THE Tanzania Petroleum Development Corporation (TPDC) has signed a memorandum of understanding with Energetech-Tantel, valued at $100m, outlining a two-year roadmap to develop modular, scalable liquefied natural gas (LNG) infrastructure.

Goodluck Shirima, the ministerial commissioner for petroleum and gas, said at the signing ceremony that this accord underlines the vital role of the private sector in driving scalable and sustainable solutions in the energy sector.

“The initiative represents a significant departure from traditional, large-scale capital-intensive energy projects,” he said, noting that the partnership will drive gas use in industry.

“Once operational, Tanzanian households and manufacturers will benefit from clean, affordable gas energy, leading to reduced production costs,” he stated, with an online source affirming that Energetech-Tantel is a Tanzanian company involved in energy solutions, particularly in the LNG sector.

It is collaborating with TPDC in a $100m LNG project, with the firm acting as official distributors of Gulf Oil in East Africa. Tantel Holdings, the parent company, focuses on investments across various sectors, focused on sustainability and strategic partnerships, the entry indicated

He expressed expectations that Tanzania becomes an energy hub for the Southern Africa Development Community (SADC) and the East African Community (EAC) as relates to gas sourcing of energy.

The project will deliver initial LNG output in a year, starting with up to 30m standard cubic feet (scf) per day and projecting 100m scf per day as demand grows, he said.

Mussa Makame, the TPDC managing director, stressed the importance of public-private partnerships in unlocking Tanzania’s energy potential.

“At TPDC, we are committed to partnerships that deliver sustainable solutions. Our goal is to provide clean, efficient energy to off-grid and rural communities, powering homes, businesses and industries,” he explained.

Alistair Naiken, CEO of Energetech-Tantel, said the partnership is a transformative step for the local energy sector. “This isn’t just a partnership; it’s a shared commitment to transforming Tanzania’s energy industry.

Daniel Gabai, President and chief operating officer at Tantel Holdings, expressed confidence in Tanzania’s growing role as a regional economic powerhouse.

 “Tanzania is the most promising country in East Africa. This project will be the most efficient clean energy initiative on the continent, benefiting both local and regional markets,” he remarked.

Moshe Schlisser, the firm’s board chairman, noted that energy access is key to inclusive national development. “The availability of energy is fundamental to a country's progress. This project will create thousands of jobs, drive industrial growth and position Tanzania as an innovation hub for Africa.”

He said that what sets this project apart is its modular approach—allowing for faster development, quicker financial closure and deployment at a fraction of the cost and time of traditional LNG infrastructure.

“By tapping into its vast natural gas reserves with cutting-edge technologies and strategic partnerships, Tanzania is not only improving domestic energy access but also positioning itself as a critical player in the regional clean energy transition,” he added.