Page 12 - AfrOil Week 05 2020

AfrOil PERFORMANCE AfrOil
 e reform programme provided for the estab- lishment of a new system for bulk procurement of re ned fuels, he said.
Tanzanian ports are now capable of han- dling up to 255,000 tonnes per year (tpy) of petroleum products, he added. Dar Es Salaam has the capacity to import 165,000 tpy of fuel, while Tanga and Mtwara can import 45,000 tpy each, he said.
Kalemani went on to say that Tanzania had actually reduced the volume of kerosene in its domestic inventories from 800,000 litres to 600,000 litres. e country does not need to store as much kerosene as it used to do because demand for this type of fuel is dropping, he noted. Many of the consumers who once used kerosene have now established connections to
electricity networks with help from the Rural Energy Agency (REA) or have started using solar energy, he explained.
e minister went on to say that the expan- sion of fuel reserves would benefit PUMA Energy, which is 50% state-owned, by ensuring its ability to satisfy consumer demand. He also urged the company to build new retail outlets in Tanzania’s rural areas.
“[ e] company should think of penetrat- ing up-country hinterlands to open lling sta- tions in [the] Katavi, Mara and Simiyu regions, among others, because that is where most Tan- zanians live,” he said. Doing so will “add more revenue to the company and [deliver] more taxes and dividends to the government,” he commented.. ™
POLICY
Algerian protesters criticise plans to develop shale gas
ALGERIA
OPPOSITION groups in Algeria have begun voicing objections to the government’s plans to explore and develop domestic shale gas reserves.
Algerian university students first raised the issue during a street protest on January 24, when they called for the national oil company (NOC) Sonatrach to halt work at shale gas elds. According to the Arab Weekly, the topic inspired mass chants, with demonstrators call- ing out: “ ere is no tapping of shale gas. Tell France to do it in Paris!”
( e latter part of the chant appears to have been a reference to Sonatrach’s talks with foreign investors on the prospects for setting up joint ventures for the exploration and development of unconventional gas elds.)
The NOC’s plans also drew criticism at a separate protest on January 28. Asharq Al-Aw- sat reported afterwards that protesters had denounced Algeria’s current government for what they called “selling the country’s wealth.”
e newspaper also quoted sources close to the government as saying that Sonatrach had responded to these criticisms by suspending its work at shale gas elds. As of press time, how- ever, these reports could not be con rmed.
Demonstrators began raising the subject of shale gas shortly after Algerian President Abdelmadjid Tebboune said during a televised press conference that he favoured proposals for exploiting domestic shale gas reserves, which he described as a potential source of new revenue.
Sonatrach has good reasons to focus on unconventional gas, Tebboune told reporters. Algeria produces more gas than oil, and its shale gas reserves appear to be among the largest in
the world, he said. e country would bene- t from the development of these reserves, he asserted.
“I do not understand why some people oppose tapping shale gas while they advocate for borrowing money from abroad. Why?” he remarked.
e president also said that Sonatrach was ready to work with outside investors on uncon- ventional gas projects. “The door is open to those who want to bene t from the country’s shale gas,” he stated.
“Algerians should know that shale gas is buried wealth, and if we want to raise people’s standard of living, we must exploit it,” he added.
e North African state has said that it has the third-largest reserves of unconventional gas in the world. It estimates the size of those reserves at 22tn cubic metres. Sonatrach’s e orts to set up partnerships with foreign companies to develop these deposits have faltered, largely because potential investors are concerned about ongoing civil unrest in Algeria. ™
Protesters say no to shale gas drilling (Photo: Al Watan)
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w w w. N E W S B A S E . c o m Week 05 05•February•2020