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The United Republic of Tanzania

Tanzania Investment Centre

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Oil and Gas


There have been several gas discoveries on the coastal shore of the Indian Ocean at Songosongo, Mnazi bay and Mkuranga in Coast Region. These discoveries are catalysts of natural gas developments in Tanzania. Currently there are 22 Oil Companies undertaking exploration activities for oil and gas in the country. These companies include: BG Group, Statoil, Petrobas and Ophir Energy. Tanzania is becoming a regional hub after flurry of discoveries, it is said to be blessed with over 41.7 trillion cubic feet of gas reserves at the latest estimates.

Quick Facts

  • Gas discoveries in Tanzania are catapulting the region into a major player in the global energy,
  • Expected to bring billions in investment that could transform the entire economy.
  • East Africa's coastal region, stretching out to Seychelles holds 441.1 trillion cubic feet of natural gas, (US Geological Survey), Tanzania alone, over 54 trillion cubic feet.
  • There are still numerous deep-sea blocks that are yet to be explored at which Tanzania Petroleum Development Corporation (TPDC is inviting oil and gas companies and other specialized investors to participate in the exploration of hydrocarbons in Tanzania.
  • Companies may apply for tendered out blocks for available blocks, successful companies will be invited to negotiate a Production Sharing Agreement (PSA)
  • Currently, an open acreage includes: i. Deep offshore sedimentary basin comprising of 7 blocks, each with average size of 3,000 sq. km, that are located between 2,000 meters to 3,000 meters of water depths from 20° 30’E to 41°40’E and 7°30’ to 9°00S
  • ii. North lake Tanganyika block located offshore on the western arm of the East African Rift System. The Deep offshore blocks have a good coverage of modern regional 2D seismic data, which can be viewed at the ION GX Technology of Huston, Texas and WesternGeco of UK.

Available Opportunities

  • Domestic Production and Marketing of Liquefied Natural Gas (LPG).
  • Domestic Manufacturing of LPG cylinders, valves and regulators, installation of filling plants, retail distribution and development of simple, flexible and less expensive gas burners to encourage the use of gas instead of wood.
  • Establishment of processing plants and industries for the production of; refined mineral oil, petroleum jelly and grease, fertilizers ; bituminous based water / damp proof building materials e.g. roofing sheets, floor tiles and tarpaulin
  • Establishment of chemical industries e.g. distillation units for the production of Naphtha and other special boiling point solvents used in food processing.
  • Development of petrochemicals industries.
  • Establishment of LNG Projects.
  • Small-scale production of chemicals and solvents e.g. chlorinated methane, Formaldehyde, Acetylene etc. from natural gas.
  • Crude oil refining with efficient export facilities.

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