Gas trade promising: Muhongo

Tanzania is in a unique position to market Liquefied Natural Gas (LNG) come 2025 as Asia alone will account for 60 per cent of total demand for it.

According to a report by the minister for Energy and Minerals, Prof Sospeter Muhongo, which was availed to The Citizen yesterday, processing of natural gas into LNG is a lucrative business that is expected to boost the national economy by 2025 as the global demand for it will almost double.

“Tanzania is in a unique geographical location to market natural gas as it is closer to Asia where it will account for 60 per cent of global demand for it,” says Prof Muhongo.

According to him, global demand for LNG, which stood at 240 million metric tonnes per annum in 2012, is expected to rise to 440 million metric tonnes per annum by 2025.

LNG is that natural gas that has been liquified for ease of transportation and storage.

LNG is a liquid form of natural gas people use in their homes for heating and energy production.

Until September this year the country had discovered 43.1 trillion cubic feet of natural gas, which are subject for producing various products for uses, including LNG, power generation, smelting plants, cement industries, fertilizer production, household uses, motor vehicles, methanol plants, plastics industries and other petrochemical industries, according to Prof Muhongo.

Already the BG group, which is working to install the plant for processing natural gas has announced that they have sufficient resources for a two-train LNG project in Tanzania.

“The aim of our appraisal programme now is to optimise future development plan and place the most economic gas into the proposed project first to extract the most value across the chain,” reads part of BG group report.

The company now has a total of 15 trillion cubic feet, thanks to an increase in total recoverable resources for the Mzia discovery and across Blocks 1, 3 and 4 offshore in southern Tanzania.

By  Ludger Kasumuni,

Tanzania is in a unique position to market Liquefied Natural Gas (LNG) come 2025 as Asia alone will account for 60 per cent of total demand for it.

According to a report by the minister for Energy and Minerals, Prof Sospeter Muhongo, which was availed to The Citizen yesterday, processing of natural gas into LNG is a lucrative business that is expected to boost the national economy by 2025 as the global demand for it will almost double.

“Tanzania is in a unique geographical location to market natural gas as it is closer to Asia where it will account for 60 per cent of global demand for it,” says Prof Muhongo.

According to him, global demand for LNG, which stood at 240 million metric tonnes per annum in 2012, is expected to rise to 440 million metric tonnes per annum by 2025.

LNG is that natural gas that has been liquified for ease of transportation and storage.

LNG is a liquid form of natural gas people use in their homes for heating and energy production.

Until September this year the country had discovered 43.1 trillion cubic feet of natural gas, which are subject for producing various products for uses, including LNG, power generation, smelting plants, cement industries, fertilizer production, household uses, motor vehicles, methanol plants, plastics industries and other petrochemical industries, according to Prof Muhongo.

Already the BG group, which is working to install the plant for processing natural gas has announced that they have sufficient resources for a two-train LNG project in Tanzania.

“The aim of our appraisal programme now is to optimise future development plan and place the most economic gas into the proposed project first to extract the most value across the chain,” reads part of BG group report.

The company now has a total of 15 trillion cubic feet, thanks to an increase in total recoverable resources for the Mzia discovery and across Blocks 1, 3 and 4 offshore in southern Tanzania.
Source: The Citizen, reported by Ludger Kasumuni from Dar es Salaam, Tanzania
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