Tanzania moves to unlock Tanga oil and gas play

The government of Tanzania has approved the assignment of the majority stake in the Tanga block to Octant Energy Tanzania in a bid to begin oil and gas exploration activities, Upstream Online reported on Monday.

Under the deal, the Canadian E&P player will take 74% interest in the block, with Petrodel Resources holding the remaining shares.

The shares were previously held by Afren Tanzania who liquidated its shares in 2015 due to insolvency.

The licence is now in its last three-year period, with the new partners intent on reprocessing 3D seismic data acquired as far back as 2013 to reassess commercial potential of the play.

The block is located in northern Tanzania and contains both onshore and offshore areas.

According to Petrodel Resources, the play contains potential in Lower Cretaceous sands, Upper Cretaceous submarine fans, Eocene shelf sands and Miocene fluvial and deltaic sands.

Petrodel took over the licence in 2006 along with the local Latham and Kimbiji blocks.