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Thursday, January 14, 2016
Wentworth Resources, further to its announcement in early-November that gas deliveries from Mnazi Bay to the new transnational pipeline had commenced and production volumes were ramping up, the company reported that Q4 2015 gross gas production into the pipeline and directly to a power plant in Mtwara averaged 46 Mmscf/d, with production averaging 55 Mmscf/d during the month of December 2015.
To date, growing gas demand from the power sector has been impacted by delays experienced in commissioning the new Kinyerezi power plant and the conversion of the Ubungo power plant from diesel to gas. Wentworth said these delays are considered to be short term in nature and all of the power generation facilities that will utilize Mnazi Bay gas in the generation of electricity are expected to become fully operational during Q1 2016. As a result, production volumes into the pipeline are now expected to reach between 70 and 80 Mmscf/d during Q1 2016 and thereafter remain consistent throughout 2016, with the potential for a further increase in volumes depending on demand. The existing Mnazi Bay gas wells continued to perform in line with expectations and are anticipated to be more than capable of meeting expected demand. As a result, no new development wells are currently planned for 2016.
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