ARA Petroleum has disclosed that the Ministry of Energy in Tanzania (TPDC) has granted the company a 25-year Development Licence over the Ntorya gas discovery area to the Ruvuma joint venture. The gas development grant is sequel to the Field Development Plan (FDP) for the Ntorya area which has been submitted and approved by TPDC. Recently the Gas Sales Agreement was inked between the parties and APT has been told by TPDC that the Development Licence is imminent.
There is ullage in the nearby Madimba processing plant that will allow for the evacuation of significant volumes of gas. In addition to this APT are looking at additional markets for the gas such as fertilizer and/or gas to liquids.
ARA Petroleum is grateful for the support it receives from the Tanzanian authorities and very much looks forward to maturing this very promising asset at the earliest possible opportunity together.
“We are delighted to receive this licence from the Ministry of Energy and thank all the Tanzanian agencies involved in achieving this major milestone. We are ready to launch work immediately to bring this onshore development project into production,” said Erhan Saygi, General Manager of ARA Petroleum Tanzania (APT).
APT considers the area to yield a matured unaudited Contingent Resource estimate of 3.45 trillion cubic feet (tcf) of Gas Initially In Place (GIIP), with an mean unrisked GIIP potential of 16.4 tcf and a risked mean potential of 6.9 tcf for the wider Ruvuma JV area.
