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An update on Tanzania from the operator of the Kiliwani North Development Licence (BUY 10%) & Nyuni Area PSA (BUY 5%) from their announcement today:


In Tanzania, we continue to concentrate on the near-term appraisal, development and commercialisation of our two gas discoveries as well as advancing existing exploration opportunities. The major new regional gas pipeline project in Tanzania is moving forward according to plan. 36" line pipe for the 540 km pipeline is now in-country and we have been informed by the Tanzanian authorities that first welding of pipe sections commenced on Monday 26 August 2013. Also in August 2013 in Dar es Salaam we were in intensive gas sales negotiations with the Tanzanian Petroleum Development Corporation ('TPDC') which are expected to reach a satisfactory conclusion in the near future. As well as the pipeline itself, two treatment plants are being constructed, in the extreme south-east of the country approximately 30 km from our Ntorya-1 discovery and on Songo-Songo Island less than 2 km from our Kiliwani North Field. Materials for connecting Kiliwani North to the plant are already in inventory and further investment to tie in this field will be minimal. The pipeline is due to be commissioned late next year and, as previously reported, we anticipate first commercial production from Kiliwani North in early 2015. This will be a major step forward for Aminex and the first new gas production to come onstream in Tanzania for a long time.


At the Nyuni Area PSA, our current area of high interest is the deep water, 'outboard' section of the concession where we are planning to carry out a 3D seismic survey when this can be arranged into the schedule of an appropriate seismic vessel working in the region. Our earlier exploration work at Nyuni mainly pre-dates the world-class offshore gas discoveries which have recently been made to seaward of us. However, following the success of larger companies in the deep water, we have reviewed Nyuni and the feasibility of exploring in the deep water. We now believe that there could be high prospectivity in the deep water sector of our existing acreage.