Tanzania has discovered an estimated 223 billion cubic feet of natural gas in the Mnazi Bay area in the country’s south, marking its first gas discovery in more than a decade.

The find could strengthen domestic supply prospects as the East African nation advances plans to expand production and develop its liquefied natural gas export industry.

New discovery revives gas exploration

Energy Minister Juma Homera announced the discovery at the Kasa-1X ST2 well, which was drilled jointly by state-owned Tanzania Petroleum Development Corp. and French oil and gas company Maurel & Prom.

The find adds to Tanzania’s established gas resources as the government seeks to attract investment and increase the sector’s contribution to economic growth.

Homera said the two companies had drilled three wells — MB-5, MS-2 and Kasa-1X ST2 — as part of efforts to strengthen the country’s gas supply. Maurel & Prom has indicated that initial gas production could begin as early as November, although the timing will depend on operational readiness and project requirements.

Investors eye smaller LNG projects

Tanzania is also discussing investment opportunities with four investors interested in developing small-scale liquefied natural gas projects, Homera said.

Such developments could help expand the domestic use of natural gas, create new commercial opportunities and support industrial activity as the government looks to extract greater value from its energy resources.

Before the latest discovery, Tanzania’s proven gas reserves stood at about 57.5 trillion standard cubic feet, according to the country’s energy regulator. The new find is relatively small compared with the national resource base, but it provides fresh evidence of exploration activity in the Mnazi Bay area.

$42 billion export project advances

Tanzania is simultaneously pursuing a proposed $42 billion LNG export project in the southern Lindi region, led by Norway’s Equinor and Shell.

The project is designed to commercialize more than 47 trillion cubic feet of offshore gas resources, positioning Tanzania to become a major supplier to international energy markets if development proceeds.

The export project remains central to Tanzania’s ambition to attract large-scale energy investment and monetize its offshore resources.

The latest discovery adds to the country’s exploration story, while the broader challenge will be converting reserves into commercially viable production, securing infrastructure financing and bringing major projects into operation.