Tanzania’s TPDC, Egyptian firm sign LNG deal

DAR ES SALAAM: TANZANIA’s state owned Tanzania Petroleum Development Corporation (TPDC)has signed the Head of Team (HoT) of the Joint Venture Agreement with the Egyptian company, Rosetta Energy Solutions and Africa 50 to execute the Mini Liquefied Natural Gas (LNG) project.

The project represents the culmination of the efforts in promoting natural gas distribution across the East African state.

So far, according to TPDC, Mtwara, Lindi, Pwani, and Dares Salaam are only four regions in small areas have access to the natural gas distribution network.

Gracing the event in Dar es Salaam on Sunday, the Ministry of Energy Deputy Secretary, Dr James Mataragio said the project is going to expand the scope of gas distribution in the country.

“The Mini LNG project is not just a project, it’s a revolution in natural gas access in Tanzania, set to change this landscape. It’s a beacon of hope, reaching more areas than ever before,” said Dr Mataragio, who represented the docket’s Permanent Secretary and Water Utilities Regulatory Authority (EWURA) Director General.

In particular, he noted that the project significantly supplements the government’s initiative toward providing clean cooking energy.

Coupled with that, he also directed TPDC to continue to explore the possibility of delivering natural gas to Zanzibar.

In related development he said the presence of the project is a testament to the power of collaboration between the private sector and public institutions.

Adding: “It also underscores the government’s credibility and trust in attracting Foreign Direct Investment (FDI).

More so, Dr Mataragio added that the investment demonstrates how the government continues to leverage various mechanisms in the international financing system to catalyze investments in the country.

“We invite other state-owned enterprises (SOEs)within our Ministry to join us in accelerating project implementation through private-sector collaboration, ensuring a win-win situation that protects the national interest,” he underscored.

For his side, Managing Director for the Rosetta Energy Solutions, Mr Karim Shaaban said the project plays a critical role in expanding Tanzania’s gas pipeline network by enabling scalable demand through movable and modular LNG solutions.

“With a target investment portfolio of more than 100 million US dollar, we are strongly focused on transferring our knowledge and expertise to the Tanzanian market and create multiple jobs throughout the project value chain,” he said

For his part, TPDC Managing Director Mussa Makame said that the Mini LNG project is cheaper and takes less time than a pipeline for a longer distance adding the project will significantly expedite the delivery of natural gas, ensuring early access for industries, households, and vehicles in these regions.

“The signing of the HoT will ignite, among other things, the undertaking of the preliminary activities for project implementation including project’s feasibility study, site selection, and initial design planning,” he pointed out.