Tag Archive for: Tanzania LNG project

If You Don’t Tap Tanzania’s Gas Business Opportunities Now, You’ll Hate Yourself Later

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Could I be totally honest with you?

Now is the great time to build wealth and fortune in Tanzania’s gas by taking advantages of opportunities brought about by weak oil price

Yes, if you don’t act now, you are missing huge opportunities and you’ll hate yourself in the future

.While many people are worrying about bad oil price, is the excellent opportunities to tap  opportunity in gas business and reap reward from it

With a Stock market crash, people lose jobs and oil firms shut down projects.
One might think I have lost my marble when I say now is the best time to launch gas business.

Right, I know it sounds crazy, but it’s true.

let’s dive in and you’ll see why you must go into gas business right now

Angel investors want to fund you
In these tough times, investors find alternative sources of income, They look for new possibilities to make a living. investors move out money from the stock market and they will subsidize you if your prospects are promising

Gas industries need Innovation
And when I say innovation is anything running from technology, material or procedure. Not necessarily to bring new products in oil market you can improve the existing one.Have a technology that will help operation run better and safer?

Do you have an idea that will help to deliver a product better, cheaper and quicker? In this time of low price, Oil firm will pay attention to you than usual.

Oil and gas companies want to save money

At this moment, Clients are stressing over their cash. They are searching for less expensive options.

Your capacity to offer quality products and solution at sensible costs. You’ll draw in numerous clients and keep them when the prices show signs of improvement

Most Talented Tanzanians are Looking for new jobs

Finding highly qualified employees is overwhelmed task. But in response to low oil prices, experienced engineers have got laid off.

Many fresh graduates struggling with tightening jobs market and More Accountants are looking for next positions. Think what would happen if you launch oil and gas business right now? You find the right staff

Low Competition
At the point oil prices are great, everyone wants to start the gas business in the hope of instant gratification. But under the current atmosphere, many Tanzanians have less certainty to get into the new gas venture.

They have less access to finance. As long as you have fund it is the perfect time to start gas business

Many companies are looking for new partnership

It troublesome for stand all alone, oil companies search for new organizations that have distinctive approaches to convey items and solution to unite and adjust the low prices
Other segments of oil industry are booming
Downstream sector of the oil industry is booming and benefit access to oil downturn.They buy a lot of products and solutions

Are You Ready To act Now?
In essence is rarely to encounter all of these opportunities when there are strong oil prices. Now is the better time to tap oil and gas business opportunities, If you procrastinate, You will hate yourself.
Now go out and do it.

 Hussein Boffu

Hussein.Boffu@Tanzaniapetroleum.com

0655 37 65 43

Your Guide To Build Wealth Through Gas Investment In Tanzania

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Oil and gas business become the hot cake in Tanzania, many Investors have been put their cash in this industry.
Have you ever thought why? As a result of strong return it produce.

I can with confidence tell you a lot of cash has been made on the regular basis, Investors are cheerful to their banking accounts with streaming of money like water streaming in the Indian Ocean.

Why don’t you take your reasonable proportion and begin to develop wealth in Tanzanians gas?

And the great information is that you don’t need to quit your jobs making an investment In Tanzanians oil and gas industry.

You have a choice either do it full-time or part-time, if you are oil and gas wealth seeker, there are several ways to strategy Tanzanians gas industry.

Each has benefits and drawback, Before you talk of making an investment you need to know where to invest, your choice you are making after this, relies on your wallet dimension.

What I mean is: Looking at through this article you choose if are able to manage to offer logistic and transport solutions or making an investment in drilling oil and gas wells.

Buy stock in Oil Companies
You contact broker and buy share of either upstream(exploration and manufacturing company) or downstream(marketing and oil companies) in Dar es salam Stock return Exchange.

