Tanzania says $42 billion LNG agreement is nearing completion

Tanzania expects to finalise agreements for a proposed $42 billion liquefied natural gas development in the coming months, Finance Minister Khamis Mussa Omar told Reuters in a report published by CNBC Africa on 13 October 2026. His comments describe negotiations approaching completion, not a signed agreement or a final investment decision. The project is led by Equinor and Shell and is expected to unlock 47.13 trillion cubic feet of natural gas reserves. Other partners identified in the report are Exxon Mobil, Pavilion Energy, Medco Energi and Tanzania Petroleum Development Corporation. Most LNG would be exported, with part of production reserved for the domestic market. Officials had previously expected an agreement before June. Omar said it was nearly ready, but the report records no replacement signing date. Equinor and Shell did not respond to requests for comment. The minister also said agreements for two critical-minerals projects were close, without identifying them. Omar outlined an ambition to roughly double electricity-generation capacity to 8,000 MW by 2030. That remains a government target rather than delivered capacity. The report does not establish construction commencement, an approved financing package or the date of first LNG production.