The agreement shall continue to be in force in accordance with section 42 of the Petroleum (Exploration and Production) Act with regards any development license. In the event no development license is granted, until the end of the last extension of the exploration period.
Environmental impact assessment and management plan
The company shall (together with the development plan) submit evidence that it has undertaken a prior social and environmental impact assessment study relevant for the proposed development.
The contractor shall, at its expense (but as a legitimate recoverable cost), undertake social and environmental impact assessment studies prior to and during petroleum operations. The contractor shall also undertake a comprehensive social and environmental impact assessment (in accordance with the law and best practice) prior to conducting the following activities: reconnaissance and seismic activities; exploration drilling; development and production; construction of a system for transportation, treatment and storage; decommissioning; and in any other case in which petroleum operations are likely to have a significant social or environmental impact.
1. The best international environmental principles should be observed (preamble).
2. Investment should not be at the cost of environmental standards (Art. 1, definition of local content).
3. Prior to relinquishing any area, the contractor shall observe the Environmental Management Act, 2004 (Art. 22).
It is evident that:
The contractor shall comply with the Occupational Health and Safety Act 2003, Atomic Energy Act 2003, The Pharmaceuticals and Poisons Act 1978 CAP 219, the Regulations and individual decisions issued by virtue of the law, all other legislation of Tanzania and international best practice standards via systematic measures, and the development of a management system. The contractor shall ensure that the management of the environment contemplates the activities, resources, processes and organization necessary to ensure prudent petroleum operations.
The contractor shall ensure that sub-contractors and suppliers are qualified to fulfill regulatory requirements relating to the environment and ensure compliance with such regulatory requirements. The contractor shall also carry out risk analyses.
The responsible party shall stipulate and further develop objectives and strategies regarding the environment. The contractor shall ensure agreement between short-term and long-term objectives in various areas, at various levels and between various participants in the activities. A yearly health and safety plan shall be established for the activities required to meet the long-term and short-term objectives.
The objectives shall be expressed in a manner that allows compliance to be measured.
The contractor shall carry out risk analyses that provide a balanced and most comprehensive possible picture of the risk associated with the activities. The analyses shall be appropriate as regards providing support for decisions related to the upcoming operation or phase. Analyses shall be appropriate as regards providing support for decisions related to the upcoming operation or phase. Risk analyses shall be carried out to identify and assess contributions to major accident and environmental risk and to ascertain the effects of various operations and modifications will have on major accident and environmental risk. Necessary assessments shall be carried out of sensitivity and uncertainty.
International standards should be observed (e.g. Environmental Conservation Association). If such standards are observed, it is (normally) assumed that the regulatory requirements have been met. If other solutions are used, the contractor shall be able to document that the chosen solution fulfills the regulatory requirements. Combination of parts of standards should be avoided.
Hazards and accident situations that may lead, or have led, to acute pollution or other harm are duly recorded and examined to prevent recurrence. Investigation is necessary when potential hazard or accident situations occur frequently or have great actual or potential consequences. These obligations rest with the contractor.
In furtherance of the law or as the government requires, the contractor shall:
1. take steps to conduct its petroleum operations in a manner that will protect the environment;
2. employ best practice for the prevention of environmental damage and for the minimization of the effect of such operations on nearby lands, air, sea and lakes;
3. implement its development plan regarding the prevention of pollution, the treatment of wastes, the safeguarding of natural resources and the progressive reclamation and rehabilitation of lands disturbed by petroleum operations; and
4. prevent and minimize pollution.
If the contractor’s failure to comply with the Occupational Health and Safety Act 2003, Atomic Energy Act 2003, the Pharmaceuticals and Poisons Act 1978 CAP 219, the Regulations (any regulations made from time to time under the Petroleum (Exploration and Production) Act) and individual administrative decisions issued by virtue of the law (of Tanzania), all other legislation at any time in force in the United Republic of Tanzania as well as best practice, through the implementation of necessary systematic measures, and the law results in pollution or damage to the environment or marine life or otherwise, the contractor shall take all necessary and adequate measures to remedy the failure and effects of same.
