§ 21

Energy, Oil & Gas

Legal advice on energy, oil and gas in Tanzania, supporting investors, developers, operators, lenders and contractors across projects, regulation, financing and disputes.

oil and gas photo

Leyrand advises investors, developers, operators, lenders, contractors and international businesses on energy, oil and gas matters in Tanzania.

We support clients across the project lifecycle, from market entry and licensing to project development, financing, construction, operations, regulatory compliance and dispute resolution.

Our approach is practical and commercially focused. Energy projects involve a wide range of legal issues, including corporate structuring, regulation, land, environmental requirements, financing, construction, taxation, employment, local content and government engagement. We help clients bring these different pieces together.

Energy, Oil and Gas Law in Tanzania

Tanzania's energy sector includes electricity generation and distribution, renewable energy, petroleum, natural gas, infrastructure and emerging energy technologies.

Businesses operating in the sector must navigate a combination of sector regulation, licensing requirements, investment rules, environmental obligations, land rights, tax, competition and commercial law.

Leyrand helps clients understand how these requirements affect their investments and operations and supports them in structuring projects in a way that is legally sound and commercially workable.

Energy Project Development

We advise developers and investors from the early stages of energy projects through implementation and operation.

Our work includes:

  • project structuring;
  • special purpose vehicles;
  • joint ventures;
  • shareholder arrangements;
  • project development agreements;
  • regulatory approvals;
  • land and site arrangements;
  • environmental and social requirements;
  • financing structures;
  • construction contracts;
  • operation and maintenance arrangements;
  • government interfaces;
  • project implementation; and
  • project restructuring.

We also work with technical advisers, financiers and international counsel where a project requires multidisciplinary support.

Power and Electricity Projects

Leyrand advises clients involved in electricity generation, transmission, distribution and related infrastructure.

Our work may include:

  • power generation projects;
  • independent power projects;
  • captive power;
  • transmission infrastructure;
  • distribution arrangements;
  • power purchase agreements;
  • grid connection arrangements;
  • licensing;
  • project development;
  • construction and EPC contracts;
  • financing;
  • land access;
  • regulatory compliance; and
  • disputes.

We help clients understand both the regulatory framework and the contractual structure needed to support the project.

Renewable Energy

Renewable energy continues to attract increasing investment in Tanzania.

Leyrand advises on projects involving:

  • solar;
  • wind;
  • hydro;
  • biomass;
  • energy storage;
  • mini-grid and off-grid projects;
  • distributed generation;
  • renewable energy infrastructure; and
  • emerging clean energy technologies.

Our support includes project structuring, licensing, land, environmental requirements, financing, construction, power arrangements and investment documentation.

Oil and Petroleum

Leyrand advises businesses involved in petroleum-related activities in Tanzania.

Our work can include:

  • petroleum licensing;
  • market entry;
  • downstream petroleum activities;
  • fuel distribution;
  • storage and terminal operations;
  • supply agreements;
  • transportation;
  • commercial contracts;
  • regulatory compliance;
  • land and infrastructure;
  • environmental considerations;
  • local content; and
  • petroleum-related disputes.

We support both local and international companies operating across the petroleum supply chain.

Natural Gas and LNG

Tanzania's natural gas resources create opportunities across exploration, infrastructure, processing, transportation, power generation and industrial use.

Leyrand advises on legal and commercial matters involving:

  • natural gas projects;
  • gas infrastructure;
  • pipelines;
  • processing facilities;
  • LNG-related projects;
  • gas supply arrangements;
  • transportation agreements;
  • infrastructure access;
  • project development;
  • joint ventures;
  • financing;
  • land and permits;
  • regulatory approvals; and
  • disputes.

For complex projects, we can work alongside international energy counsel and technical advisers.

Upstream Oil and Gas

Where upstream activities are involved, Leyrand can support clients on legal issues relating to exploration and production activities in Tanzania.

Our work may include:

  • regulatory and licensing matters;
  • project structuring;
  • joint operating arrangements;
  • farm-in and farm-out transactions;
  • production-related agreements;
  • government approvals;
  • service contracts;
  • local content;
  • land and access rights;
  • environmental and social issues;
  • financing; and
  • disputes.

