Kenya to assemble bulk cooking gasoline storage facility

The Kenya Pipeline Company (KPC) is set to assemble a cooking fuel storage facility at the Kenya Petroleum Refineries Ltd (KPRL). The transfer is expected to ease the importation of Liquefied Petroleum Gas (LPG) into the country, growing competition among oil entrepreneurs and, in flip, bringing down the price of the gas.
เกจวัดแรงดัน10bar can be expected to allow players to import cooking gasoline through the Open Tender System (OTS), a fuel importation mechanism supervised by the Petroleum Ministry that contracts oil companies with the lowest bids to import petroleum products on behalf of the business. The bulk storage facility, to be owned by the government, could also usher in an period of worth controls for cooking fuel.
KPC has began the search for an organization that it mentioned would provide engineering designs for the proposed facility, which is in a position to inform the method of choosing a contractor for the development works.
The advisor will also undertake environmental impression evaluation in addition to LPG demand within the Kenyan market. “The proposed new facility is to be designed as a ‘common user’ facility for allotting LPG to involved parties by way of rail siding, truck loading, and bottling facilities,” said KPC in tender documents.
READ: Kenya leads East Africa in electricity entry
“KPC is desirous of implementing storage capacity of no less than 25,000 metric tonnes in the medium time period and 50,000 metric tonnes in the long term subject to affirmation after undertaking the LPG demand research.” The facility at KPRL, which KPC runs via a lease, shall be linked to the second Kipevu Oil Terminal (KOT 2), which is nearing completion.
In 2005, a study jointly conducted by the Ministry of Energy and The World Bank beneficial that LPG storage amenities with total capacities of 8700 tonnes be set up in the three cities including Nairobi, Mombasa and Kisumu, and the two major towns of Eldoret and Nakuru.
Meanwhile, KPC is seeking a transaction adviser to assist it conclude the takeover of the defunct KPRL because it seeks to boost its storage capability. KPRL was placed under the administration of KPC in 2017 as a storage facility for imported crude oil after Indian investor Essar didn’t revive the country’s solely oil refinery.
KPRL has 45 tanks with a complete storage capability of 484 million litres. About 254 million litres is reserved for refined merchandise whereas 233 million litres is for crude oil.
Share

Leave a Comment