Swala to begin exploratory drilling in Kilombero basin in September this year.
Image credit:Tanzania Invest.
SWALA Oil and Gas Tanzania Plc will begin exploratory drilling for oil in the Kilombero basin in the next seven to eight months,both government and the company has confirmed.
The Minister for Energy Dr.Medard Kalemani told the parliament that the project awaitscompletion of an Environment Impact Assessment(EIA) report from the National Environment Management Council (NEMC) and the Tanzania Wildlife Authority (TAWA).
“We expect the drilling work to start anytime from September, 2018,” he said, noting that the contract to that effect between the Tanzania Petroleum Development Corporation (TPDC) and the investor was signed since February 2012.
He refuted reports that the contract leading to the investment and subsequently drilling of the oil had not been signed and officers at the state-owned corporation TPDC were holding back the documents.
Dr Kalemani said the Production Sharing Agreement (PSA) was signed in 2012 and the investment will be at Ipera Village in the Kilombero basin, Morogoro Region.
He said the government under TPDC has frequently been holding public awareness campaigns to the citizens surrounding the investment site and that more campaigns will be launched through local radio station and newspapers.
The hydrocarbon exploration had indicated that the basin has possible reserves of between 55.2 million and 547 million barrels.
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