We can act as Tanzania counsel on cross-border upstream transactions involving international investors and operators.

Midstream and Energy Infrastructure

Energy projects depend on infrastructure that moves, stores and processes energy products.

Leyrand advises on:

  • pipelines;
  • storage facilities;
  • terminals;
  • processing facilities;
  • gas infrastructure;
  • fuel depots;
  • transport arrangements;
  • infrastructure access;
  • construction contracts;
  • operating agreements;
  • land rights;
  • regulatory approvals; and
  • project financing.

Our Energy practice works closely with our Project Finance, Shipping & Logistics and Real Estate teams where these issues overlap.

Energy Project Finance

Energy projects often require substantial financing and long-term contractual arrangements.

Leyrand advises sponsors, lenders and investors on project finance matters involving:

  • financing structures;
  • senior and subordinated debt;
  • development finance;
  • sponsor funding;
  • security packages;
  • direct agreements;
  • intercreditor arrangements;
  • conditions precedent;
  • lender due diligence;
  • legal opinions;
  • financial close; and
  • refinancing.

We also review project documents from a bankability perspective.

Joint Ventures and Investment Structures

Many energy projects are developed through joint ventures or consortium arrangements.

Leyrand advises on:

  • joint venture structures;
  • shareholder agreements;
  • sponsor rights;
  • governance;
  • reserved matters;
  • funding obligations;
  • transfer restrictions;
  • deadlock arrangements;
  • exit rights;
  • investment documentation; and
  • project company structures.

Our Corporate & Commercial team works alongside the Energy practice where transactions involve wider corporate structuring or M&A.

Mergers, Acquisitions and Energy Transactions

We advise buyers, sellers and investors on energy-sector transactions in Tanzania.

Our work includes:

  • legal due diligence;
  • acquisition structuring;
  • share and asset purchases;
  • regulatory approvals;
  • change of control;
  • licensing implications;
  • competition law;
  • land and asset review;
  • environmental matters;
  • local content;
  • warranties and indemnities; and
  • transaction completion.

For international transactions, Leyrand can act as Tanzania counsel and manage the local legal workstream.

Energy Regulation and Licensing

Energy businesses operate within a regulated environment.

Leyrand advises on:

  • sector licensing;
  • regulatory approvals;
  • licence applications and renewals;
  • operating requirements;
  • change-of-control approvals;
  • regulatory compliance;
  • tariff-related issues;
  • regulator engagement;
  • enforcement matters; and
  • sector-specific legal requirements.

We help clients understand how regulatory requirements affect both entry into the market and ongoing operations.

Local Content

Local content requirements can affect ownership, procurement, employment, contracting and project implementation.

Leyrand advises businesses on:

  • local content requirements;
  • procurement structures;
  • local supplier engagement;
  • employment and workforce issues;
  • contracting arrangements;
  • compliance systems;
  • reporting obligations; and
  • local content risk assessments.

We help clients integrate local content obligations into the broader commercial structure of the project rather than treating them as a separate compliance exercise.

Land and Project Sites

Energy projects depend on secure rights to access and use land.

Leyrand assists with:

  • land due diligence;
  • acquisition and leasing;
  • rights of way;
  • easements;
  • project-site access;
  • pipeline routes;
  • transmission corridors;
  • resettlement-related legal issues;
  • land disputes; and
  • project-site documentation.

Our Energy team works with our Real Estate and Business & Human Rights practices where land issues affect communities or project implementation.

Environmental and Social Risk

Energy projects can create environmental and social impacts that need to be identified early.

Leyrand advises on legal issues involving:

  • environmental approvals;
  • project impacts;
  • community engagement;
  • land and livelihood impacts;
  • resettlement;
  • worker rights;
  • grievance mechanisms;
  • environmental and social contractual requirements;
  • lender standards; and
  • human rights due diligence.

Our Business & Human Rights practice can support projects where social and community risks are significant.

Energy Contracts

Leyrand drafts, reviews and negotiates contracts used across the energy sector, including:

  • power purchase agreements;
  • EPC contracts;
  • operation and maintenance agreements;
  • fuel supply agreements;
  • gas supply agreements;
  • transportation agreements;
  • storage agreements;
  • terminal agreements;
  • service contracts;
  • equipment supply agreements;
  • joint venture agreements;
  • concession agreements;
  • implementation agreements; and
  • long-term commercial contracts.