The contractor shall notify the Minister and Tanzania Petroleum Development Corporation forthwith in the event of any emergency or accident that may affect the environment and shall otherwise take prudent and necessary action. Failure to do so permits the Tanzania Petroleum Development Corporation to take any actions, which are necessary in accordance with the Environmental Management Act, 2004 and best practice, and the reasonable costs and expenses of such actions shall be borne by the contractor.
The contractor shall not flare or vent petroleum without an authorization from the government. The Minister may grant authorization where it is necessary for safety reasons, or in case of an emergency (in such circumstances, the contractor may flare or vent without prior consent from the Minister but it shall do so in accordance with a prescribed procedure and best practice, and shall be at the lowest level possible; it shall also notify the Tanzania Petroleum Development Corporation immediately).
The contractor shall prepare an emergency response plan to deal with such emergencies, cooperate with the security authorities of Tanzania, and be liable for pollution damage, injury or loss caused by petroleum operations.
The contractor may be required to contribute to a petroleum spill reserve fund for clean-up and rehabilitation of the environment after a petroleum spill if such fund is established in Tanzania. If the reserve funds in the petroleum spill reserve fund are insufficient to pay the costs of clean-up and rehabilitation, the contractor shall pay the shortfall.
Tanzania Petroleum Development Corporation has the right to audit the company's accounting records in accordance with the accounting procedure set out in Annex D (which sets out relevant accounting procedures). No limitation is placed on the government or its agents in relation to its rights pursuant to any statutory power to audit the books of accounts of the company.
Signature bonus is US$ 2.5 million, on signing the agreement, production bonus is US$ 5 million, on commencement of production. For subsequent development license in the contract area, the production bonuses payable shall be not less than US$ 5 million.
The contractor shall be subject to an additional profits tax, which will be calculated for each calendar year and will vary with the real rate of return earned by contractor on the net cash flow from the development area in question.
If: (1) the first accumulated net cash position (FANCP) or (2) each of the FANCP and the second accumulated net cash position (SANCP) is a positive amount, the additional profits tax from the development area in question for any calendar year shall be (1) either 25% of the FANCP for that year or (2) 25% of the FANCP for that year and 35% of the SANCP for that year.
If in any year the FANCP or the SANCP is a negative amount then no additional profits tax shall be due with reference to the FANCP or the SANCP.
The equation for calculating the FANCP is A (100%+B) + C.
- A is the FANCP denomination in US dollars at the end of the calendar year preceding the calendar year for which the calculation is being made.
- B is 20% plus the percentage change, for the calendar year for which the calculation is being made, in the annual average level of the US industrial goods producer price index as reported for the first time in the monthly publication “International Financial Statistics” of the International Monetary Fund in the section “Prices, Production, Employment”.
- C is the net cash position denominated in US dollars for the calendar year for which the calculation is being made. C is calculated by adding (i) the contractor’s share of cost oil and profit oil for that calendar year with (ii) the contractor’s share of all credits to the accounts under this agreement in respect of the calendar year, and then subtracting (iii) the contractor’s share of all charges to the accounts in respect of that calendar year. Interest on loans should not be included in the contractor’s share of charges.
The equation for calculating the SANCP is the same formula re: FANCP except that:
- A is the SANCP denominated in US dollars at the end of the calendar year preceding the calendar year for which the calculation is being made.
- B is 30% plus the percentage change, for the calendar year for which the calculation is being made, in the annual level the US industrial goods producer price index as reported for the first time in the monthly publication “International Financial Statistics” of the International Monetary Fund in the section “Prices, Production, Employment”.
- C will be calculated as for FANCP except that any payable additional profit tax related to FANCP will be also deducted.
