Abstract. Full text article available at https://doi.org/10.1016/j.exis.2020.12.003The production of natural gas in Tanzania has contributed to national socioeconomic development. It is responsible for about 57% of the total generated electricity in the country. Despite a growing body of literature in this sector, little intellectual attention has been given to how local community members participate in and profit from this sector through an articulated engagement mechanism, employment and other benefits. Using a mix of qualitative research methods, we studied two gas-producing locations of Msimbati and Songosongo in southeastern Tanzania. Findings suggest inadequate local community participation. Belated and fast local community engagement by the government and gas companies resulted in unmanageable expectations to local communities. Hopes for more local employment opportunities dwindled as gas projects entered the production phase that required skilled workers. Stakeholders were unprepared without a gas sector institutional framework. Local communities have failed to tap the potential to produce and supply foodstuffs to gas companies. This has further restrained their potentially meaningful participation in this sector. Benefits emanating from gas activities have appeared inequitably shared among stakeholders. We call for well thought local community engagement approaches, equitable benefit-sharing modalities and local community preparedness to promote meaningful local community participation in the natural gas sector.