Growing with Tanzania
since 2001

Annual Report & Accounts 2021

CEO's Statement
The Company’s commitment to supporting Tanzania with the provision of power, but also by making a positive impact to the economic and social fabric of the country, remains at the heart of our core ethos.
Jay Lyons
Chief Executive Officer
CEO's Statement
The Company’s commitment to supporting Tanzania with the provision of power, but also by making a positive impact to the economic and social fabric of the country, remains at the heart of our core ethos.
Jay Lyons
Chief Executive Officer
At a Glance

Partnering to create opportunity in Tanzania

The Songo Songo natural gas field can be found approximately 200km south of Tanzania’s economic hub, Dar es Salaam, and approximately 25km offshore of the mainland, in the Kilwa District of Lindi Region. The field sits on and offshore Songo Songo Island.

Highlights of the Year

Financial highlights

Revenue

$86.0m
2021
$86.0m
2020
$77.9m

Net cash flows from
operating activities

$40.1m
2021
$40.1m
2020
$46.5m

Net income attributable
to shareholders

$16.4m
2021
$16.4m
2020
$27.8m

Cash and cash equivalents

$73.0m
2021
$73.0m
2020
$104.2m

Earnings per share

$0.81
2021
$0.81
2020
$1.00

Gas sales

61.1MMcfd
2021
61.1 MMcfd
2020
57.7 MMcfd

Working capital (1)

$41.8m
2021
$41.8m
2020
$74.2m

Revenue

$86.0m
2021
$86.0m
2020
$77.9m

Net cash flows from
operating activities

$40.1m
2021
$40.1m
2020
$46.5m

Net income attributable
to shareholders

$16.4m
2021
$16.4m
2020
$27.8m

Cash and cash equivalents

$73.0m
2021
$73.0m
2020
$104.2m

Earnings per share

$0.81
2021
$0.81
2020
$1.00

Gas sales

61.1MMcfd
2021
61.1 MMcfd
2020
57.7 MMcfd

Working capital (1)

$41.8m
2021
$41.8m
2020
$74.2m
Glossary
$
US dollar

MMcfd
Million standard cubic feet per day

$m
Million US dollar

(1)
These non-GAAP financial measures and ratios do not have any standardized meaning under IFRS and may not be comparable to similar financial measures disclosed by other issuers.
Our History

Growing with Tanzania through the years

The Songo Songo gas field was discovered by AGIP

Our History

Growing with Tanzania through the years

The Songo Songo gas field was discovered by AGIP

Our History

Growing with Tanzania through the years

Construction and commissioning of the downstream distribution network in Dar es Salaam to serve industrial customers

Our History

Growing with Tanzania through the years

Construction and commissioning of the downstream distribution network in Dar es Salaam to serve industrial customers

Our History

Growing with Tanzania through the years

Debottlenecking of the Songo Songo gas plant allows production to increase to 110 MMcfd and PAET completes construction of Compressed Natural Gas (“CNG”) facilities in Dar es Salaam.

Our History

Growing with Tanzania through the years

Debottlenecking of the Songo Songo gas plant allows production to increase to 110 MMcfd and PAET completes construction of Compressed Natural Gas (“CNG”) facilities in Dar es Salaam.

Our History

Growing with Tanzania through the years

PAET signs transportation agreement with TPDC to deliver gas to five industries at Mikocheni

Our History

Growing with Tanzania through the years

PAET signs transportation agreement with TPDC to deliver gas to five industries at Mikocheni

Our History

Growing with Tanzania through the years

PAET concludes high impact English language training across all schools in Kilwa District, training more than 220 local teachers and over 15,000 students

Our History

Growing with Tanzania through the years

PAET concludes high impact English language training across all schools in Kilwa District, training more than 220 local teachers and over 15,000 students

Our History

Growing with Tanzania through the years

The SS-10 well is the third well to be tied into the NNGI and the Songas processing plant, giving far greater flexibility in production management

Our History

Growing with Tanzania through the years

The SS-10 well is the third well to be tied into the NNGI and the Songas processing plant, giving far greater flexibility in production management

1974
2004
2009
2014
2018
2021
The Orca Difference

Our Stakeholders

We believe it is fundamental that our business strategy considers what our stakeholders’ needs and priorities are, and that we engage with different stakeholder groups to address these in the best way possible. In 2021, we undertook an exercise to map out our key stakeholders and their primary requirements, which we look to embed as part of our strategy.

