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isThe article explains about qualities that you should possess in order employer from oil and gas companies to consider you in their companies.

According to Shale Net, the following are  qualities looked for the oil and gas industry.

1Be a fast learner
2. Work hard and be willing
to work long hours.
3. Enjoy the outdoors
4. Be a reliable team player
5. Be dependable and on-time
6. Be a problem solver
7. Be a self-starter
8. Have a supportive family that
will understand long hours
9. Be physically fit
10. Have strong mechanical
ability

imagesSwala Energy (ASX:SWE) has marked significant progress in its plan to unlock Tanzania’s prospective onshore oil acreage in recent weeks with fresh joint venture funding poised to prove up an exciting tenement portfolio.

The Perth-based explorer – which became the first oil and gas company to list a subsidiary on Tanzania’s Dar es Salaam Stock Exchange (DSE) last year –  secured US$5.7 million (A$7.8 million) in development funding earlier this month via a farm-in deal with Indian multinational conglomerate Tata Sons Limited (“Tata”).

The deal with Tata energy subsidiary Tata Petrodyne Limited (“TPL”) covers the Kilosa-Kilombero and Pangani licences in Tanzania, both located on a proven oil trend called the East African Rift System (“EARS”).

The transaction establishes an ownership structure whereby Swala controls 25% of both projects, with TPL controlling equal 25% stakes and Otto Energy (ASX:OEL) controlling the balance.

Besides funding exploration, the farm-in has allowed Swala the flexibility to redeem outstanding convertible notes worth $598,000. This stabilises the issued share capital of the company ahead of its planned corporate and asset activity in 2016.

The strategic benefits of the farm-in have made a dramatic impression on investors, resulting in Swala’s share price marking about a 77% increase since the first week of October.

 Dr. David Mestres Ridge, Swala CEO, said:

“Knowing that reimbursement of the past costs incurred by the Company is being made and having an international exploration company such as TPL as a participant in an exciting location in the East Africa Rift system allows us to now focus on preparations for the 2016 drilling campaign.”

Read:   Swala oil selects  Tanzania drilling site 

Projects of promise

The upcoming Joint Venture drilling will aim to improve confidence in two EARS projects, geologically related to structures which host at least 2 billion barrels of oil.

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

Seismic work carried out in 2013 identified a large-scale structure in the Kilosa basin, measuring some 40-50km2 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.

Initial studies carried out by Swala earlier this year have clarified the operational issues associated with drilling in Tanzanianand confirmed estimated drilling costs below US$10 million (gross).

In Kenya, the company owns a 50% working interest in Block 12B, operated by Tullow Oil (LON:TLW).  The Operator is currently reviewing the seismic work acquired in 2014, which have already identified a number of leads and prospects.

Drilling is largely funded, with key partners including Tullow Oil (LON:TLW) and three wells slated for drilling on three licences in early 2016.

Ownership model

Swala’s listing on the DSE and relations with Tanzanian regulators represent part of a broader strategy of local integration which is at odds with the less inclusive business models of foreign listings practiced by some of the region’s large oil and gas operators.

This approach is based on a premise that early ownership brings value to local investors and further reinforces development prospects for the assets concerned.

Engagement with this strategy has encompassed a number of locally-focused marketing and communications efforts on the part of Swala, including:

• Commitment to local ownership, especially at the early seed stages.

– 2012 roadshows in Nairobi and Dar es Salaam

– 2013 roadshow in Dar es Salaam

• Commitment to local listing and close cooperation with the market authorities – many are very early-stage.

– Swala Tanzania listed in August 2014

– 2,000 Tanzanian shareholders

• Commitment to the communities in a meaningful manner (the trust concept).

– 7.5 million shares placed in trust

– Shares will be sold as appropriate and proceeds invested into the communities in which we operate

– ‘win-win’ with local communities: the more valuable the company, the more valuable the trust company tasked with investing locally.

Analysis

Swala’s 77% share market turnaround in recent weeks despite the environment of a generally struggling oil and gas market is noteworthy and a solid indicator of the company’s potential versus its peers.

These catalysts most notably include the 2016 drilling campaign for the EARS projects.

Swala’s listing on the DSE shows that there is both the appetite and the ability to participate – at least in the early stages.

