Kenya to assemble bulk cooking gas storage facility

The Kenya Pipeline Company (KPC) is ready to assemble a cooking gas storage facility on the Kenya Petroleum Refineries Ltd (KPRL). The transfer is expected to ease the importation of Liquefied Petroleum Gas (LPG) into the country, rising competition amongst oil marketers and, in turn, bringing down the price of the gasoline.
The facility can also be anticipated to allow players to import cooking fuel by way of the Open Tender System (OTS), a gas importation mechanism supervised by the Petroleum Ministry that contracts oil firms with the lowest bids to import petroleum merchandise on behalf of the trade. The bulk storage facility, to be owned by the government, might additionally usher in an era of worth controls for cooking gasoline.
KPC has started the search for a company that it stated would offer engineering designs for the proposed facility, which is able to inform the process of selecting a contractor for the construction works.
The consultant will also undertake environmental influence assessment in addition to LPG demand in the Kenyan market. “The proposed new facility is to be designed as a ‘common user’ facility for dishing out LPG to fascinated events by way of rail siding, truck loading, and bottling services,” stated KPC in tender paperwork.
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“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 lengthy run subject to confirmation after undertaking the LPG demand research.” The facility at KPRL, which KPC runs via a lease, will be linked to the second Kipevu Oil Terminal (KOT 2), which is nearing completion.
In 2005, a research jointly performed by the Ministry of Energy and The World Bank recommended that LPG storage amenities with whole capacities of 8700 tonnes be arrange in the three cities together with Nairobi, Mombasa and Kisumu, and the two main towns of Eldoret and Nakuru.
Meanwhile, KPC is looking for a transaction adviser to help it conclude the takeover of the defunct KPRL because it seeks to boost its storage capacity. KPRL was positioned under the management of KPC in 2017 as a storage facility for imported crude oil after Indian investor Essar didn’t revive the country’s only oil refinery.
KPRL has forty five tanks with a complete storage capability of 484 million litres. About เกจแรงดันสูง is reserved for refined merchandise whereas 233 million litres is for crude oil.
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