China to loan Tanzania $1.06 billion for pipeline

China and Tanzania are expected to sign a $1.06 billion loan deal to build a natural gas pipeline from the southern part of the east African country to its commercial capital, a Tanzanian newspaper quoted its energy minister as saying.
Last month, Energy and Minerals Minister William Ngeleja said in a presentation to parliament that the government was seeking loans from China to finance construction of the pipeline from Mtwara to Dar es Salaam.
The Guardian on Sunday newspaper reported $300 million of the loan will be used to construct processing plants at Mnazi Bay, and that Finance Minister Mustafa Mkulo and Ngeleja were expected to fly to Beijing next week to sign the loan agreement.