Swala Needs FCC Approval to Complete Farm-out of Tanzanian Blocks to Tata

Swala Energy Limited (Swala or the Company) disclosed Wednesday that its subsidiary company Swala Oil and Gas (Tanzania) Plc (SOGTP) has received a no objection notice from the Tanzanian Ministry of Energy and Mines to the farm-out of 50 percent of its interests in the Kilosa-Kilombero and Pangani licenses in central and northern Tanzania, respectively to India's Tata Petrodyne Limited (TPL).

With the receipt of consents from the Tanzanian Petroleum Development Corporation, the Tanzanian Revenue Authority and now from the Ministry of Energy and Mines, the Company is awaiting only the consent of the Fair Competition Commission (FCC). The Company shall update the market once this final consent is received.

Dr. David Mestres Ridge, Swala CEO, said: "The rapid approval by the Tanzanian regulators to the farm-out of the SOGTP licenses illustrates their desire to encourage activity in this important economic sector. We are confident that the FCC consent shall be received soon, which shall allow TPL to join the license joint venture ahead of the planned drilling campaign.”