If the FANCP or SANCP is a positive amount, at the end of that year it shall be deemed to be zero for the purpose of calculating the FANCP or SANCP for the subsequent calendar year.
Production Share - "Profit Oil features (triggers for variations in split - IRR, factor, production, etc .)
Total crude oil production from the contract area shall be shared between the the company and Tanzania Petroleum Development Corporation based on the tranches detailed below:
Onshore and shelf areas:
0-12,499
12,500-24,999
25,000-49,999
50,000-99,999
100,000-and above
Deep water areas:
0-49,499
50,000-99,999
100,000-149,999
150,000-199,999
200,000-and above
The remaining balance of natural gas production available in any calendar year after recoverable contract expenses have been recovered to the extent and in the manner aforesaid, total natural gas production from the contract area shall be shared between the contractor and Tanzania Petroleum Development Corporation based on the following tranches:
Tranches of daily total production rates (million standard cubic feet) of gas per day in the contract area in the onshore and shelf areas:
0-19.99
20-39.99
40-59.99
60-79.99
80-and above
Tranches of daily total production rates (million standard cubic feet) of gas per day in the contract area in the deep water areas:
0-149.999
150-299.999
300-449.999
450-599.999
600-749.999
750- and above
The tranches of daily total production shall be specified in terms of average daily total production rates. The average daily production rates shall be determined for each calendar quarter and shall be calculated by dividing the total quantity of crude oil and/or natural gas produced and saved from the contract area during any quarter by the total number of days during which crude oil and/or natural gas was produced in such quarter.
The quantity of cost oil and/or cost gas required to cover recoverable contract expenses in any calendar year shall be allocated to each of the applicable tranches of daily total production in the same proportion as the total production in each tranche of daily total production bears to total production from the contract area.
If there are no joint operations (Petroleum Operations in respect of which Tanzania Petroleum Development Corporation has elected to contribute expenses or has been carried by the contractor), after allocation of recoverable contract expenses in accordance with sub-article (f) (iii) of this article (assumed to be a reference to (g) (iii) which states that the quantity of cost oil and/or cost gas required to cover recoverable contract expenses in any calendar year shall be allocated to each of the applicable tranches of daily total production in the same proportion as the total production in each tranche of daily total production bears to total production from the contract area), the resulting profit oil in each tranche of daily total production shall be shared as follows:
The first numbers are the tranches of daily total production rates, the second is Tanzania Petroleum Development Corporation share, the third is the contractor's share.
Onshore and shelf areas:
0-12,499 - 70% - 30%
12,500-24,999 - 75% - 25%
25,000-49,999 - 80% - 20%
50,000-99,999 - 85% - 15%
100,000-and above - 90% - 10%
Deep water areas:
0-49,499 - 65% - 35%
50,000-99,999 - 70% - 30%
100,000-149,999 - 75% - 25%
150,000-199,999 - 80% - 20%
200,000-and above - 85% - 15%
If there are joint operations in all development areas, Tanzania Petroleum Development Corporation’s share of profit oil/gas indicated (see “table” immediately above) relative to each tranche of daily total production shall be increased by the number of percentage points obtained by multiplying Tanzania Petroleum Development Corporation’s working interest of not less than 25% per cent by the share of the contractor’s profit oil/gas indicated in sub-article (h) (i) and (ii) (see “table” immediately above) respectively, relative to such increment of profit oil/gas, and the contractor’s share shall be reduced accordingly.
However, where Tanzania Petroleum Development Corporation has elected not to participate in joint operations in all development areas, the increase in Tanzania Petroleum Development Corporation’s share of profit oil/gas shall be the result of the above calculation multiplied by the ratio of total production from joint operations in which Tanzania Petroleum Development Corporation participates over total production in the contract area during each year.
Production Share - Cost Oil features (basis of calculation, limits on cost recovery - e.g. as % of revenue or production, capex uplift, etc.)
