A Nigerian oil Company has signed a memorandum of understanding with the Tanzania Petroleum Development Corporation (TPDC) to develop the Mnazi Bay North Block, a gas-rich area in Southern Tanzania.
First Exploration & Petroleum Development Company (First E&P), an indigenous Nigerian firm founded in 2011, formalized the agreement at an event., held at TPDC’s headquarters in Dodoma.
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The agreement is expected to be the first step towards converting the block into a producing asset.
According to a statement made available to the media, Nigeria’s First E&P confirmed that it would fully fund the assessment phase of the project to secure a license agreement following successful evaluation of the block’s potential.
Managing Director of FIRST E&P, Ademola Adeyemi-Bero, said the deal aligns with the company’s strategy of regional expansion beyond Nigeria.
“Our success in Nigeria, built on deep technical expertise, a high-performance team, and an entrepreneurial mindset, has positioned us to deploy our capabilities beyond our home market,” he said.
“We are confident that this MoU marks not just the beginning of a project, but the start of a long-term, mutually beneficial relationship between First E&P and the government and people of Tanzania.”
Also, Commissioner for Petroleum and Gas at Tanzania’s Ministry of Energy, Godluck Shirima, described the agreement as a first-of-its-kind upstream initiative.
“The Petroleum Act of 2015 empowers TPDC to develop blocks independently or in partnership with strategic collaborators. This MoU marks a first-of-its-kind upstream initiative, and we look forward to commencing exploration and production activities,” he said.
Additionally, TPDC Managing Director, Mussa Makame, noted that transitioning to natural gas is a priority for Tanzania.
“Developing our reserves is a national priority. It is even more encouraging when African companies collaborate to unlock these resources, as it allows us to harness and benefit from them right here on our own soil,” he said.
First Exploration & Petroleum Development Company (First E&P) is a leading integrated energy solutions provider with maximum delivery capacity across the upstream oil and gas value chain, including drilling, well completion, well testing, and production operations.
Founded in 2011, it commenced business operations on the 1st of July 2012, with the acquisition of 10% shareholding interest in ND Western Limited (equivalent to 4.5% of the working interest in OML 34).
First E&P’s operations significantly contribute to Nigeria’s oil production, delivering a reliable output of 57,000 barrels of oil per day. It has significant interests in PML 53 (Anyala Field), PML 54 (Madu Field), PPL No. 275 (SONGHAI Field); PPL No. 276 (ATO NORTH Field); PPL No. 277 (ATO SOUTH Field), OML 34, OML 71, and OML 72.
In 2019, First E&P won the bid for BlockGH WB 02 License in the Republic of Ghana, in partnership with Elandel Energy Ghana. However, in 2023, the Ghana Ministry of Energy terminated negotiations with four oil companies over their respective oil blocks; including First E&P/Elandel Energy Ghana, alongside China National Offshore Oil Corporation (CNOOC), Eni Ghana E&P/Vitol Upstream Tano Ltd, and KOKA Energy Ltd.
First Exploration & Petroleum Development Company is one of the five companies that makes up the Renaissance Africa Consortium, that acquired Shell Petroleum Development Company of Nigeria’s equity holding.
Nnamdi Maduakor is a Writer, Investor and Entrepreneur
