medical test.

Accommodation

Accommodation in the offshore life vary from one company to another but most common accommodation is a single room with facilities like TV, toilet also is available that are shared by shifted staffs.Spaces are issued on offshore lifeimages

The use of mobile phone for offshore oil workers is prohibited for safety purpose,

Although public’ card phones and the massive production platforms have broadband internet access which means that you can send and receive e-mails, instant messages and even Skype.

Final words
Life condition on offshore platform is not easy, however, many oil companies make sure time you spent on platform is really enjoyable, For example, employees may find themselves live in places that meet 3  or 5-star hotels, despite the fact that you are in the middle of the ocean.

Export-route decision necessary to get industry off the ground Tanzanian pipeline isn't commercially viable, CEO Hill says

Export-route decision necessary to get industry off the ground
Tanzanian pipeline isn’t commercially viable, CEO Hill says

 

East Africa’s race to export its first oil will eventually be a tie between neighbors Kenya and Uganda because both need to share a pipeline rather than compete for different routes, a producer in the region said.

“The only sensible route for the pipeline is a joint pipeline” running through both countries, Africa Oil Corp. Chief Executive Officer Keith Hill said by phone from Calgary.

The company this week sold stakes in some East Africa assets to Maersk Oil & Gas A/S.

Agreement on an export route is necessary to get the countries’ oil industries off the ground: While crude was discovered in Uganda in 2006 and four years later in Kenya, both are still in the planning stage of commercial development.

Also Read:2-reason-why-East-African-oil-and-gas-industry-could-change-global-energy-market

One option is to send the oil through the Lokichar basin in northern Kenya. Another is to run a line via southern Kenya and the capital, Nairobi. A third is to pipe the oil through Tanzania.

“I don’t believe the Tanzanian pipeline is commercially viable,” Hill said on Monday, without elaborating.

Uganda, which last month signed a memorandum of understanding with Tanzania and oil producer Total SA to study a possible pipeline through the coastal nation, has repeatedly said the eventual shipment route must be the cheapest to develop. Kenya has estimated the cost of the proposed northern line at about 400 billion shillings ($3.9 billion).

Joint Ventures

A pipeline to the Indian Ocean would allow Africa Oil, together with larger partner Tullow Oil Plc, to start exports from joint ventures. Tullow has found oil in both countries, with Uganda estimating finds at 6.5 billion barrels and Kenya at 600 million barrels.

Maersk Oil said Monday it will acquire half of Africa Oil’s shares in three onshore exploration licenses in Kenya and two in Ethiopia for as much as $845 million.

The deal shows companies are willing to invest in East African discoveries even before a pipeline route is decided. It drove Tullow shares up 4.5 percent.

Oil-industry development has slowed in East Africa over the past year as slumping energy prices forced companies to cut costs and trim budgets. Brent crude has tumbled more than 40 percent to about $47 a barrel in the past 12 months amid a global supply glut.

“People have finally decided the oil price has hit bottom and we will see more deals being done in the next three to six months as people start to feel a little bit more stability,” Hill said. “There is no way on earth we can satisfy world demand below $75 a barrel long-term.”

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Swala Energy has engaged a drilling support contractor in Tanzania

Swala Energy (ASX:SWE) has accelerated its onshore oil and gas development plans in  Tanzania by engaging a drilling support contractor ahead of further exploration at the Kilosa-Kilombero and Pangani licences.

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Swala’s subsidiary operator at the properties, Swala Oil and Gas (Tanzania), has awarded the Drill Support Team contract for the 2016 drilling campaign to the Tanzanian subsidiary of AWT International (Asia), a Singapore-headquartered firm offering subsurface, subsea and surface facilities engineering services and contracting solutions to the oil and gas industry.

Also Read:how-to-drill-oil-and-gas-well

The Drill Support Team will effectively act as Swala Tanzania’s drilling management team, tasked with designing the wells, implementing the planning required ahead of the wells, including the ordering of long-lead items, and primarily to engage with rig contractors (and operators) in the area to determine the optimal rig sequencing and the design and cost of the wells.

The award allows drill planning to begin immediately and sets up Swala to achieve its 2016 drilling objectives.

The Kilosa-Kilombero licence has three deep basins – Kidatu, Kilosa and Kilombero.  The Pangani licence has one – the Moshi basin.

The two projects are considered geologically related to structures which host at least 2 billion barrels of oil.

Seismic work carried out in 2013 identified a large-scale structure in the Kilosa basin, measuring some 40-50 square kilometres in extent. More importantly, it identified the “Kito” prospect in the Kilombero basin, where initial analysis suggested structural trapping analogous to that seen in Uganda (where more than 4 billion barrels of oil have been discovered to date) and Kenya (more than 600 million barrels).

A second seismic survey in 2014, concentrating on the Kilombero basin, slightly increased the size of the Kito prospect and identified a further six leads and prospects that contribute to the basin’s potential upside.

The 17,156-square-kilometre Pangani licence, meanwhile, has demonstrated the existence of in Moshi of a fault-bounded basin some 25 kilometres wide with sedimentary fill of between 2,000 -3,000 metres.  The company is still reviewing the 2014 seismic data and focusing on the Kikuletwa lead, to the west of the basin.

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 developments appear to be on hold for now, our East Africa Politics & Security report points out that Tanzania still appears to have some ambitious plans for the country’s gas future.

With the slowing interest from oil companies, the Tanzania Petroleum Development Corporation (TPDC) appears to be taking the lead in the sector, but there are still issues which need to be resolved in the industry to help build confidence that the ambitions can be fulfilled.

TPDC has spoken of its extensive ambitions for the use of natural gas, serving domestic and regional markets, yet in the absence of any firm plans the ambitions do not create any greater certainty. Regionally,

Tanzania sees natural gas markets in most of its neighbouring countries. Addressing the Kenyan parliament on 6 October during an official visit, President Jakaya Kikwete said that Tanzania and Kenya are ‘discussing ways to extend the natural gas pipeline to Kenya’.

Speaking to the state daily newspaper Habari Leo the following week, TPDC’s Director of Gas Processing, Transport and Distribution, Wellington Hudson spoke of serving markets in the Democratic Republic of Congo, Rwanda, Burundi and Uganda, as well as Kenya.

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

He further told Habari Leo that an investor has agreed to finance a pipeline to Bagamoyo, to service tourist hotels, with the possibility of an extension to Tanga in the north, and Mwanza in the north-west.

The prospect of a natural gas pipeline running parallel to a crude oil export pipeline from Uganda is also enticing to TPDC, which confirmed to Habari Leo that it is in talks with Total to develop such a project. Exploiting Tanzania’s deep sea gas resources will depend on having a feasible Natural Gas Utilisation Master Plan (NGUMP) in place.

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

The document has been in preparation since at least 2011, with no sign of it being finalised soon. The NGUMP is critical to allow investors to make a final decision to invest on the LNG plant, as it will determine the domestic market obligation to be demanded by government.

Currently the Statoil Production Sharing Agreement stipulates that 10% be reserved for domestic use, a figure which is also likely to be found in the BG agreement. BG in particular has argued strongly over the past two years that realistic domestic needs can be served by onshore and near shore reserves. They also argue that the feasibility of the LNG plant will be strengthened if their domestic obligation is set at zero.