TPDC, Energetech ink gas transport deal

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TPDC, Energetech ink gas transport deal
TPDC, Energetech ink gas transport deal

Africa-Press – Tanzania. TANZANIA Petroleum Development Corporation (TPDC) has partnered with Energetech-Tantel to distribute natural gas nationwide via road and rail infrastructure over the next 12 months.

The two signed the Memorandum of Understanding (MoU) Tthat will pave way for the investment of 80 to 200 million US dollars to supply in four regions namely Dodoma, Geita, Mwanza and Kigoma.

The Ministry of Energy Commissioner for Petroleum and Gas, Mr Goodluck Shirima, said the first delivery of the natural gas will be almost 12 months after the signing of the MoU.

“The project will help supply gas to the country’s capital Dodoma, as well as key production areas in the central regions which have shown high gas demand,” Mr Shirima told reporters in Dar es Salaam.

Currently, only four regions benefit from access to natural gas namely Lindi, Mtwara, Coast and Dar es Salaam, though the government’s goal is to ensure gas reaches all regions in the country.

He added that the government is committed to building a gas-based economy, taking advantage of the abundant natural gas reserves and that various initiatives are underway to develop this resource.

The project will involve the construction of natural gas receiving centers and the distribution of gas to households, vehicles and industries along the central corridor.

Energetech-Tantel Holdings President and Chief Executive Director, Mr Daniel Gabai, said the planned investment of between 80 and 200 million US dollars will support the government’s vision of building a natural gas-driven economy.

“We believe Tanzania will become a leading force for growth in Africa over the next decade and this project will be the most efficient clean energy project on the continent, serving both local and regional markets,” said Mr Gabai.

TPDC Managing Director, Mr Mussa Makame, said the project will enable the transportation of large volumes of natural gas and ensure its efficient delivery to different parts of the country.

“Accelerating gas production with a commercial focus and involving the private sector is key to our strategy,” said Mr Makame.

Mr Makame further stated that once the project is completed, it will cover the entire country, but the implementation will be done in phases, with operations expected to begin within the next 12 months.

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