Oil & Gas


TANZANIA: PURA AND M&P DISCUSS UPCOMING NATURAL GAS DRILLING PROJECT AT MNAZI BAY.

JUMA SULEIMAN
2 months, 1 week

The Petroleum Upstream Regulatory Authority (PURA) convened a significant meeting with Maurel et Prom Exploration Production Tanzania Ltd (M&P), the operator of the Mnazi Bay Block, to discuss an upcoming project involving the drilling of three natural gas wells. This meeting took place on September 30, 2024, at PURA's offices in Dar es Salaam, and was led by PURA officials, including Mr. Simon Nkenyeli, the Manager of Exploration and Production, alongside M&P’s General Manager, Mr. Sylvain Pichelin.

During the discussions, M&P provided crucial insights into the project budget, estimated at $80.2 million, which is a prerequisite for PURA to grant expenditure approval. The project entails drilling two production wells (designated as MB5 and MS2) and one exploration well named Kasa. With the environmental impact assessment already completed, the next steps involve initiating compensation processes for those affected by the project, pending final verification.

PURA and M&P also focused on the importance of local participation in the project. PURA emphasized that M&P must adhere to local content regulations, ensuring that Tanzanians and Tanzanian service providers are actively involved in all aspects of the project. The regulatory authority is committed to closely monitoring the implementation process to foster meaningful engagement with the local community.

The Mnazi Bay Block currently hosts five operational wells that collectively produce an average of 74.24 million standard cubic feet of natural gas daily as of September 2024. M&P holds a 60% stake in production activities, while the Tanzania Petroleum Development Corporation (TPDC) maintains a 40% interest. The upcoming drilling initiative is expected to sustain production levels and yield valuable geological data, enhancing understanding of the reservoir in this vital region.


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