Dar es Salaam-The Permanent Secretary at the Ministry of Energy, Dr. James Mataragio, has met with implementers of the Ntorya Gas Development on August 26, 2026. This include ARA Petroleum Tanzania Limited (APT), the operator of the Ruvuma PSA, and Ndovu Resources Limited, as well as the Tanzania Petroleum Development Corporation (TPDC) and the Petroleum Upstream Regulatory Authority (PURA). The ministry reported that it called for the streamlining of operational processes to meet the production deadline of December 2026.
The meeting comes amid a notice of dispute released on August 21, 2026, by Ndovu Resources Limited over alleged breaches by APT of its obligations under the Farmout Agreement and the Joint Operating Agreement relating to the approved 2026 Work Programme and Budget (2026 WP&B) for the Ntorya Gas Development.
“The 2026 WP&B was proposed by APT and subsequently approved by the Joint Venture, the Tanzania Petroleum Development Corporation (“TPDC”) and the Petroleum Upstream Regulatory Authority (“PURA”) and provided for the drilling of CH-1, the obligation well under the Farmout Agreement and the Development Licence,” the notice reads.
“APT has sought to replace the 2026 WP&B with successive alternative programmes which materially delay the drilling of CH-1 and do not provide the same firm commitment to fulfil its obligation to drill that well. These proposed changes have not been approved by the Joint Venture, TPDC or PURA.”
The notice highlighted that APT’s continued pursuit of alternative programmes, rather than implementation of the approved programme, has resulted in further material delay, limited expenditure, and minimal substantive work during 2026, while the 2026 WP&B remains unimplemented.
“The Notice of Dispute formally triggers a 90-day period within which Ndovu and APT are to seek to amicably resolve the dispute. If the dispute is not resolved, Ndovu may refer the dispute to the London Court of International Arbitration,” the statement from Ndovu, through its subsidiary Aminex, reads.
The Tanzanian Ministry of Energy reported that, following the meeting, APT Chief Executive Officer (CEO) Dr. Salman Al Shidi pledged to ensure the company carries out its responsibilities swiftly and completes the necessary steps to reach the goal of starting gas production by December 2026.
Ntorya is an onshore gas field located about 30 kilometres from the coast in southern Tanzania’s Mtwara region, within the Ruvuma Basin, sitting inside the roughly 756.36 km² Ruvuma Block. According to TPDC, seismic data acquired and exploration wells drilled in the area indicate a substantial natural gas resource estimated at around 1.6 trillion cubic feet (TCF).
The project is operated by APT, which owns 75 percent, while Ndovu holds 25 percent; TPDC is in talks with the two to acquire a 15 percent stake in the project. The initial deadline for production was set for September 2026 but has now been pushed to December 2026.
On July 3, 2025, TPDC signed a 120 billion contract with two Chinese firms, China Petroleum Pipeline Engineering Co. Ltd (CPP) and China Petroleum Technology & Development Corporation (CPTDC), for the construction of a 14-inch-diameter pipeline to transport gas from Ntorya to Madimba in the Mtwara region. The project was expected to be completed within 12 months.
