Aminex in its operational update on Monday announced that the Kiliwani North-1 well is at present experiencing a final well integrity testing before the commencement of first production. 

This is coming after the signing of a Gas Sales Agreement (GSA) in January 2016. The gas price agreement of $3.00/mmBTU, (about $3.07/mcf), is indexed-related to the US Consumer Price Index (CPI) and does not depend on the global oil prices. Aminex is to be paid in US Dollars for all gas produced as well as commissioning and testing gas.   

The company revealed that it was advised by Tanzanian Petroleum Development Corporation (TPDC) to get the Kiliwani North 1 well ready for production which will begin by mid-February. 

“We are pleased to maintain our working interest in the Kiliwani project post signing of the Gas Sales Agreement and are looking forward to becoming a Tanzania gas producer. In addition to first production it is our belief that the Kiliwani North Development Licence will also represent the first bookable reserves for the Company in Tanzania and we look forward to updating the market in due course”, Aminex CEO Jay Bhattacherjee told Energy-pedia.

Anita Fatunji