The Tanzania Petroleum Development Corporation (TPDC) is optimistic that Host Government Agreement (HGA) negotiations between the government and International Oil and Gas Companies (IOCs) on the Liquefied natural gas (LNG) are set to resume in January 2021.
This is after they stalled for about a year following the government’s decision to review Production Sharing Agreements (PSAs), which according to reports, Tanzania is seeking to scrap sections on the contract that seem tilted against it.
The government and project developers were initially expected to have concluded the negotiations September 2019, a key decision that could pave the way to the final investment decision to be made.
However, when contacted TPDC Communications manager Marie Msellemu told The Citizen that they were currently finalizing compensation for the land in Lindi for the LNG site including relocation.
“We accumulated interest for two years that we hope to finalize payment by end of this December,” she said. Though she declined to mention the amount.