DAR ES SALAAM, March 7 (Reuters) - Negotiations for the construction of a $30 billion liquefied natural gas (LNG) terminal between Tanzania, Norway’s Equinor (EQNR.OL) and Britain’s Shell (SHEL.L) are complete and contract preparations are underway, Tanzania’s energy ministry said.
The development of Tanzania’s vast offshore gas resources has been held up for years due to regulatory delays.
Last June, all three parties involved signed a framework agreement aimed at bringing closer the start of the project’s construction. The government aims to reach a final investment decision in 2025 for the facility.
Equinor and Shell, along with Exxon Mobil, Ophir Energy and Pavilion Energy, plan to build the LNG plant in Tanzania’s south east Lindi region.