Tanzania to Invest U.S.$30 Billion in Lindi Gas Plant
Posted on : Wednesday , 17th August 2016
The Minister for Energy and Minerals, Professor Sospeter Muhongo, revealed yesterday that the government will invest at least 30 billion USD (over 60 trillion/-) for the construction of a gas processing plant in Lindi Region.
He said the government is already embarking on the grand plan and that Lindi residents and Tanzanians in general should expect economic revolution in few years to come. Prof Muhongo was speaking during the official launch of the Nanenane exhibitions at Ngongo grounds in Lindi municipality.
"I would like to ensure Lindi residents and Tanzanians in general that our economy is going to grow at a high speed, we are going to invest at least 30bn USD in the construction of gas processing plant," he said.
However, the minister asked the public to remain calm as the government continues to set plans for the grand project. He said the project is likely to take many years because it needs huge amount of money, high skilled and experienced personnel as well as good supervision.
Prof Muhongo said the government will be required to construct about 200 kilometres of gas pipes from the sea to the plant. "This is not an easy job; it will take some years. We are supposed to bring the gas from the sea. It is between 100 and 200 kilometres.
Therefore, we are supposed to construct a gas pipe line from the plant to sea," he said. According to the minister, upon completion of the project, the government will be able to process gas and thus boost the country's economy.
"I can tell you today that in the few coming years, Lindi and Mtwara will be the country's economic hub. All investors are eying at Lindi and Mtwara because of gas and other resources," he said. Prof Muhongo urged Lindi residents to be ready for big investments in the few coming years.
"I am asking you to get ready for the economic revolution. You must be ready to exploit opportunities. This is your time," he told them. He said the project is likely to take up to 40 months.
On the proposed fertiliser plant, the minister said the government is planning to build the plant at Kilwa in Lindi Region. He said the project has been estimated set to cost 1.9 billion USD upon completion, adding that it will provide employment to more than 5,000 Tanzanians.
"The fertiliser plant will employ more than 5,000 Tanzanians.
It is also set to produce at least 3850 tonnes of fertiliser per day," Prof Muhongo reported. He said the project will be implemented through the Tanzania Petroleum Development Corporation (TPDC) by Minjingu Company and Germany, Pakistan and Denmark-based companies.
"I would like to ask you to be patient. Good things are coming, everything will be ok. let us set strategies on how to utilise these opportunities," he said. The project is also expected to increase earnings for the government through consumption of natural gas while at the same time provide opportunities to improve such sectors as health, aviation, sea ports among others.
Since the discovery of natural gas in Tanzania, the economy has witnessed tremendous growth, with 70 per cent of power generation coming from gas, which is currently serving more than 30 industries in Dar es Salaam.