Swala’s holdings are predominantly in the world-class EARS area with a total net land package in excess of 9,000 square kilometres after the farm-in over Tanzania and Kenya.

New discoveries have been announced in a number of licences along this trend, including Ngamia, Twiga and Etuko, which extend the multi-billion barrel Albert Graben play into the eastern arm of the rift system. Swala has an active operational and business development programme to continue to grow its presence in the promising hydrocarbon provinces of Africa.

To date, over 2 billion barrels of oil have been discovered in the Albertine Graben of Uganda. More recently, there have been oil discoveries in the Ngamia -1 and Twiga-1 wells in Kenya.

These discoveries have provided compelling evidence that the presence of oil in the rift systems is geographically more extensive than previously thought.

Work to date by Swala has identified key prospects with strong similarities to the recent EARS discoveries.

Tanzania’s gas reserves have been estimated to total between 50-53Tcf.

Swala’s business model is to have ownership from the get go. With this strategy, it is seeking to emulate proven African energy company success stories from the likes of African Oil (ASX:AOI), Cove Energy and Tullow Oil.

Swala has adopted a prudent farm-out strategy, whilst retaining interests that provide leverage to any drilling success.

The uptick in share price provides a counter to participate in the 2016 exploration well to be drilled on the Kito prospect in the Kilosa-Kilombero licence. We would expect to see ongoing interest and further investor participation in the lead up to this very exciting exploration and drill program commencing.

With the redemption of outstanding convertible notes, this will remove an overhang of shares that should provide clearer air for the stock and potential to track considerably higher than current share price of $0.077 in 2016.

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Swala Oil & Gas (Tanzania) plc has selected a drilling location for the 2016 exploration well that shall be drilled on the Kito prospect in the Kilosa-Kilombero licence.

The technical review of the Kilombero Basin has shown the Kito prospect to be robust and has given promising indications of the potential prospectivity within the basin,” Dr David Ridge, the firm’s CEO said last week.

According to a company release, re-interpretation of the 2013 and 2014 seismic data have resulted in improved understanding of the Kito prospect.

Analysis of the available seismic has identified a number of additional structures along the Kito basin bounding fault.

Ridge said that the reinterpretation of data over Kito has resulted in a slight increase in the size of the mapped structure whilst early review of the additional structures has given the Company a better appreciation of the potential upside within the Kilombero basin.

Un-risked recoverable resources, mmbbls, net to the Company on the basis of a 25% equity interest post farm-in and the leads and prospects of the Kilombero basin he said, adding that recovery factor used 27%.

       Read: Swala energy complete farm out of Tanzanias kilosa -kilombero and Pangani licences interest to Tpl

 
 
“He added that the Company is in the process of completing an EIA over the selected drilling area and of selecting drilling contractors for the Kito exploration well in 2016.

Swala is an affiliated company to Swala Energy Limited, a company in turn listed on the Australian Stock Exchange (ASX) with ticker “SWE”.

It holds assets in the world-class East African Rift System with a total net land package in excess of 17,500km2.

New discoveries have been announced by industry participants in a number of licences along this trend, including Ngamia and Twigga, which extend the multi-billion barrel Albert Graben play so successfully developed by Tullow Oil into the eastern arm of the rift.

Swala has an active operational and business development programme to continue to grow its presence in the hydrocarbon provinces of East Africa.

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Recently, transparency become hot in Tanzania’s Oil and gas Sector. Many organisations work hard on launch their findings  to promote transparency in natural gas industry

Yesterday the Friedrich- Ebert -Stiffung (FES)  Tanzania, launched its “Tanzania Oil and Gas Almanac” and present other  tools aimed at promoting  transparency in Tanzania’s oil and gas industry. you can also read: fes launched tanzania oil and gas almanac

Also on september 1st 2015, Twaweza organization released their findings which has shown 77 percent of Citizens want more information on recent natural gas discovered.

Few days ago   Poverty alleviation (REPOA) and Center for global deviation has done research, and their findings shows that most Tanzanians support publishing of all oil and gas contracts and government revenue generated from oil and gas . Read here:citizens of Tanzania support-extracting and selling of natural gas internationally

The key question here is why  these various organizations try hard to promote transparency in  natural gas industry in Tanzania?

They do all of these because transparency is necessarily important for emerging oil and gas producer country like Tanzania.