Recoverable contract expenses shall be recovered by taking and disposing from a volume of crude oil and/or natural gas produced and saved from the contract area (not used in petroleum operations). Such expenses shall be limited to 50% in case of onshore/shelf areas and offshore areas and Lake Tanganyika of the total crude oil or natural gas production from the contract area (net of royalty). There shall be a ring fencing based on exploration license or development license. Where a company holds exploration license or more than one development license within a contract area, recoverable expenses in license areas or block(s) within the contract area may only to recoverable from petroleum revenues from such development area to the extend that were insured prior to commencement of petroleum production.
Onshore areas include shelf up to water depths of 500 meters and offshore areas include water depths beyond 500 meters.
Tanzania Petroleum Development Corporation on behalf of itself and the contractor, shall deliver to the government: 12.5% for onshore/shelf areas and 7.5% for offshore of total crude oil/natural gas production (prior to cost oil and/or cost gas recovery), at such location as the Minister may direct. Onshore areas include shelf up to water depths of 500 meters and offshore areas include water depths beyond 500 meters.
The contractor shall include in its proposal for a development plan, a local content compliance system and plan including an employment and recruitment program.
The company shall, amongst other things:
1. ensure that the unskilled manpower requirement is reserved for Tanzanians only;
2. employ Tanzanians in order to give effect to Section 37(b) of the Petroleum (Exploration and Production) Act, to give effect to the law, and to ensure that opportunities are given for the employment of Tanzanians; and
3. ensure that sub-contracts are scoped, as far as it is economically feasible and practical to match the capability of local enterprises.
The company shall invite qualified suppliers and contractors to bid for the supply or execution of the projects.
The company shall, amongst other things:
1. comply with the government’s local content policy;
2. purchase Tanzanian goods, services and materials, where possible;
3. provide assurance to local enterprises regarding prompt payment for goods and services;
4. use a non-discriminatory and competitive purchasing and award procedure;
5. ensure that the unskilled manpower requirement is reserved for Tanzanians only;
6. employ Tanzanians in order to give effect to Section 37(b) of the Petroleum (Exploration and Production) Act, to give effect to the law, and to ensure that opportunities are given for the employment of Tanzanians; and
7. ensure that sub-contracts are scoped, as far as it is economically feasible and practical to match the capability of local enterprises.
The company shall also provide to Tanzania Petroleum Development Corporation a list of all projects to be undertaken as well as all goods and services that are required for the conduct of same, and the annual work program and budgets required under Articles 5 and 7.
Tanzania Petroleum Development Corporation and the company agree on a list of those projects and goods and services which shall be published in at least two local newspapers and on the Tanzania Petroleum Development Corporation’s website.
The contractor shall invite qualified suppliers and contractors to bid for the supply or execution of the projects.
All tenders should be advertised, evaluated and awarded in Tanzania unless approval is otherwise given. Preference should be given to Tanzanian companies, in collaboration with those involved in local content promotion. The company shall also ensure the development of its employees.
The contractor shall employ Tanzanian citizens having appropriate qualifications to the maximum extent possible. In this connection the contractor shall, in consultation with government and Tanzania Petroleum Development Corporation, propose and carry out an effective training and employment program for Tanzanian employees in each phase and level of operations, taking into account the requirements and need to maintain reasonable international standards of efficiency. Such employees may be trained in Tanzania or abroad as required by the training program prepared by the contractor.