Our employees are our core asset. We aim to inspire, protect, and nurture our people.

We want to be transparent with our customers and engage with them through active dialogue.

Our local teams proactively engage with Tanzanian local regulators.

We keep investors updated and engaged in the strategic direction and operational plans of the Company.

We provide support and shared value for the local communities that we serve and have an opportunity to positively contribute.

We believe it is our duty to minimize our environmental impact and reduce the emissions intensity of our operations.

Our
Employees
Our
Customers
Our
Government
& Regulators
Our
Investors
Our Local
Community
Our
Environment
Company Operations

Fully Integrated Gas Developer
in Tanzania

The Songo Songo Gas-to-Electricity Project is an integrated project that spans the breadth of exploration, development and production of gas, followed by processing, transportation and distribution of gas for power generation.

Upstream Operations
Production facilities include eight gas wells: four onshore and four offshore in relatively shallow water.

The Songas processing facility operated by the Company has a nameplate capacity of 110 MMcfd, however three of the eight wells are also tied into the adjacent NNGI gas processing facility with a name plate capacity of 140 MMcfd, affording access to increased processing capacity and considerable flexibility and redundancy in its ability to sustain gas supply.

Capital Expenditure

$26.6m
2021
$26.6m
2020
$27.1m

Operating Netback

$2.93/mcf
2021
$2.93m/mcf
2020
$2.85m/mcf
Downstream Operations
Industrial Sales
The Company owns and operates a lowpressure downstream distribution network that receives gas from the Songo Songo gas processing facility and distributes it to more than 50 large industries across almost every industrial sector in Dar es Salaam.

Power Generation
During 2021 the Company sold 47.7 MMcfd of Additional Gas for power generation.

Sales Volumes - Power

47.7MMcfd
2021
47.7 MMcfd
2020
45.0 MMcfd

Sales Volumes - Industrials

13.4MMcfd
2021
13.4 MMcfd
2020
12.7 MMcfd
Upstream Operations
Production facilities include eight gas wells: four onshore and four offshore in relatively shallow water.

The Songas processing facility operated by the Company has a nameplate capacity of 110 MMcfd, however three of the eight wells are also tied into the adjacent NNGI gas processing facility with a name plate capacity of 140 MMcfd, affording access to increased processing capacity and considerable flexibility and redundancy in its ability to sustain gas supply.

Capital Expenditure

$26.6m
2021
$26.6m
2020
$27.1m

Operating Netback

$2.93/mcf
2021
$2.93m/mcf
2020
$2.85m/mcf
Downstream Operations
Industrial Sales
The Company owns and operates a lowpressure downstream distribution network that receives gas from the Songo Songo gas processing facility and distributes it to more than 50 large industries across almost every industrial sector in Dar es Salaam.

Power Generation
During 2021 the Company sold 47.7 MMcfd of Additional Gas for power generation.

Sales Volumes - Power

47.7MMcfd
2021
47.7 MMcfd
2020
45.0 MMcfd

Sales Volumes - Industrials

13.4MMcfd
2021
13.4 MMcfd
2020
12.7 MMcfd

Compression
Project

Capital expenditure

$
42
m

Permits to Work

2,160

Manhours

734,916

LTIFR

0.00

Compression
Project

The completed $42 million compression project which was over three years in the planning and execution phase, ensures that Tanzania continues to benefit from a reliable supply of natural gas. Increasing access to electricity, enabling the country to continue on its economic growth trajectory.

Our Approach to Sustainability

Sustainable
long-term value

We have historically been focused on sustainability, and have continued enhancing our strategy and approach. Our main ambition is to continue growing a sustainable business model around our asset
in Tanzania.

01

Stakeholder
Engagement

02

Materiality
Analysis

03

Strategy
Definition

04

Objective
& Target
Setting

05

Progress
Review

01

Stakeholder
Engagement

02

Materiality
Analysis

03

Strategy
Definition

04

Objective
& Target
Setting

05

Progress
Review