Oil & Gas

A research project under the strategic Eyasi Wembere initiative has uncovered promising oil potential in Tanzania’s East African Rift Valley. The project, aimed at exploring oil and gas reserves, marks a major step toward energy independence. Deputy Permanent Secretary of the Ministry of Energy, Dr. James Mataragio, confirmed that the findings indicate the basin has commercial potential. His statement came during an inspection visit to the project site in Karatu District, Arusha Region.
Dr. Mataragio explained that research began in 2015, leading to the collection of extensive geological and geophysical data. Analysis revealed rock formations capable of storing oil, confirming the basin’s viability. The project’s early stages involved aerial surveys and shallow drilling that cost about 8 billion shillings, followed by seismic surveys covering 260 kilometres at a cost of 10 billion shillings. The second phase, which spans 914 kilometres, carries a projected cost of 43 billion shillings, with nearly half of the work already completed.
According to Dr. Mataragio, successful oil production would reduce Tanzania’s reliance on imports, save foreign currency, and enhance energy security. He emphasized that the project is strongly driven by local participation, with 90 percent of the workforce being Tanzanian. This not only boosts local employment but also strengthens technical capacity within the national energy sector. The Deputy PS also directed the Tanzania Petroleum Development Corporation (TPDC) and its contractor, African Geographical Services (AGS), to ensure the project meets its April 2026 completion deadline, continuing operations even during the rainy season.
TPDC’s Director of Exploration, Development, and Production, Geologist Paschal Njiko, confirmed close supervision of AGS to ensure timely completion. AGS Chairman, Salum Haji, reiterated the company’s commitment to delivering on schedule, recognizing the project’s national importance. Local residents, such as beneficiary Biru Benjamini, highlighted the project’s social benefits, particularly in providing employment and skills training for youth in the region.