TZ to auction 26 oil, gas blocks next week
MOROGORO: THE Petroleum Upstream Regulatory Authority (PURA) is set to auction 26 oil and gas blocks next week in Dar es Salaam, a strategic move that aims to attract investors and boost economic development in the country.
PURA’s Director General, Engineer Charles Sangweni announced this recently in a briefing to the Deputy Minister of Energy, Judith Kapinga, during the opening of the second PURA Workers’ Council meeting in Morogoro.
This will be the fifth such auction in Tanzania, with previous ones held in 2000, 2004, 2008, and 2013. The 2013 auction led to the discovery of gas reserves currently utilised in various parts of the country.
“The fifth licensing round for oil and gas exploration blocks is expected to be launched in March 2025 in Dar es Salaam during the East African Petroleum Conference and Exhibition (EAPCE’25),” said Eng Sangweni.
According to Eng Sangweni, the fifth licensing round will be launched during the East African Petroleum Conference and Exhibition, taking place in Dar es Salaam from March 5-7 this year.
“Towards the fifth licensing round, PURA has already checked off key activities including the acquisition of a geophysical multiclient company by the name TGS ASA; a company well versed in petroleum data processing and promotion of petroleum exploration blocks,” he said.
Eng Sangweni further explained that of the 26 blocks to be auctioned, 23 are located in the Indian Ocean and three in Lake Tanganyika.
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“PURA has also finalised demarcating blocks. A total of 26 blocks will be featured, out of which 23 are in the deep offshore of the Indian Ocean and three (3) are in Lake Tanganyika” Eng Sangweni said.
Following the auction, PURA expects to secure investors by the end of 2025, an investment that is anticipated to benefit both the citizens and the nation.
On the other hand, Eng Sangweni also highlighted challenges facing PURA, including limited opportunities for long-term staff training due to financial constraints.
For her part, Deputy Minister for Energy, Judith Kapinga, instructed the leadership and employees of the Authority to continue working diligently and ensure that the fifth round of oil and natural gas exploration block sales yields positive results.
Ms Kapinga said that the Ministry of Energy recognises the significance of the Fifth Round of auctioning of oil and natural gas exploration blocks in the country and acknowledges the extensive efforts already made to attract more investment in oil and gas exploration activities.
“If you continue to attract investment through the Fifth Round of block auctioning, which will be launched along with the existing benefits, you will be advancing President Samia Suluhu Hassan’s efforts to further open up Tanzania economically and attract more investment,” said Kapinga.
