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May 24, 2013

Mradi wa Gesi na Mafuta-Mtwara, Serikali ina siri gani na Wawekezaji??!!

Mradi wa Gesi na Mafuta Mtwara Serikali inawauzia wananchi wake mbuzi kwenye Gunia??!! 
Haya ni maneno ya Waziri wa Nishati na Madini Mh. Prof. Sospeter Muhongo alipohojiwa na waandishi wa Habari alipokuwa Cape Town mwezi February 08, 2013 
By Franz Wild
February 08, 2013 5:30 AM EST 
Tanzania is set to award exploration permits to Total SA, Europe’s third-largest crude producer, to search for oil and gas in the East African country, Energy and Minerals Minister Sospeter Muhongo said.
The company, based in Paris, “has approached us and we are going to issue licenses to Total” to explore in Lake Tanganyika, on the border with Democratic Republic of Congo, Muhongo said in an interview yesterday in Cape Town. The permits will be issued in the “next few months,” he said.
BG Group Plc, a U.K. explorer, and Statoil ASA, Norway’s biggest energy company, are among companies searching for gas in Tanzania, where an estimated 33 trillion cubic feet of the fuel has already been found. Along with neighboring Mozambique, where explorers made the biggest discovery of the decade, more than 100 trillion cubic feet of reserves have been found, enough to meet global demand for a year.
Tanzania plans to create a sovereign wealth fund that will use growing oil and gas revenue to finance development projects in East Africa’s second-biggest economy, Muhongo said. The fund may also invest in company shares to accumulate wealth, he said.
“We should have a fund whose accessibility is somehow very restrictive and the utilization of the resources are for good intentions,” Muhongo said.
The government has “just” completed a second draft of a policy document for the gas industry that’s aimed at improving revenue management, Muhongo said. After feedback from the general public and companies has been incorporated, parliament is expected to vote on the policy, which hasn’t been updated since 1980, before the end of the year, he said.

Licensing Round

Muhongo on Sept. 3 ordered the Tanzania Petroleum Development Corp. to delay the country’s fourth international licensing round for offshore oil and gas blocks until after the policy is ratified. Nine blocks were to have been auctioned on Sept. 13.
“We have emphasized in this document that natural gas has to be of benefit to the citizens of this country,” Muhongo said. “Secondly, that the resources will be used wisely for today and for future generations and that the gas economy will be integrated in the national economy.”
Among the benefits Tanzania hopes to draw from its natural gas wealth is to more than double electricity production to 3,000 megawatts by 2015.
Tanzania last year received a $1.2 billion loan agreement from the Export-Import Bank of China to build a 500-kilometer (311-mile) pipeline from the coastal town of Mtwara to Dar es Salaam, the commercial hub, where it will feed proposed power plants. The conduit will be completed on schedule in 18 months, even after protests by residents of Mtwara last month over the planned location of the power plants, Muhongo said.

‘Ill Informed’

“All these demonstrations are by ill-informed people, they are not in the national interest,” he said. “Nothing will change. It is on schedule.”
The Tanzania Electric Supply Co., Tanzania’s state-owned power utility, is also in negotiations with Citigroup Inc. and other international lenders to secure funding to build six gas- powered electricity plants and 400-kilovolt transmission systems, he said.
No one was immediately available for comment at Total when Bloomberg called the company’s Paris headquarters today.
To contact the reporter on this story: Franz Wild in Cape Town at fwild@bloomberg.net
To contact the editor responsible for this story: Nasreen Seria at nseria@bloomberg.net

Soma kwa makini nyaraka hizi zilizotolewa kwa nyakati tatu tofauti na serikali ya Tanzania
1. Oct 12, 2011;

President Jakaya Kikwete on Wednesday received a comprehensive plan report of a multibillion power project which will connect six more regions to the national grid. The 300MW project, involving 300KV High Voltage Direct Current, will cost 684m USD (over 700bn/-) and will be financed jointly and through a loan from Exim Bank of China and the government of Tanzania.

A statement issued by the Directorate of Presidential Communications said the President received the report from two international companies, China National Machinery & Equipment Import & Export Corporation (CMEC) of China and Siemens of Germany. The two companies are jointly expected to build a power generation plant using natural gas from Mnazi Bay in Mtwara region and to construct a 1,100 km transmission line from Mtwara to Singida region. Power will be fed into national grid and from Singida, it will be transmitted to Kagera, Kigoma and Rukwa regions. This will significantly increase power availability in the regions' mines.

According to the report, apart from the three regions, electricity generated from the project will also be transmitted to Lindi and Mtwara regions which are yet to be connected to the national grid. Upon completion of the project, plus another project financed by Swedish government, to connect Ruvuma region to the national grid, it will also complete the fourth phase government's plan of connecting all regions in the national grid.

Receiving the report president thanked the ministries of Finance and Economic Affairs, and Energy and Minerals and TANESCO for reaching signing agreements for implementation of the project which will increase availability of reliable power especially in this time of power rationing caused by drought.

2. September 2012;
Tanzanian pipeline construction inaugurated - Pipelines International

The Government of the United Republic of Tanzania officially inaugurated the construction of the approximately 532 km long Mnazi Bay to Dar es Salaam Gas Pipeline Project in July 2012.

The project involves approximately 532 km of gas pipeline from Mnazi Bay in the Mtwara region and Songo Songo in the Kilwa District, to Dar es Salaam, with a 36 inch main line and one 24 inch spur line.