We focus on the allocation of risk, payment obligations, performance standards, liability, termination, change in law, force majeure and dispute resolution.

Construction and EPC

Energy projects are often highly dependent on construction performance.

Leyrand advises on:

  • EPC contracts;
  • construction agreements;
  • design and engineering arrangements;
  • procurement contracts;
  • equipment supply;
  • subcontracting;
  • completion and performance testing;
  • delay;
  • liquidated damages;
  • warranties;
  • variations;
  • performance guarantees; and
  • termination.

Where disputes arise, our Dispute Resolution team can work with the Energy practice.

Energy Trading and Supply

We advise businesses on commercial arrangements involving the sale, purchase, supply and distribution of energy products.

This may include:

  • fuel supply contracts;
  • gas supply arrangements;
  • electricity supply arrangements;
  • distribution agreements;
  • storage and handling;
  • transportation;
  • pricing mechanisms;
  • credit arrangements;
  • payment security; and
  • long-term supply relationships.

Energy and Competition Law

Energy markets can raise competition law issues, particularly where businesses hold significant market positions or enter long-term supply and infrastructure arrangements.

Leyrand advises on:

  • merger control;
  • joint ventures;
  • exclusivity;
  • access to infrastructure;
  • market dominance;
  • pricing arrangements;
  • distribution structures; and
  • competition investigations.

Our Energy and Competition practices work together where these issues overlap.

Energy Tax and Fiscal Matters

Energy investments may involve significant tax and fiscal considerations.

Leyrand advises clients on legal aspects of:

  • transaction structuring;
  • project taxation;
  • customs and import issues;
  • tax incentives;
  • contractual tax provisions;
  • investment structuring; and
  • tax disputes.

Where specialist tax input is required, we coordinate this as part of the wider transaction or project.

Energy Disputes

Disputes in the energy sector can involve large financial exposure and complex technical evidence.

Leyrand advises on disputes involving:

  • project agreements;
  • power purchase arrangements;
  • construction and EPC;
  • supply contracts;
  • payment defaults;
  • joint ventures;
  • regulatory decisions;
  • licensing;
  • land;
  • environmental matters;
  • local content;
  • financing;
  • infrastructure access; and
  • termination.

We support clients through negotiation, mediation, arbitration and litigation.

Energy Transition and Emerging Technologies

The energy sector is changing rapidly.

Leyrand advises on legal issues connected with new technologies and emerging energy models, including:

  • battery storage;
  • distributed energy;
  • digital energy platforms;
  • smart infrastructure;
  • electric mobility;
  • green fuels;
  • hydrogen-related projects;
  • carbon-related commercial arrangements;
  • energy technology; and
  • AI-enabled energy systems.

Our Technology, Data Protection, Project Finance and Corporate practices can work alongside the Energy team where these projects involve broader legal issues.

Tanzania Counsel for International Energy Projects

International energy investors and law firms often require Tanzania counsel who can work effectively within a cross-border transaction or project team.

Leyrand can manage the Tanzania legal workstream, including:

  • legal due diligence;
  • regulatory advice;
  • project structuring;
  • licensing;
  • land;
  • local content;
  • project documentation;
  • financing and security;
  • corporate approvals;
  • legal opinions; and
  • project implementation.

We work collaboratively with sponsors, lenders, international counsel, technical advisers and other project participants.

Energy, Oil and Gas Legal Advice in Tanzania

Energy projects require legal advice that understands the relationship between investment, regulation, financing, infrastructure and operations.

Leyrand provides integrated support across the sector, from early project development and investment structuring to financing, operation, regulatory compliance and dispute resolution.

Whether you are developing a renewable energy project, investing in oil or gas, financing infrastructure, negotiating an energy contract or entering the Tanzanian market, our team can support you throughout the process.

Speak with our Energy, Oil & Gas team about your project or investment in Tanzania.

Energy | Oil & Gas | Petroleum | Natural Gas | LNG | Renewable Energy | Power | Project Finance | Local Content | Energy Regulation | Energy Disputes

Dar es Salaam | Arusha | Tanzania

[Book a Consultation]