Tanzania, Zambia Entered into Natural Gas Export Deal

SEATTLE (Oil Monster): Tanzania and Zambia have signed an agreement to cooperate on the development of a natural gas export project. The deal was signed during Tanzanian President Samia Suluhu Hasan's recent visit to Zambia.

The state visit resulted in signing of other key MOUs as well. These are part of earlier commitment from both the countries to ensure enhanced cooperation in areas of mutual interest, so as to boost economic development and energy security within the region. It is hoped that the two countries will sign more such deals in future.

The proposed new gas pipeline will be an expansion of the existing Tanzania-Zambia Mafuta (Tazama) oil pipeline and is expected to transport liquefied natural gas (LNG) from Tanzania to Zambia. The respective ministers of both the countries signed on the agreement, in presence of Presidents of both the countries.

It must be noted that the 1,710-kilometres long pipeline, owned by a joint company, Tazama Pipeline Limited, transports crude petroleum products from the Tanzanian port city of Dar es Salaam to the Indeni petroleum refinery in Ndola, Zambia. The Zambian government owns 66.7% in the joint company, whereas the remaining 33.3% stake is held by the government of Tanzania.