Statoil, BG to build Tanzania LNG plant, energy minister says

|About: Statoil ASA (STO)|By:, SA News Editor

Statoil (STO) and BG Group (BRGYY, BRGXF) will build Tanzania’s first liquefied natural gas plant in Lindi and are due to meet with authorities about the project’s schedule and details in April, according to the country's energy minister.

STO has discovered as much as 20T cf of natural gas in Block 2, and BG believes recoverable volumes are as much as 15T cf in three neighboring blocks.

Production could start in 2021 or 2022, and investments could hit $20B-$30B, STO has said.