Tanzania
Equinor started exploration drilling activities in Block 2 Offshore Tanzania in 2011. A total of 15 exploration wells have been drilled, resulting in nine discoveries with estimated volumes of more than 20 Tcf of gas in place.
How to find us in Tanzania
Dar es Salaam
429 Mahando street
Block A
Msasani Peninsula
Dar Es Salaam
United Republic of Tanzania
Tel: +255 684 226203 / +255 764 958550
Our activities in Tanzania
An exciting exploration area
Equinor has been in Tanzania since 2007 when the company signed a Production Sharing Agreement (PSA) for Block 2 with Tanzania Petroleum Development Corporation (TPDC).
Equinor Tanzania is the Operator with 65% participating interest while ExxonMobil is partner with a 35% working interest. TPDC has the right to participate with a 10% interest.
Major gas discoveries have been made offshore Tanzania and the country is emerging as a potential large gas producer in East Africa.
Equinor started exploration drilling activities in Block 2 Offshore Tanzania in 2011. A total of 15 exploration wells have been drilled, resulting in nine discoveries with estimated volumes of more than 20 Tcf of gas in place.
Preparing for Tanzania gas future
Host Government Agreement - HGA
The goal for the HGA is to ensure long term benefits to Tanzania, a commercially viable and financeable project and long-term stability and confidence for the international investors. The HGA will establish the fiscal, legal and commercial terms for the Onshore part of the LNG Project, just as the PSA defines these items for the Offshore part of the project.
Land for the Tanzania LNG project
Equinor together with its partners in Block 2 continue to work with the government of Tanzania to advance the project by developing a legal, fiscal and commercial framework that will enable the LNG project to become a reality.
Following an extensive site selection process in 2013, a site was identified in the Lindi region to host the onshore LNG plant once the final investment decision is made by the investors. TPDC is the licence holder for the offshore Block 2 and the land title holder for the selected LNG site.
In May 2020, TPDC, as the company responsible for the acquisition of the LNG site, commenced the compensation process for the affected communities at the LNG site consistent with Tanzanian law.
An independent third-party is closely monitoring TPDC’s compensation and relocation process against the Tanzanian law and the commitments included in the Resettlement Environmental Impact Assessment (REIA).
Throughout TPDC’s compensation and relocation process, Equinor and its partners maintain dialogue with the relevant authorities. In line with UN guiding principles for business and human rights, Equinor is assessing impacts from this process to define mitigating actions toward the impacted communities.
If an investment decision is ultimately made, this process will be reviewed in the context of international best practice principles.
Capacity Building
Equinor has an ambition wherever possible to utilise local resources during the different phases of the project. Our initial assessment of available resources has indicated very low numbers. Since then we have embarked in several initiatives for capacity-building to facilitate knowledge building, skills building and academic qualification. Here are examples of such initiatives.
Stakeholders Seminars
Since June 2015, Equinor Tanzania has been running a special programme which consists of seminars for various stakeholders including government, NGO, CSOs and the private sector. The aim of this programme has been to build understanding and raise awareness on the gas value chain and the proposed LNG project to our key stakeholders. Equinor believes that if our key stakeholders and the community improve their understanding of the project, expectations will become clearer and more manageable.
The participants of these seminars meet once a week for four weeks to learn about the gas project from discovery to sales. After the four sessions, participants receive a certificate to certify their participation in the course. So far more than 450 workers from various government and private institutions have participated in the programme. The feedback from the participants has been positive and gives an indication that they will share the learnings to others in their organisations. This programme is ongoing, and we aim to reach as many people as possible.
ANTHEI programme
One of Equinors flagship programmes in Tanzania is the Angola Tanzania Higher Education Initiative (ANTHEI) which provides for institutional strengthening of University of Dar es Salaam Department of Chemical and Mining Engineering where Petroleum Engineering studies are housed, apart from funding petroleum engineers, geoscientists and project managers. To date we have trained over 64 petroleum geoscientists, engineers and project managers, many of whom have proceeded to secure employment inside and outside of Tanzania in the Energy sector.
