Login

Lost your password?

Sign Up

Register

Login

Login

Lost your password?

Register

Monday, July 4, 2022
  • Home
  • Banking
  • Industry & Trade
  • Investing
  • Money Deals
  • Regional Markets
  • Tech & Biz
  • Countries
  • Opinion

Africa's
Investment
Gateway

The Exchange
  • Login
  • Register
Subscribe
This Month's Edition
Previous Editions
  • Home
  • Banking
  • Industry & Trade
  • Investing
  • Money Deals
  • Regional Markets
  • Tech & Biz
  • Countries
  • Opinion
No Result
View All Result
The Exchange
  • Home
  • Banking
  • Industry & Trade
  • Investing
  • Money Deals
  • Regional Markets
  • Tech & Biz
  • Countries
  • Opinion
No Result
View All Result
The Exchange
LOGIN
Swala Oin explores Kito-1 in Tanzania

Tanzania Petroleum Development Corporation

Swala Oil delays drilling of Kilosa-Kilombero until further notice

by Kawira Mutisya
May 9, 2019
in Countries, Economic Growth, Tanzania
0
Share on FacebookShare on LinkedIn

Tanzania’s Oil and Gas firm, Swala Oil has declared Force Majeure under the Kilosa-Kilombero Production Sharing Agreement (“PSA”).

What this means is that the firm will further delay its drilling programme as it awaits a review of existing PSAs.

Swala Oil is an oil and gas company with extensive interests in Tanzania and Burundi. Its current exploration operations include the Kilosa-Kilombero license in Tanzania with a 75 per cent participating interest, and Block D in Burundi with a 100% participating interest.

A statement from the firm notes that in 2018 the Joint Venture resolved the issues of permitting that had prevented access to, and drilling operations in, the Kilosa-Kilombero area. In late 2018 the Joint Venture commenced the tendering process to select drilling contractors and teams.

In January 2019 it selected a drilling team and started planning the 2019 drilling campaign. On the 30th January 2019 it was advised by the Ministry of Energy (MOE) that all matters relating to the licence extension would be notified to the Operator once the government had concluded a review of existing PSAs. Licence extensions are now automatic under the 2015 Petroleum Act (“the Act”) and do not require separate confirmation.

The process of reviewing the existing PSAs, which are themselves grandfathered under the Act, is unclear. Until that process has been concluded, the Joint Venture does not have the basis to ascertain what impact -if any – it may have on the timing and approach to not only the exploration drilling but to any subsequent development that may follow a successful exploration campaign.

Dr. David Mestres Ridge (Swala CEO) said: “Whilst we do not expect any significant or material changes to the PSA as a result of this review, the overall impact is to delay investments until the process is resolved.

“Until such time, the PSA will remain in Force Majeure whilst the Joint Venture maintains a readiness to re-commence its drilling commitments once all issues are resolved.” The statement concludes.

Swala holds assets in the world-class East African Rift System with a total net land package in excess of 14,000 km2 as well as a 7.93% interest in PAE PanAfrican Energy Corporation. New discoveries have been announced by industry participants in a number of licences along this trend that 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 and globally.

Read Also: Siemens invest in natural gas in Tanzania

Tags: Mining Oil and Gas in East AfricaOil and Gas in TanzaniaSwala Oil

STATE OF ECONOMY - GET THE REPORT

ASSESSING EAST AFRICA

Loading...

Kawira Mutisya

Yvonne Kawira is an award winning journalist with an interest in matters, regional trade, tourism, entrepreneurship and aviation. She has been practicing for six years and has a degree in mass communication from St Paul’s University.

Related Posts

Africa

Era of the African Passport: A mixed bag of opportunities?

July 4, 2022
Africa

Unlocking Africa’s gas riches: Nigeria-Morocco gas pipeline a game changer

July 2, 2022
Africa

Powering Africa: Renewables safest bet for sustainable future

July 2, 2022
Next Post
Head of Development Consulting and research at Hass Consult Ms Sakina Hassanali

Hass Consult banks on Riverside Drive for its mixed-use development

Kagera River-The Exchange

Tanzania and Uganda seal deal on Kagera Basin

Cyclone Idai impact in Mozambique-The Exchange

World Bank raises $700 million for cyclone Idai victims




This months edition

Features

Africa

Era of the African Passport: A mixed bag of opportunities?

by june njoroge
July 4, 2022
0

Despite the passage of numerous set deadlines, incessant delays exacerbated by the Covid-19 pandemic; after eight years since inception of...

Read more
Economic Growth

Era of the African Passport: A mixed bag of opportunities?

by june njoroge
July 2, 2022
0

Despite the passage of numerous set deadlines, incessant delays exacerbated by the Covid-19 pandemic; after eight years since inception of...

Read more
Sibongile Thobakgale. She is the area sales manager for South Africa at Aggreko Africa. www.theexchange.africa
Investing

Transforming manufacturing in Africa

by Opinion
July 1, 2022
0

From cement to food and beverages to metal production and processing, manufacturing organisations are looking for sustainable energy solutions to...

Read more
Wallace Manyara. He is the Business Development Manager, Region South & East Africa, Wärtsilä Energy. www.theexchange.africa
Investing

Renewables, gas cheapest ways to meet Mozambique’s electricity demand

by Opinion
July 1, 2022
0

To meet its growing energy needs and increase electricity access across the population, Mozambique must build 1.3GW of new power...

Read more
By 2030, tech financing in Africa will hit US$90 billion. African governments have a lot to do to reduce the risk of investing in tech startups. www.theexchange.africa
Tech & Business

Challenges and opportunities across Africa’s tech ecosystems

by Njenga Hakeenah
July 1, 2022
0

In addition, governments have to make things better for businesses. Currently, tech start-ups have to pay a lot to comply...

Read more

News

Banking
Industry & Trade
Investing
Money Deals
Regional Markets
Tech & Biz
Opinion

Countries

Kenya
Tanzania
Uganda
Burundi
Rwanda
Southern Africa
Ethiopia

More

My Account
Contact us
Advertise
About us
Help Center

Subscribers Center

E-paper
Premium Stories
Education Rates
Corporate Subscriptions
Weekely Newsletter

  • My account
  • About us
  • Advertise
  • Contact
  • Privacy Policy
  • Refund Policy – The Exchange
  • Sitemap

No Result
View All Result
  • Home
  • Banking
  • Industry & Trade
  • Investing
  • Money Deals
  • Regional Markets
  • Tech & Biz
  • Countries
  • Opinion
  • Login
  • Sign Up
  • Cart

© 2021 The Exchange - Powered by MediapixManaged by Supported by Digihandler,

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In