Tanzania expects investments in its liquefied natural gas project to rise by $10 billion as the world rushes for new sources of the fuel to reduce reliance on Russian energy.

The second phase of negotiations with a group of companies led by Equinor ASA and Shell Plc for building the long-delayed LNG terminal are expected to conclude by June, President Samia Suluhu Hassan said in an interview in her office on Monday. Hassan revived the talks for the project initially estimated at $30 billion last year after they stalled under former President John Magufuli.

“The world needs it,” Hassan, 62, said at the Chamwino State House in the nation’s capital of Dodoma, referring to Tanzania’s plan to raise production targets of the fuel. Hassan, who was vice president under Magufuli, took over as president on March 19, 2021 after he died in office.

Hassan needs to accelerate the liquefied natural gas project — the country has an estimated 57 trillion cubic feet of gas reserves — for her nation to benefit from Europe’s rush to diversify its energy sources. Tanzania, home to tourist attractions including Mount Kilimanjaro and the Serengeti nature reserve, is also seeking to lure investors in new industries by amending laws, working on getting a credit rating and easing rules for doing business as it seeks to accelerate economic growth to 7% in the long term.

Source: Furtherafrica