Tanzania has earmarked US$6mn to buy land in the upcoming fiscal year, starting 1 July 2015, for the construction of a US$30mn liquefied natural gas (LNG) terminal
The two-train onshore LNG export terminal will be built at Lindi in southeastern Tanzania, close to an offshore deep-sea region where natural gas discoveries have been made in the past.
According to Reuters, the construction of the terminal has been delayed due to complicated land acquisition procedures and uncertain legal frameworks. However, the need to build an export terminal is growing, considering the east African nation has nearly 53.2 tcf of natural gas off its southern coast.
Along with neighbouring Mozambique, Tanzania is competing with Russia, Australia, USA and Canada to build LNG export plants, with a goal to exploit a gap in global supply that is expected to open up by 2020.
