Beneath the quiet plains of south-western Tanzania, a discovery is positioning the country at the centre of a critical shift in the global gas market, not oil, not LNG but helium, an invisible element that is becoming one of the world’s most strategically contested resources.
On 2 May 2026, Tanzania formalised its entry into the global helium market, signing a Gas Extraction Agreement with Helium One Global Limited through the Songwe Helium Limited Partnership. The deal marks the transition from exploration to development and signals an ambition to become a reliable new supplier in a market defined by scarcity, concentration and surging demand.
Helium is irreplaceable unlike most industrial gases, it cannot be synthetically produced at scale. Its unique properties are non-reactive, ultra-light and possess the lowest boiling point of any element, making it essential for cooling the superconducting magnets in MRI scanners, semiconductor manufacturing, space exploration and quantum computing. Global consumption already exceeds six billion cubic feet annually and is projected to surpass 8.5 billion cubic feet by 2030, even as production remains concentrated in a handful of countries.
The United States and Qatar account for more than three-quarters of global supply, a concentration that has already caused shortages disrupting healthcare and electronics manufacturing worldwide. “This is not just a mining project but an opportunity for Tanzania to become part of the solution to a global shortage of a gas that has no substitute,” said Steven Kiruswa, Deputy Minister of Mines in Tanzania.
The geological case is compelling. Years of exploration culminated in a 2024 breakthrough at the Itambula West-1 well, where tests revealed helium concentrations of 5.5% at surface level, rising to 7.6% in deeper formations, levels considered highly competitive by global standards. “The project has the potential to become a significant new source of helium worldwide,” noted Lorna Blaisse, Chief Executive Officer of Helium One Global Limited.
The government is not approaching this as a passive host. Tanzania has committed more than $60 million to secure a 17% stake in the project, ensuring participation as a shareholder with influence over production, revenues and long-term strategy, a model consistent with President Samia Suluhu Hassan’s broader resource governance agenda of domestic value capture and equitable participation.
The 18 months development roadmap covers engineering design, environmental and social impact assessments, infrastructure development and procurement of processing and transport systems. In Songwe Region, local authorities anticipate job creation, infrastructure upgrades and new commercial opportunities tied to logistics and supply chains. Regional Commissioner Jabiri Makame was direct about the dual mandate, “Our priority is to ensure that investors succeed while our people benefit.”
Associated hydrogen production alongside helium extraction adds a further dimension, positioning Tanzania within emerging clean energy value chains. What lies beneath Songwe’s soil is more than a rare gas. It is a test case for how an emerging economy converts geological fortune into lasting strategic relevance and for Tanzania, the test has now formally begun.