  Advantages

  1. Do not need great investment anybody can afford
  2. Less risk investment in comparison to other oil and gas investment avenue

Disadvantages

  1. It impacted by oil costs, right now oil price is down so we are near the base because of the condition of the economy.
  2. Find out more about inventory business

Read: How To Invest in Tanzanian Oil and gas sector through purchasing oil company stock

Invest in drilling projects:

There are two kinds of this type of investment
Exploratory well.You drill well in places no past oil and gas discovered. And a number of water wells could be sunk before real gas is found
Development well: these are oil and gas wells sunk in area whereby gas has already been discovered
Advantages

  1. High benefits
  2. Tax deduction

Disadvantages

  1. Risky business if you don’t attack natural gas

NOTE:

  1.  examine the oil company profile and study its past undertakings
  2. Put resources into experienced oil company which took care of and executed a few activities fruitful
  3. Just oil company with demonstrated track records can diminish the risk of your asset altogether

How do you invest in these schemes
Most oil and gas organizations have sites that welcomes investors to take interest through online application

Supportive services
You give services that are required by oil and gas organizations to achieve oil and gas exercises this incorporates logistic and transportation solutions, pipeline services procurement solution and so on.

Advantages

  1. Less risk
  2. Do not need huge capital

Also Read: 7 Supportive services To Offer In Tanzanian Gas Sector and Make huge profit

Find new oil and gas reserves:

You buy area from the govt. And you take part in hunting down oil and gas

Advantages

  1. In the event that you are willing to acknowledge high risk then you get strong returns (you make up 10 times of what you contributed).
  2. You restore failures past projects if you discover oil and gas in territory

Disadvantages

  1. High-risk investment(you can reduce your whole investment)
  2. It’s  capital intensive

Final words
Oil and gas investment give you immense return but it also is a risk relying upon how you decide to invest.Make sure you research your options and become knowledgeable of the risk associated with each kinds gas investment and pick one that is a good fit for you.

Dear Reader I’d love to hear from you.Reach me through Hussein.Boffu@tanzaniapetroleum.com 

Essential Facts Every One Must Know About Tanzanian Gas Sector In Period Of Low Oil Price

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If you’re looking for investment opportunities in Tanzanian gas market, and you’re strategy for jobs in the sector or you want to sell product and services in Tanzanian oil and gas market, there are few vital things to put into concern in now interval of low-level prices before you progress further

Low oil price has changed the whole oil and gas market, so is incredibly necessary for Tanzanians who considering oil and gas sector to take note of the following things

Business and opportunities
For quite sometimes now the best portion of Tanzania have been selling products and services into oil companies deals in exploration and productions (upstream sector) because they have all money.

But under existing atmosphere, if you’re plan or you’re selling products or services oil and gas companies will never pay attention to you, no oil companies would be enthusiastic about your products and services. Not because you sell a low-quality product,

So Why? because they’re hurting with the existing environment.  How to carry on in this hard time in the oil business?
The guidelines are very simple: redirect to downstream part, downstream segment sell and market oil related products like diesel motor oil, lubricants and so on, so if your products or services fix problem in downstream sector in now[period  of dropping prices you will sell constantly and you wait to smile on bank

Job opportunities
If you strategy profession into gas sector and then you hope someone in upstream segments such as Pan African Energy Schlumberger or Halliburton Swala energy to hire you then you’re wasting time

For the current condition, you should focus on a downstream segment of the petroleum industry. Recently downstream are hiring like crazy because they benefit having the option to low oil prices. Instead of looking forward to oil prices to get better consider downstream segment of the industry

Final Thought
Low prices have harmed upstream part of the industry but downstream is currently booming.If you consider investment in the current environment: sell products or services must that fixes a specific problem in the downstream. The same to Tanzanian who look for a career in oil and gas sector. Must focus on downstream
Downstream, Downstream, Downstream

Hussein Boffu

Recent Graduate In Petroleum Geoscience

Hussein.Boffu@Tanzaniapetrolum.com

The brighter days ahead for Tanzanian Gas Sector

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In order to understand the present scenario in Tanzanian oil and gas sector, it is important to take a traditional outlook from where our country is coming from

The past scenario for Tanzanian oil and gas sector

The 1950s- BP and Shell drilled and discovered dry hole

In1969-TPDC was established by government to help develop and handle oil and gas sector and also offered exploration permits with government  and could get into partnership with foreigner associates through Production sharing agreement

In 1969-AGIP began discovery offshore after finalized production sharing contract with TPDC

The 1970s- The nation was not easy to attract foreign companies that would provide know-how and financial commitment this was because of inadequate facilities and being far away from market
In 1974- Gas deposits was discovered at songo songo area (but was not commercial v viable)