Some of the Alumni of the ANTHEI programme are currently working for some of Equinor’s operations in Norway, and others were equally engaged in our recent operational activities in Tanzania.
Masters of Finance in Oil and Gas
In 2014, UDBS in partnership with UIS developed the Master programme in Finance and Accounting in Oil and Gas (MFA-OG) The objective of this programme was to enable the universities to educate personnel relevant for the petroleum industry in Tanzania in finance, accounting and economics, and provide foundation for future research activities. The Masters programme was officially launched in 2015. In addition to supporting the programme development, Equinor has offered scholarships to students. As of 2018, 13 students have graduated, and 113 have enrolled.
Creating lasting local opportunities in Tanzania
In Equinor, we define sustainability as responsible social, environmental and economic performance balancing business resilience. Our sustainability efforts in Tanzania are based on the pillars of environment, local content and capacity building.
An example of how we work in Tanzania on the environment can be clearly demonstrated through our approach towards environmental management in our operations. Legislation in Tanzania stipulates the need to undertake a full environmental and social impact assessment prior to commencing operational activities.
The outcome is an Environmental Impact Statement (EIS), which upon completion is available in the public domain. This document can be accessed via the National Environmental Management Council (NEMC) in Tanzania or via the link below.
Youth Empowerment
The Entrepreneurial Heroes of Tomorrow is a business plan competition that has been conducted by Equinor Tanzania as a pilot project in Mtwara and Lindi to promote local entrepreneurship. There is a need for shift in focus for employability to self-employment, turning youth from job seekers to job creators through entrepreneurship.
The direct goal of this exciting programme is to promote entrepreneurial spirit and create role models in Tanzania who will combat the negative perception of entrepreneurship. The emerging sector of oil and gas in Tanzania provides a platform for youth to take part in the opportunities emerging from the industry and ultimately see results through successful new businesses in the southern region of Tanzania.
Nassibu Hamibu Lilumba, winner of the Heroes of Tomorrow entrepreneur competition in Tanzania.
The programme was established in 2014 and by 2016 more than 250 youth in Mtwara and Lindi were trained on entrepreneurship through this initiative. The first round of the competition had five winners while the second round saw 10 youth from Mtwara and Lindi emerging as winners. By 2018, more than 15 new businesses have been established in Mtwara and Lindi thanks to this programme.
Computer laboratory and Mtwara Regional Library
Our Heroes of Tomorrow Business Competition goes hand in hand with a flagship project in the local community. In 2014 we donated a fully-equipped computer library to the Stella Maris University in Mtwara. This enabled the students to access the IT network to support their studies.
In 2015 we renovated the Mtwara Regional Library which had not been renovated since 1970’s. In addition to the refurbished library, we also donated 900 books. Since the reopening the number of students and young people visiting the library has increased.
Working with local communities
Neglected tropical diseases programme
Since 2015 Equinor has been supporting the Neglected Tropical Diseases Program (NTDP) in Mtwara and Lindi. NTDP is under the National Institute for Medical Research (NIMR). The goal of project is to improve the health and engage with the local community in Lindi and Mtwara. From 2017, the project focused in Lindi where the onshore LNG plant is expected to be built. Between 2015 to 2018, more than 640 hydrocele and inguinal hernia patients underwent surgeries.
Equinor Tanzania has established this programmatic approach to engaging with local communities in our areas of operations based on the principles of shared value. This programme provides a platform where we can engage with the regional government and local stakeholders, while meeting some needs of the communities in which we work. This is in line with SDG’S and addresses particularly Sustainable Development Goals (SDG) No. 1: No poverty and 3: Good health and well-being.
Safety at sea
Equinor in cooperation with the Dar es Salaam Maritime Institute (DMI) conducted training for fishermen in Mtwara in 2015 with the aim to provide fishermen with the appropriate techniques and skills to ensure their safety and that of their fishing vessels while at sea. The training also aimed at building awareness on the offshore oil and gas activities that are taking place deep sea. In two years (2015 and 2016), 200 fishermen took part in this training. DMI develops marine expertise and produces competently trained and qualified maritime personnel for the Eastern Africa region and the world at large. It has standards for training and certification for all persons working at sea.