Kenya negotiating with Saudi Aramco for floating LPG facility
Kenya is currently in negotiations with Saudi Aramco to secure a floating LPG facility, reported Bloomberg.
This move by President William Ruto’s administration aims to increase the supply and lower fuel costs in Kenya.
According to state-owned Kenya Pipeline Company (KPC) CEO Joe Sang, the floating LPG ship, due to be situated off Mombasa’s port, is expected to process 30,000 tonnes of fuel and will temporarily serve as a storage and bottling plant.
The interim LPG facility is set to strengthen the gas supply chain as Kenya commences the construction of a permanent LPG plant, which is anticipated to take three years to complete.
Within the next two months, Kenya will issue tenders for the construction of this permanent facility, Sang revealed during an interview in Kigali, Rwanda.
This initiative is part of President Ruto’s commitment to reduce the cost of cooking gas, which includes a 2023 pledge to cut the price of a 6kg cylinder by approximately 90%.