During each year of the term of the exploration license and development license or any renewal of same the contractor shall spend a minimum sum of four hundred thousand United States dollars (US$ 500,000) adjusted by dividing by the factor I which equals A (the United States Industrial Goods Producer Price Index as reported for the first time in the monthly publication “International Financial Statistics” of the International Monetary Fund (IMF) in the section “Prices, Production, Employment” for the Month of the Effective Date) divided by B (the United States Industrial Goods Producer Price Index as reported for the first time in the aforesaid IMF publication for the month of the expenditure in question) save that if B is less than A factor I shall be taken to be 1, for one or more of the following purposes:
(i) to provide a mutually agreed number of government and Tanzania Petroleum Development Corporation personnel with on the job training in the contractor operations in Tanzania and overseas, and/or training at institutions abroad or in Tanzania, including natural earth sciences, engineering, technology, petroleum accounting and economics, economic analysis, contract administration and law as related to the fields of oil and gas exploration and production;
(ii) to send suitable Tanzanian personnel selected by the government and by Tanzania Petroleum Development Corporation on courses at universities, colleges or other training institutions mutually selected by the contractor, the government and Tanzania Petroleum Development Corporation;
(iii) to send Tanzanian personnel selected by the Government and by Tanzania Petroleum Development Corporation to conferences workshops and seminars related to the petroleum industry; and
(iv) to purchase for the government and Tanzania Petroleum Development Corporation advanced technical books, professional publications, technical software, scientific instruments, technical software or other equipment required by the government and Tanzania Petroleum Development Corporation.
Not later than six (6) months after the grant of a development license, the contractor shall, in consultation with Tanzania Petroleum Development Corporation, implement the program proposed in the development plan as approved by the government for training and employment of Tanzanian nationals.
The contractor shall ensure that the development of people in key areas allows nationals to participate in value-adding, analytical and management areas of:
(i) of a technical or professional nature including general management, design engineering, project management, seismic data processing, human resource development, legal; and
(ii) business strategic skills including leadership, business development, executive management, commercial, analytical, negotiating, strategy development and trading know how and acumen.
The contractor shall prepare an annual local content plan which shall accompany the annual work program and budget for petroleum operations in the contract area and which shall include but not limited to:
(i) procurement of Tanzanian goods, material and services;
(ii) a detailed plan and program for Tanzanian recruitment, employment and training, including post-graduate training and scholarships; and
(iii) a plan for the transfer of skills, knowledge, competence and know-how.
The contractor shall, together with the annual report on petroleum operations in the contract area, submit and publish an annual report, which shall be verified by a competent and independent third party, describing the contractor’s activities and results on Tanzanian content and the local value adding other than the production sharing and fiscal obligations.
Where a petroleum accumulation in the contract area is in proximity to another petroleum accumulation in another area the Minister (Minister for Energy and Minerals) may, in order to ensure efficient petroleum operations, require the petroleum accumulations to be developed and produced in a coordinated manner in order to ensure optimum petroleum recovery and optimum use of the relevant petroleum infrastructure, but no clauses deal specifically with same.
The contractor, and Tanzania Petroleum Development Corporation where it is party to joint operations, shall provide access to third parties for use of its petroleum facilities in the contract area for conduct of petroleum operations where such access will not unreasonably detriment the petroleum operations of the contractor or other users who have already been granted a right of use. The contractor shall provide third party access on reasonable terms and conditions.
An agreement on access to petroleum facilities shall be submitted to the Minister for approval unless the Minister decides otherwise. The Minister may, as a condition for approval, modify the tariffs and other terms and conditions agreed between the parties to the access agreement.
Where no agreement for access to petroleum facilities is reached within 180 days from the time of the third party request, the Minister may stipulate the tariffs and other conditions for such third party access.
Where the Minister decides to stipulate, modify or alter or set terms and conditions for third party access to petroleum facilities, the Minister shall stipulate reasonable terms and conditions in accordance with best practice and having regard to good resource management considerations and a reasonable profit for the contractor taking into account, among other, the contractor’s investments and risks, financial and commercial viability of third party access and availability of capacity at the petroleum facilities.
The contractor shall promptly provide the Minister through Tanzania Petroleum Development Corporation upon receipt of any technical, commercial, financial or other information that is relevant for negotiations with third parties on access to petroleum facilities. Such information shall include, but is not limited to, copies of the requests for use, updated information on capacity on the petroleum facilities, any draft agreements and schedules for negotiations.
