Tanzania is poised to demonstrate its capacity for developing and exporting Liquefied Natural Gas (LNG) and petroleum by-products to the broader East African region, at the upcoming Invest in African Energy forum in Paris next month.

In a statement released by Energy Capital & Power, Tanzania has been highlighted as a key player in the East African energy sector.

The country is actively seeking partnerships for exploration, development, and processing activities, and will be showcased in the East African regional spotlight at Invest in African Energy (IAE) 2024.

Following the discovery of substantial offshore gas reserves, estimated at around 57 trillion cubic feet (tcf), Tanzania has set forth ambitious plans to establish itself as a key player in the global liquefied natural gas (LNG) market.

"The Tanzania LNG project, is poised to process gas from fields managed by Equinor, Shell, and ExxonMobil, with a capacity to produce 10 million metric tons per year. However, the commencement of development hinges on the finalization of a host government agreement," the statement highlighted.

Shell’s Blocks 1 and 4 contain an estimated 16 tcf of gas, while Equinor’s Block 2 has yielded nine discoveries with reserves totaling over 20 tcf.

In a significant development, last November saw Tanzania and Uganda signing an agreement to conduct a feasibility study for the construction of a pipeline that will connect Tanzania's gas reserves to Uganda. This initiative marks a crucial step in the development of the region's energy infrastructure.

Tanzania's role as a key player in LPG distribution in the region has been solidified by its strategic location on the Indian Ocean and the establishment of the Kigamboni LPG Terminal. The terminal, which imports LPG from the Middle East, serves as the main hub for distributing LPG to the wider region via truck deliveries.

Taifa Gas, a prominent player in Tanzania's energy sector, is spearheading the development of a $100-million LPG facility in northern Zambia in partnership with Zambia's Delta Marimba, showcasing Tanzania's commitment to regional energy development.

In a significant milestone for Tanzania's energy sector, the country recently inaugurated its first compressed natural gas filling station and conversion center in Dar es Salaam. Developed by TAQA Dalbit, a joint venture between TAQA Arabia and JCG Oil & Gas, this facility marks a crucial step towards diversifying Tanzania's energy mix.

Tanzania's upcoming fifth oil and gas licensing round, set to launch by June 2024 with licenses expected to be awarded by December of the same year, is poised to attract significant interest from investors. With a total of 26 oil and gas blocks for tender - including 15 onshore and 11 offshore blocks - this licensing round aims to boost foreign investment in the country's promising upstream sector.

Chinese national oil company CNOOC is at the forefront of exploration activities in Tanzania, collaborating with Tanzania Petroleum Development Corporation to conduct seismic surveys in deepwater blocks near significant gas discoveries made by major companies such as Shell, Equinor, and ExxonMobil.

Organized by Energy Capital & Power, IAE 2024 serves as a premier platform for fostering investment opportunities between African energy markets and global investors. The event offers industry experts, project developers, investors, and policymakers two days of engaging discussions and networking opportunities to drive energy sector growth across the continent.