Tanzania's $420 million gas-to-liquid (GTL) plant project, backed by Canadian firm Rocky Mountain GTL and local partners, faces delays as it awaits a gas supply agreement with the Tanzania Petroleum Development Corporation (TPDC).

The feasibility study has been completed, but TPDC managing director Mussa Makame stated that signing the agreement will be delayed due to current priorities on electricity generation.

The plant aims to convert natural gas into diesel, jet fuel, and hydrogen, potentially boosting Tanzania's energy sector and reducing reliance on imports.Memnon Africa CEO Jackson Pemba highlighted the technology's benefits, including producing fertilizer for farmers and meeting daily diesel needs.The project could position Tanzania as Africa's first country to export jet fuel and diesel, while also addressing fuel crises.However, challenges remain in securing gas supply assurances and funding from financial institutions.