The contractor’s obligation to grant third party access shall apply correspondingly for the use of petroleum facilities where the contractor has a leasing right for use in petroleum operations. The contractor shall not restrict the third party’s right for access to the leased facilities through any agreement with the holder of the title to the petroleum facility or the leaser.
The Minister may appoint representatives who shall be entitled to participate with an observer status at any meeting on negotiations in the context of third party access to infrastructure. The contractor shall ensure that the observer who is appointed by the Minister promptly receives any relevant information for the purpose of efficient representation of the Minister at the meetings.
The contractor and Tanzania Petroleum Development Corporation shall in accordance with the Prevention and Combating of Corruption Act, CAP. 329, establish and implement anti-bribery and anti-corruption policies and measures that are consistent with the requirements in law (of Tanzania), the provisions of this contract and complementary to any other relevant anti-corruption laws and obligations.
The contractor shall implement necessary systematic measures in order to ensure that any person who undertakes activities that are relevant to this agreement including work, services or delivering goods will not make, offer, or authorize, any payment, gift, promise or other advantage, whether directly or through any other person or entity, to or for the use or benefit of any public official, any political party, political party official, or candidate for office, or any other individual or entity, where such payment, gift, promise or advantage would violate the law and other anti-corruption laws and obligations applicable to the contractor.
The contractor shall comply with the law and other anti-corruption laws and obligations applicable to contractor.
The contractor shall ensure that its affiliates and its respective directors, officers, employees and personnel comply with the law and other anti-corruption laws and obligations applicable to contractor.
Each party shall as soon as possible notify and keep informed the other parties of any investigation or proceeding initiated by a governmental authority relating to an alleged violation of the law and other applicable anti-corruption laws and obligations to such party.
Where the company has informed Tanzania Petroleum Development Corporation that it has discovered petroleum in the contract area, and the company considers the discovery is of present commercial interest, or the technical expert determines that the discovery is of present interest and the company agrees with such determination, the company shall, amongst other things, draw up a proposal for a development plan in consultation with Tanzania Petroleum Development Corporation which contains detailed information including a security management system and plan for protection against deliberate attack.
Within thirty (30) days of the effective date (the date on which this agreement is signed by the parties and the exploration licence is simultaneously granted by the Minister), the contractor shall prepare and submit to Tanzania Petroleum Development Corporation a detailed work program and budget setting forth the exploration operations which contractor proposes to carry out in the calendar year following.
So long as the exploration licence issued to Tanzania Petroleum Development Corporation remains in force and at least three (3) months prior to the beginning of each subsequent calendar year, contractor shall prepare and submit to Tanzania Petroleum Development Corporation a detailed work program and budget setting forth the exploration operations which contractor propose to carry out in that calendar year and the estimated cost of same.
Every work program and budget submitted to Tanzania Petroleum Development Corporation and every revision or amendment of same shall be consistent with the requirements set out in Article 5 relating to work and expenditure for the exploration period and sub-period within which the work program and budget will fall.
Every work program and budget and the appraisal program (if any) submitted by contractor to Tanzania Petroleum Development Corporation shall be reviewed by a joint advisory committee to be established by Tanzania Petroleum Development Corporation and contractor pursuant to Article 8. Should Tanzania Petroleum Development Corporation wish to propose a revision of the proposed work program and budget or appraisal program (if any) Tanzania Petroleum Development Corporation shall, within three (3) weeks after receipt of same, notify the contractor specifying in reasonable detail its reasons and the proposed changes it seeks to introduce. Promptly thereafter, the parties will meet and endeavor to agree upon the revisions proposed. Following review by the advisory committee, contractor shall make such revisions as it deems appropriate and submit the work program and budget or, without prejudice to Article 9(l) (requiring compliance with section 40(1) and (2) of the Petroleum (Exploration and Production) Act, and the employment of a suitably qualified international independent consultant(s) to prepare a reserve assessment report to determine the (i) proven and certified gas reserves in the block; (ii) the minimum amount of gas required for a gas commercialization project; and (iii) the amount of proven reserves that are to be dedicated for the domestic market), appraisal program (if any) to Tanzania Petroleum Development Corporation.
