US law firm to advise on Tanzanian LNG plan
Tanzania has hired US legal advisor Baker Botts to help it negotiate with Equinor, Shell and ExxonMobil on the development of a 7.5mn metric ton/year LNG export terminal, the country's national oil company said on January 25.
The project, slated to cost $30bn, is underpinned by trillions of cubic feet of gas off Tanzania's coast. It languished for years under the rule of former president John Magufuli, but his successor Samia Suluhu Hassan has said the project is a priority and has resumed negotiations with its developers.
Tanzania Petroleum Development Corp said on Twitter that it had enlisted Baker Botts to help it negotiate a host government agreement for the project. The terminal will be underpinned by 20 trillion ft3 of in-place gas resources at Tanzania's offshore Block 2, operated by Equinor with ExxonMobil serving as a partner. Shell operates the nearby Block 1 and Block 4, containing an estimated 16 trillion ft3 of gas.