May 22, 2023

Tanzania has discovered a significant amount of gas off the coast of Lindi and Mtwara. The gas fields are over up to 100km from the shoreline at a water depth up to 2.5km. This volume of discovered gas would take 500 years for Tanzania to consume at current rates of consumption.
According to The East African, Equinor, Shell and Exxon Mobil have agreed a $30 Billion deal with the government of Tanzania for the development of a LNG export terminal.
The agreement is a milestone for the project to unlock Tanzania’s vast but remote offshore gas resources. The Final Investment Decision for the project is expected to be announced by 2025.
With the Equinor-operated Block 2 estimated to hold over 20 trillion cubic feet (tcf) of gas while the Shell-operated Blocks 1 and 4 estimated to hold combined reserves of 16 tcf of recoverable gas, the contract would see these Blocks providing feedstock to the large-scale LNG facility.
Equinor and Shell are joint operators of the development while Exxon, Pavilion Energy, Medco Energi and Tanzania’s national oil company TPDC are partners in the project.
The Tanzania Liquefied Natural Gas Project (TLNGP), also known as the Likong’o-Mchinga Liquefied Natural Gas Project will be built on the Southern coast of the country near the town of Lindi at the far end of Lindi Bay. The terminal will be linked via a 100-km subsea pipeline to the deepwater gas discoveries and have a 30-year life span.
(Source: Energy Capital & Power/Equinor/Tanzania Invest/The East African/JPT)