The Tanzania Petroleum Development Corporation (TPDC) has announced plans to significantly boost its oil storage capacity through the renovation of an existing tank and the construction of six additional tanks.
This strategic move aims to ensure Tanzania maintains adequate oil reserves, thereby mitigating the impact of global market fluctuations on local consumers.
Infrastructure Development and Renovation
TPDC’s initiative includes the refurbishment of Tank No. 8, which has a storage capacity of 45,000 tonnes. This tank, part of the infrastructure at the Tanzania International Petroleum Reserves (TIPER) in Kigamboni, Dar es Salaam, was originally constructed in 1993 and was operational for six years before being decommissioned in 2000.
The renovation project for Tank No. 8 is scheduled to commence in June 2024 and is expected to be completed within twenty months.
In addition to the renovation, TPDC plans to build six new tanks with a total capacity of 162,000 tonnes. These new tanks will be situated in Kigamboni and other key regions including Dodoma and Mwanza.
The tendering process for this construction project has already begun, with several companies showing interest. The completion of this project is anticipated to take twenty months.
Strategic Visit and Inspection
On June 7, 2024, TPDC’s Board of Directors, led by Chairman Ambassador Ombeni Sefue, conducted a visit to the TIPER site in Kigamboni. The purpose of this visit was to inspect the existing infrastructure and to discuss strategies for its development and renovation.
During the visit, Ambassador Sefue emphasized the importance of maintaining sufficient oil reserves to stabilize prices for consumers amid global market fluctuations.
He stressed that the TPDC board’s visit to Kigamboni underscores the company’s commitment to ensuring Tanzania’s oil infrastructure is robust and capable of meeting national needs. Although the oil business at this site ceased operations years ago, its infrastructure remains vital for our strategic reserves.
For his part, Baraka Nyakutonya, TPDC’s Oil Trade Manager, provided further details on the upcoming projects. He noted that the tender process for the new tanks has already begun, with site inspections completed by interested companies. The official tender announcements are scheduled for June 17, 2024, marking the next phase of the project.
“With Tank No. 8’s renovation and the construction of additional tanks, we aim to enhance our capacity to serve the Tanzanian population better and ensure a stable supply of oil,” said Mr. Nyakutonya.
These developments are part of TPDC’s broader mandate to handle the commercial aspects of the petroleum sector on behalf of the government, ensuring the country’s energy security and stability.
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