The 1980s- Shell and variety of foreign companies did seismic and sunk hole onshore and offshore

In 1982- Another Gas reserve was found in Mnazi Bay
In 1983- There was low oil price and, for this reason, it become more difficult than ever to draw in worldwide investors.
The 1990s- The work a project based on the 1974 Songo Songo gas area began evolving

In 1992-Tanzania released a variety of power change projects, such as a National Energy Policy, which began out up kind of market participation in creating electricity

In 2004-little production began at songo songo field

The Current circumstances for Tanzanian oil and gas sector
Despite the recent low oil price, Tanzanian oil and gas sector has enhanced considerably over the last several years.

For long, it could not create its gas sources because the discoveries were not considered for commercial viable.

The foreign oil companies that had capability were simply not fascinated in making a financial commitment.

The first significant project, the Songo Songo gas-to-electricity project, only came into being with contributor assistance.

Nowadays, a variety of oil and gas companies working in Tanzania, such as some of the giant oil player.

The nation, therefore, is based less on growth assistance for enhancing the oil market.

The change of the whole lawful and management structure that controls oil sources, which is continuous, indicates to a come back to a more effective part of the state.

The completions of Mtwara- Dar es salaam gas pipeline project in Oct 2015 plus the LNG place plan could put Tanzanian oil and gas sector t in the next level.

The attempt has been done by the govt to build up local content indication many Tanzanians would have fun with the whole sequence of oil and gas sector and the resources would benefit people and nation in common at the time production starts which is predicted at least in 2022.

There brighter days ahead for Tanzanian oil and gas sector

Hussein Boffu

Recent Graduate in Petroleum Geoscience

Hussein.Boffu@Tanzaniapetroleum.com

0655 37 65 43/0689955711

Tanzania finalises Land deal for delayed LNG project

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Jan 29 Tanzania said on Friday it had finalised a land acquisition for the site of a planned liquefied natural gas (LNG) plant and was now working to compensate and resettle villagers to move forward on a long-delayed project.

Tanzania’s natural gas reserves are estimated at more than 55 trillion cubic feet (tcf) and the central bank believes 2 percentage points would be added to annual economic growth of 7 percent simply by starting work on the huge plant that would draw in billions of dollars of investment.

BG Group, being acquired by Royal Dutch Shell , along with Statoil, Exxon Mobil and Ophir Energy plan to build the onshore LNG export terminal in partnership with the state-run Tanzania Petroleum Development Corporation (TPDC). They aim to start it up in the early 2020s.

Also Read:
2-Tanzanian boom towns for oil and gas investment

But their final investment decision has in part been held up by delays in finalising issues related to the site.

“After securing the title deed, the law requires the owner to pay compensation to the relevant parties based on a valuation done by the chief government valuer,” TPDC said in a statement.

TPDC now owns title deed for some 2,071.705 hectares of land that have been set aside for the construction of the planned two-train LNG terminal at Likong’o village in the southern Tanzanian town of Lindi, which is located close to large offshore gas finds.

Another 17,000 hectares of land around the site for the proposed LNG terminal has been allocated for an industrial park.

The land was bought from large landowners and some individual villagers.

Tanzania’s new president, John Magufuli, has promised more urgency in decision-making, responding to a frequent complaint from businesses. One example has been delays in finalising a site for the multi-billion dollar LNG plant that will exploit huge offshore gas finds.

Oil companies were unable to gain access to the site until the land purchase, analysts say.

“The next key thing to watch is how quickly a host government agreement is executed between the Tanzanian government, TPDC and IOCs (international oil companies),” Ahmed Salim, senior associate at consultancy Teneo Intelligence, said in a note to clients.

East Africa is a new hotspot in hydrocarbon exploration after substantial deposits of crude oil were found in Uganda and major gas reserves discovered in Tanzania and Mozambique.

Mozambique’s plans to build an LNG plant have moved more swiftly. With other LNG projects moving ahead around the world, the best deals for long term gas sales contracts will likely be secured by those who come on stream first, analysts say. (Reporting by Fumbuka Ng’wanakilala; Editing by Drazen Jorgic and Mark Potter)