Subject to Article 5, upon giving notice to Tanzania Petroleum Development Corporation, contractor may amend any work program or budget or any revised work program or budget submitted to Tanzania Petroleum Development Corporation, but, subject to any such amendment, contractor shall carry out the exploration operations set forth in the work program or revised work program and spend not less than the sum provided for in the budget or revised budget. In the case of an appraisal program, any amendment thereto proposed to Tanzania Petroleum Development Corporation by contractor will be subject to section 32(2) of the Petroleum (Exploration and Production) Act; where an appraisal program has been agreed by the advisory committee as referred to in Article 9(l), no amendment shall be made without the approval of the advisory committee. A notice under this sub-article shall state the reasons why, in the opinion of contractor, an amendment is necessary or desirable.
Tanzania Petroleum Development Corporation and the contractor shall make every effort to settle amicably any problem arising therefrom.
If any dispute arises, they shall be resolved by negotiations between the parties. In the event of no agreement being reached, either party shall, except in the case of a dispute or difference as provided in sub-article 9(h) (disputes re: contractor's reassessment of eventual interest), 13(b) (disputes re: average prices for crude oil) and 13(d) (disputes re: the selection of the major competitive crude oils), have the right to have such dispute or difference settled through arbitration.
The applicable arbitration rules are the International Chamber of Commerce Rules of Conciliation and Arbitration.
The arbitrators shall not be of the same nationality as either of the parties.
The place of arbitration shall be Dar es Salaam, Tanzania.
The language that shall be used is English.
The applicable law is that of Tanzania.
The parties will bear the expenses and fees of the arbitration equally. These costs are not costs recoverable.
The arbitration procedure shall not cause the performance of the parties' contractual obligations to be suspended during the progress of the arbitration.
All data and related information, relating to a contract area, provided by the contractor to Tanzania Petroleum Development Corporation shall be treated as confidential and each of the parties undertakes not to disclose same to any other person without the prior written consent of the other parties.
Such data and related information may be disclosed to affiliate companies or contractors carrying out any part of the petroleum operations and to advisers of Tanzania Petroleum Development Corporation and government who will treat as confidential all that is disclosed to them and undertake not to disclose same to any other person without the written consent of the contractor and Tanzania Petroleum Development Corporation.
Notwithstanding what is provided in this sub-article (m) (that is, the general obligation to keep data and related information confidential) of this article, the Minister may, using such data and related information, publish summaries of same from geophysical surveys and exploration wells, including lithological groups, classification boundaries and hydrocarbon zones.
The contractor’s obligation continues for a period of four years from the date on which the area the subject of the data, ceased to be part of the contract area, or from the date on which this agreement expires or is terminated, whichever occurs first. However, where during the aforesaid period, the contractor carries on petroleum operations in the contract area, such data, information and interpretations may be disclosed by it to:
(i) subcontractors, affiliates, assignees, auditors, financial consultants or legal advisers in certain circumstances;
(ii) comply with statutory obligations or the requirements of any governmental agency or the rules of a stock exchange on which a party's stock is publicly traded in which case the disclosing party will notify the other parties of any information so disclosed prior to such disclosure;
(iii) financial institutions involved in the provision of finance for the petroleum operations (the recipients of such data and information agree in writing to keep such data and the information strictly confidential); and
(iv) a third party for the purpose of negotiating an assignment of interest (such third party executes an undertaking to keep the information disclosed confidential).
Any public disclosure regarding the interpretation of information acquired in petroleum operations shall not be made without the Minister’s consent.