Tanzanian billionaire Rostam Aziz contests halt of $130 million Mombasa gas plant

Tanzanian billionaire Rostam Aziz is fighting to overturn a court order that halted the construction of a $130 million liquefied petroleum gas terminal in Mombasa. The project, led by his company Taifa Gas Investments SEZ Ltd., was suspended by Kenya’s Environment and Land Court following a petition by two Likoni residents.

The suspended facility, designed to store up to 30,000 tonnes of LPG, is one of Aziz’s most ambitious projects outside Tanzania. Earlier this month, a Kenyan court declined to lift a freeze on the terminal’s development after two Likoni residents, Mohamed Karungu and Raphael Nyiro, filed a petition raising concerns about environmental approvals and regulatory oversight.

Taifa Gas expansion stalls amid legal fight

The lawsuit, lodged earlier this year, argued that the project posed ecological risks and bypassed community consultations required by law. While a separate court had previously dismissed an attempt to block construction, the mid-September ruling has left the project in limbo. Until the legal questions are resolved, the construction of the terminal remains on hold.

For Aziz, who was named Tanzania’s first dollar billionaire by Forbes in 2013, the case represents a major hurdle in his push to expand across East Africa. His company, Taifa Gas, already dominates Tanzania’s domestic LPG market and has marketed the Mombasa terminal as a crucial step toward reducing energy costs and ensuring steady gas supplies in Kenya.

Supporters of the project say the freeze could discourage investment in critical infrastructure, while petitioners argue that it is necessary to safeguard environmental standards.

Tanzania’s first billionaire eyes regional gas hub

Aziz, recognized by Forbes in 2013 as Tanzania’s first dollar billionaire, has steadily broadened his reach beyond his home country. Through Taifa Group, he holds interests spanning energy, telecom, logistics, and agriculture. His entry into Kenya directly challenges the dominance of tycoon Mohamed Jaffer’s Africa Gas and Oil Ltd., which controls much of the local LPG market.

The proposed terminal, designed with modern handling systems, has stirred wider competition. At least 13 other firms are seeking licenses to build LPG facilities in Kenya, signaling growing interest in the sector. If completed, Aziz’s plant could also serve as a regional export hub, supplying Uganda, Rwanda, and the Democratic Republic of Congo and shifting East Africa’s LPG supply chains toward Tanzanian-led operations.