Location of Tanzanian LNG Plant Could be Announced Next Week

Tanzanian government has asked energy firms working on the LNG export plant to make their plans public by next week about the place they have picked to build the terminal, country’s energy minister said.

An announcement of a site could be a major milestone for the project, even though a final investment decision is not due for years, says news agency Reuters.

"The location of the plant will be left to the companies - BG, Statoil and their partners Exxon Mobil and Ophir. They have now selected one site and we've told them to make an announcement, and I'm hoping they'll do it next week," Minister Sospeter Muhongo told Reuters on Friday on the sidelines of a conference in Oslo.

Tanzania's deputy minister for energy and minerals said in November the southern region of Lindi was being considered as plant location, adds Reuters.

According to Reuters, such a decision could cause controversy in nearby Mtwara, which has been the supply base for offshore exploration and where residents have protested that they have not received a big enough share of the benefits.

Muhongo said the government will support the choice so located as this would be a professional decision. He added that he plans to meet the parties in April  to draw up a timeline for development.

"I'm meeting with them in April, including Statoil and BG, and I want them to submit an implementation plan," he said. "The time frame will be like for other similar facilities."

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