Consumer durables is a cataloguing of consumer goods that are not essential to be bought very often as they are fashioned in a way so as to last for an extended period of time. Profits in the consumer durables sector were most profoundly…
BMI View: Tanzania continues to be an attractive prospect for investment, as a result of its gas-rich
offshore resources. A 'lower-for-longer' oil price scenario and sustained downward pressure on LNG prices
pose risks to FID on Tanzania's LNG export project. Continued fiscal and regulatory uncertainties are also
a threat and could push first exports beyond our 10-year forecast period. Without the project, it is unlikely
that a significant portion of the country's offshore assets will be developed in the near or medium term.
Consumption growth looks strong for both refined fuels and gas, albeit from a comparatively low base. Gas
consumption will be met domestically, but a lack of refining capacity will see an increased reliance on
Latest Updates and Key Forecasts
? Ongoing uncertainty regarding the country's oil and gas regulations remains a key hurdle for investors,
despite significant offshore gas resources. Based on the new model production sharing agreement,
companies may expect higher taxation, an expanded role for the state and more stringent local content
? The Tanzanian Petroleum Development Corporation has extended Aminexs' Mtwara licence by one
year. The company plans to drill the Ntorya-2 appraisal well over this time period, followed by an
application for a 25-year development licence if drilling proves positive.
? After minor delays, Aminex announced that production began at the Kilwani North field in early April
2016. The company believes that optimal production rates will be around 30mmcf per day.
? As of September, Tanzania will adopt the bulk procurement system for the import of liquefied petroleum
gas (LPG). Bulk procurement was brought in to make the importat of petroleum products easier, help
regulate prices and promote efficiency in the sector.