The pipeline will have a capacity of 784 MMcf/d of gas, to be used for the production of 3,900 MW of electricity. On completion, the project will allow the Mnazi Bay Concession partners and others to transport natural gas to large-scale electricity producers, and other industrial users and major population centres in Tanzania.

The start of construction comes after the Tanzanian Finance Minister Dr William Mgimwa outlined funding plans for the Mtwara to Dar es Salaam pipeline in his presentation to the National Assembly on the 2012–13 budget in June 2012.

Dr Mgimwa said that the Government expects to borrow US$ 746 million worth of external non-concessional loans, which will be used to finance various development projects, including the pipeline.

Specifically, Dr Mgimwa said that the Government will implement the construction of the pipeline using a US$ 1,225.3 million loan from the Export-Import Bank of China, which will be managed by the Tanzania Petroleum Development Corporation.

Pipeline proponent Wentworth Resources Limited, an independent oil and gas company with gas production and a committed exploration programme in the Rovuma Basin of southern Tanzania and northern Mozambique, said that, on completion, the project will allow the Mnazi Bay concession partners and others to transport natural gas to large-scale electricity producers, other industrial users, and major population centres in Tanzania.

“Since the discovery of the Mnazi Bay gas field in 1982, the substantial gas resources in this concession have been effectively ‘stranded’,” said the company, adding that gaining access to the greater markets of Tanzania is expected to allow full production from Wentworth’s existing and future gas wells.

The company said that currently three of four existing wells are being worked over to maximise their long-term productivity.

The outcome of this work will provide a basis for concluding an immediate Gas Sales Agreement to supply the pipeline and for future development of the Mnazi Bay and Msimbati gas fields.

Wentworth Executive Chairman Bob McBean said “[The project] is the beginning of Tanzania’s future as a significant gas producing country and we are proud to be a partner in this endeavour.”

Construction began immediately and is expected to take 12–14 months to complete.

3. $1.2b project to end Tanzania power rationing

Tanzania is laying a 500km (532 km) pipeline and constructing infrastructure to generate electricity from gas in a Tsh1.8 trillion ($1.225 billion)

President Kikwete was the Minister of Energy and Minerals when the generation of electricity from gas began in the country.

By 2015, the plant will be generating 2,785MW (together with the existing pipeline and generators the production will be over 3900 MW) “which will not be very far from the target of 3000MW (get the facts right that pipeline will increase Tanzania capacity to over 3900 MW).

Tanzania is laying a 500km (again it is 532 km) pipeline and constructing infrastructure to generate electricity from gas in a Tsh1.8 trillion ($1.225 billion) project that is expected to help the country meet all its power needs.

On Thursday, President Jakaya Kikwete launched the construction of Mnazi Bay and Songosongo Natural Gas processing plant and a transportation pipeline. He directed Tanzania Electric Supply Company (Tanesco) to start building the power processing plants.

President Kikwete was the Minister of Energy and Minerals when the generation of electricity from gas began in the country.

As he inaugurated Tanzania’s most expensive project ever, the President said the country would take full advantage of its resources, including coal, uranium, solar and wind (you forgot geothermal the highest potentials in the region based on the volcanic activities and existence of two arms of The Great East African Rift Valley in TZ can testify this), to generate electricity.

The project by China National Petroleum Corporation, and which is being financed through a loan from China’s Exim Bank, is expected to generate 990 megawatts when it is completed in 2014.

Minister for Energy and Minerals Sospeter Muhongo said the electricity will be generated using four generators — two with a capacity to generate 300MW each, and two to generate 150MW and 240MW respectively.

The large diameter of the pipeline is expected to increase the transportation capacity of natural gas for power generation as well as industry and domestic use.

The project involves the construction of a 24-36 inch diameter pipeline from Mnazi bay in Mtwara, connected at Somanga Fungo with SongoSongo gas field in Lindi region, and then on to Dar es Salaam.

A 24-inch pipeline will then be constructed from Mnazi Bay to Somanga, and the existing 16-inch pipeline between Somanga and Dar es Salaam expanded to 36 inches. It will have the capacity to transport 210 million cubic feet of gas a day, up from the current 105 million cubic feet. The existing 16-inch natural gas pipeline from SongoSongo to Dar es Salaam — owned by private investors — has been facing capacity constraints amid growing demand for gas and energy.

At the launch, a gas expert told The East African that it would be economical to scale down on using gas to generate electricity “once our hydro power stations stabilise, and increase the use of gas for other economic activities because it (hydro) is still the cheapest energy option, and only expensive during installation.”

President Kikwete said, “In Singida region it has been discovered that winds there are faster than anywhere in the world, thus we are also developing this resource to give us 300MW of electricity,” he said, adding that the country will also use the natural gas to make plastics, fertiliser and other products.

Chinese Ambassador to Tanzania Lu Youqing said the funding provided to Tanzania was the biggest single loan disbursed by them to an individual country for an infrastructure project.

“The company to implement the project isn’t new to such ventures as it has the requisite experience, and I am confident completion of the 500km (again 532 km) line and the infrastructure at Kinyerezi will be done within the 18 months of the project schedule,” he said.

Last month, Tanzanian Prime Minister Mizengo Pinda said the country would take advantage of the recent offer by China to provide a $20 billion credit line to African countries to assist them in developing infrastructure, agriculture, manufacturing and medium-size enterprises.

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