Dar es Salaam, September 22, 2023 - Prime Minister Kassim Majaliwa Majaliwa has called on the Petroleum Upstream Regulatory Authority (PURA) to expedite the licensing round for auctioning petroleum exploration blocks in Tanzania. The Prime Minister made this appeal on September 20, 2023, during his visit to the PURA booth at the recently concluded two-day Tanzania Energy Congress held at the Julius Nyerere International Convention Center (JNICC) in Dar es Salaam.
In his address, Prime Minister Majaliwa stressed the importance of attracting investors to engage in the exploration and production of oil and gas in the country, emphasizing the potential benefits for the nation. He stated, "I urge you to speed up the process of auctioning our blocks so that we can attract investors in the exploration and production of oil and gas in the country for the benefit of our nation."
Providing an update to the Prime Minister, PURA's Director General, Engineer Charles Sangweni, highlighted that the Authority is actively working on the preparations for the upcoming fifth licensing round, which includes both onshore and offshore exploration blocks, aiming to enhance investor interest.
Engineer Sangweni disclosed that a total of 26 blocks have been earmarked for inclusion in the proposal for the licensing round, with 15 located onshore and 11 offshore. He further revealed that the government anticipates launching the Licensing Round between December 2023 and March 2024, pending the successful completion of the ongoing preparatory activities.
Notably, the process of auctioning these exploration blocks is estimated to require a total of 3.5 billion Tanzanian Shillings. Furthermore, for the fiscal year 2023/24, the government, through PURA, has allocated 500 million Tanzanian Shillings for the initial preparatory work for the auction.
The Prime Minister's call to expedite the licensing round reflects the government's commitment to leveraging its natural resources for the benefit of the Tanzanian people and the nation's economy. As preparations continue, all eyes will be on the upcoming licensing round, which is poised to attract significant interest from domestic and international investors in Tanzania's burgeoning oil and gas sector.