Now let us See

                           Why transparency is very crucial in Tanzania’s Natural gas industry?

1.Manage public expectations

By citizens being aware of the time frame of production, how big discovery it is, educate them difference between  a discovery and a commercially  proven discovery, we would be able to manage public’s  expectations like massive job creations to  Tanzanians,  you can also read . see why discovery of natural gas in  Tanzania Could not bring too many jobs to Tanzania as they believe

2.Improve fairness to Citizens 

Disclosure of financials data and contracts can help convince both citizens and companies that the process is fair,.

3.Reducing Conflicts

By identify which group require specific communcation including citizens living nearby producing regions, it might reduce conflicts and chaos, what happen in Mtwara was due to lack of right information to the citizens.

4.Public support

Tanzania as a new gas producers, by contract disclosure benefit the country because make the term public available can increase public support for project.

5.Wining the trust of Citizens

Disclosure of information related to tendering and licensing process could raise the citizens confidence as the revenues  generated from the Natural gas industry would not  only stay in the  hand of corrupt leaders and rich men instead will all citizens and country will benefit as whole.

MY FINAL WORDS

Transparency is very  essentials in Tanzania’s Natural gas industry,also engagement of average citizens is particularly important in avoiding conflict.  Also those information should published  in both  swahili and english language so as  can be easily  understod to every one

Dear  readers we love more you comments from all of these.

prepared by Hussein Boffu founder of This site

 

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Solo Oil announced Tuesday that its assets in Tanzania represent the most significant investments for the company and revealed that their further development “is being actively pursued”.

The company has a 25 percent stake in the Ruvuma PSA and acquired a 6.5 percent interest in the Kiliwani North Development License in February 2015, with an option to purchase an additional 6.5 percent interest within 30 days of the signature of a gas sales agreement for the produced gas from the KNDL. Solo’s key asset in the Ruvuma PSA is the Ntorya gas-condensate discovery, made in 2012. Ntorya is estimated to contain a gross 158 billion cubic feet of proven gas in place. The Kiliwani North-1 well in the KNDL was drilled by Aminex and its partners in 2008 and discovered gas in a 196 foot column in the Lower Cretaceous. Based on well test results Kiliwani North-1 is expected to be flowed at a rate of up to 30 million cubic feet per day once on-stream.

You can also read: Tpdc has awarded ion contract for Seismic  survey  in Ruvuma Delta Region

Solo Oil posted an operating loss of $564,917 in the first half of 2015, compared to an operating loss of $654,559 recorded during the same period last year. No revenue was registered for the company for the six month period ended June 30, 2015, although Solo Oil expects its assets in Tanzania to contribute to its revenue stream in the future.

 

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Lower global oil and gas prices have affected the level of exploration activity in Tanzania, but it has not completely eroded the stronger bargaining position the government has enjoyed in recent years. Major gas finds in various geographical locations combined with a stronger domestic demand means that the petroleum sector in the East African country will continue developing, albeit at a slower pace.

This paper reviews how the Tanzanian politics of oil and gas contract negotiations is changing. By focusing on the broader framework of contracts – including infrastructure, power production, and industrial use – the paper suggests that the focus on revenue maximation that prevails in much literature may skew our understanding of inherently political negotiation processes. Other priorities – and increasingly other actors – affect the price the government can get for its petroleum resources.

The paper by Rasmus Hundsbæk Pedersen, postdoc at DIIS, and Peter Bofin, consultant based in Dar es Salaam, is the second on the negotiation of petroleum contracts in sub-Saharan Africa. The first paper, The Politics of Oil/Gas Contract Negotiations in sub-Saharan Africa, reviewed the general literature on contract negotiations on the continent.

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You Know most of Tanzania citizens believe that, commercial production of  liquefied of natural gas has already started in Tanzania and they think  government  and investors (operators)  gaining revenues from it.

Findings from  Twaweza  organization has  shown that 53 percents of citizens of Tanzania  believe  that , gas is already flowing and government generate money from it. This is absolutely wrong.  And to day   i will  give you some useful information and clear up this misconception.

you may also read:see-why-discovery-of-natural-gas-in Tanzania could not bring too many jobs to Tanzanians as they believe

 

The gas which has been discovered in coast of Tanzania has never yet started to flow , there is  possibility of  2025  for the gas to start to flow. The government will begin to gain revenues after the gas has started  flowing  in  commercial basis in 2025. Currently, SongoSongo gas field, is the only commercial field that produce gas, and this  gas is sold by songas limited which used to provide  portion of  Tanzanias’electricity.

