The Kenyan government has authorised Kenya Pipeline Company (KPC), a state-owned company, to acquire Kenya Petroleum Refineries Limited (KPRL) for free in a plan aiming to reinforce the country’s petroleum supply chain infrastructure. Currently, the government fully owns the refinery located in Mombasa, which stopped operations in 2013.
KPRL was placed under the management of KPC in 2017 and transformed into a storage facility after the Indian energy group Essar failed to revive Kenya’s only oil refinery. The installations includes 45 storage tanks with a capacity of 484 million litres (3.1 mbl), out of which 254 million litres (1.6 mbl) is reserved for refined products, while the remaining 233 million litres (1.5 mbl) will be used for crude oil.
With the new Kipevu oil terminal, Kenya seeks to double the capacity of handling transit petroleum products and invite Uganda, Rwanda and Burundi to start considering Mombasa for their petroleum products imports. Those countries currently import fuels mainly from Tanzania via Dar es Salaam. KPC had a throughput of 8.1 million cubic meters in 2020-2021 (52.2 mbl).
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