By Fumbuka Ng'wanakilala
DAR ES SALAAM, Aug 22 (Reuters) - Tanzanian president JohnMagufuli ordered officials on Monday to speed up long-delayedwork on a planned liquefied natural gas (LNG) plant, sayingimplementation of the project had taken too long.
BG Group, recently acquired by Royal Dutch Shell, alongsideStatoil, Exxon Mobil and Ophir Energy, plan to build a $30billion-onshore LNG export terminal in partnership with thestate-run Tanzania Petroleum Development Corporation (TPDC) bythe early 2020s.
But a final investment decision has been held up bygovernment delays in finalising issues relating to acquisitionof land at the site and establishing a legal framework for thenascent hydrocarbon industry.
"I want to see this plant being built, we are taking toolong. Sort out all the remaining issues so investors can startconstruction work immediately," the presidency quoted Magufulias saying in a statement.
Magufuli, a reformist who took office in November, has sacked several senior officials for graft and cut spending hedeemed wasteful, such as curbing foreign travel by publicofficials.
The president's office said Magufuli issued the instructionsfor the LNG project to be fast-tracked during talks with OysteinMichelsen, Statoil's Tanzania country manager, and seniorTanzanian government energy officials.
The Tanzanian presidency did not give the constructionschedule for the project, but said once completed the LNG plantwould have an expected economic lifespan of more than 40 years.
The government said it has acquired over 2,000 hectares ofland for the construction of the planned two-train LNG terminalat Likong'o village in the southern Tanzanian town of Lindi.
Tanzania discovered an additional 2.17 trillion cubic feet of possible natural gas deposits in February, raising the eastAfrican nation's total estimated recoverable natural gasreserves to more than 57 trillion cubic feet.
East Africa is a new hotspot in hydrocarbon explorationafter substantial deposits of crude oil were found in Uganda andmajor gas reserves discovered in Tanzania and Mozambique.
(Editing by Aaron Maasho and Richard Balmforth)