MY FINAL WORDS

Is the time now, to set up a special program that  would  aim at managing  citizen expectation  on natural gas and provide to them  right information regarding  to oil and gas industry,other wise  things would be worse.

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

 

 

searchBelieve me or not  some  people are happier with the recent low crude prices because they can fill their cars with cheaper gasoline, but  it hurt more oil companies and oil and gas workers.

Now let see how this it affect petroleum companies and i will finish by explain how it affects oil and gas workers.

Lets go

 

How it affect oil companies

The industry is composed of four segments

Upstream companies: they deal with exploration and production in other word they getting crude out of the ground. These  companies  experience bad time  during low crude prices as the cost of selling price it depend on market situation, while the cost of production is fixed. So if it costs more in production and exploration and costs at which  they sell price it gets low, they will incur losses .

Midstream Companies: They deals with moving crude oil and natural gas, example of midstream stuff  such as pipelines, tankers rail car etc. Since oil price is low these companies will move oil at the low prices.

 

Downstream companies they deal with refining manufacturing and selling of products from oil and natural gas like petrochemicals, lubricants and fertilizer. These companies are not affected much because they make profit by purchasing  crude or natural gas and selling their product so these companies still make profit even in downturn.

Service companies: they provide man power and help in service in oil and gas companies, example  Schlumberger,  and Halliburton, This companies during downturn experiencing serious trouble since because they depend on receiving tender from upstream  Companies,  So they must receive even less payment from operators as a result they incur loss.

 

How it affect Petroleum professionals

Petroleum companies are not only who feel the pain of this low prices but also it hurts  oil and gas workers. As the  crude price gets low petroleum companies try to find ways to run their operation with minimum cost and ensuring they are making profit, in order to do so they cut up jobs and laid off its workers. As the  oil and gas workers  lost their jobs in petroleum companies make them experiencing bad time.

Read :how-oil-gas-professionals-who-lost-jobs-can-survive-the-low-oil-price

MY FINAL WORD

Low oil price is not  a good news to every one because it has it hurts companies in petroleum business as well as oil and gas workers

wentworth-logo Wentworth Resources which is an independent energy company with gas reserves and exploration potential in the Rovuma Basin of southern Tanzania and northern Mozambique has announced that Managing Director, Mr. Geoff Bury, will present a corporate overview at the FirstEnergy Global Energy Conference being held on Monday 21st and Tuesday 22nd  September 2015.   The conference is being held at the Intercontinental London Park Lane, Hamilton Place, London W1J 7QY.

The presentation is available by visiting the Company’s website at www.wentworthresources.com.

The Ministry of Energy and Minerals plans to set up a special local content on gas and oil unit to enable the public easily access information on various issues concerning the sector.
Senior Supplies Officer (Local Content) at the Ministry of Energy and Minerals, Ms Neema Lungangira made the revelation in Dar es Salaam during a seminar organised by Twaweza Organisation to present and discuss the report titled ‘Great Expectations On Gas Sector And Relevant Policies’.
“Government through the ministry is setting up various strategies to enable the citizens fully participate in the oil and gas sector and one of the strategies is the establishment of the special local content unit,” she said.
Among the issues to be tackled under the unit will include public awareness creation, providing knowledge of public participation in the sector.
The unit will be established under the local content policy and will focus on the providing information from the key document on the sector.
According to the report presented by Twaweza at the seminar, citizens do not have access to full information about Tanzania’s gas sector.
Presenting the report, Executive Director of Twaweza, Mr Aidan Eyakuze said that 53 per cent of citizens think that gas from the new offshore discoveries is already flowing with some thinking that both government and foreign companies are already earning revenues from the gas.
The report based on data from ‘Sauti za Wananchi’ Africa’s first nationally representative high frequency mobile survey also indicate that citizens expect four million jobs and 7.5m/- each from gas deposits.
The report which shows that citizens are significantly misinformed about the potential of the country’s deposits, show that 59 per cent of citizens think that natural gas deposits will improve their lives and a similar (58 per cent) expect government to invest gas revenue into public services.