DAR ES SALAAM, May 3 — Tanzania on Saturday signed a mining agreement with the United Kingdom-based Helium One Global Limited, marking a significant step toward becoming a strategic producer and supplier of the rare gas, according to a statement issued by the Ministry of Minerals.
The deal, signed in the southwestern region of Songwe, establishes a partnership through the joint venture company Songwe Helium Limited to develop the Southern Rukwa helium project, the statement said.
Deputy Minister for Minerals Steven Kiruswa said global helium production is largely controlled by the United States and Qatar, which together account for more than 75 percent of supply, while annual demand has already exceeded 6 billion cubic feet and is projected to top 8.5 billion cubic feet by 2030.
“The project gives Tanzania a unique opportunity to enter a niche market with limited competition and contribute to addressing global helium shortages,” Kiruswa said.
Under the agreement, the Tanzanian government will hold a 17 percent stake in the joint venture, enabling it to participate in strategic decision-making and benefit directly from project revenues, he said.
The project is now advancing toward commercial production, with plans including infrastructure development, environmental and social impact management, and the installation of processing and transportation facilities, according to the statement.
Helium is a non-renewable gas essential for medical imaging, electronics manufacturing, aerospace, and advanced technologies such as fiber optics and quantum computing. (Namibia Daily News/Xinhua)
