Tanzania Races to Finalize $42 Billion LNG Deal with Global Energy Giants by October
Tanzania is accelerating high-stakes negotiations with international energy majors Shell, Equinor, and ExxonMobil for a massive $42 billion Tanzania LNG facility, with Deputy Minister of Energy Doto Mashaka Biteko announcing the government’s target to finalize the agreement by October 2025.
The mega-project will produce 10 million tons of LNG annually once operational by 2030, positioning Tanzania as a major player in the global LNG market while meeting local, regional, and international demand. Critically, up to 3% of gas from the project will supply the domestic market, directly contributing to Tanzania’s ambitious targets of providing 80% of its population with clean cooking solutions by 2034.
The development comes as Tanzania maximizes efforts to exploit its estimated 57 trillion cubic feet of natural gas reserves. The country is simultaneously launching a new licensing round covering 23 offshore blocks in the Indian Ocean and three in Lake Tanganyika, with bidding expected to close in December 2025.
This represents one of Africa’s largest energy infrastructure projects and could transform Tanzania’s economic landscape while establishing the nation as a regional energy hub.
Source: energycapitalpower.com
