NAIROBI, Kenya, Mar 17 – Petroleum product company Ken Petrogas Limited will be putting up a Sh1.13 billion liquefied petroleum gas (LPG) and liquefied natural gas (LNG) factory in Shimoni, Kwale County.
The new facility will involve the construction of 10,000 metric tons (MT) of LPG storage tanks, 140,000 m3 of LNG storage tanks, a floating jetty, and a LPG/LNG truck marshaling yard for 65 trucks.
The proposed construction is contained in an Environmental & Social Impacts Study Report that was submitted to the National Environment Management Authority (NEMA) for approval.
“The first phase of the proposed project will entail construction of an LPG receiving & storage facility that will be able to store up to 10,000 metric tonnes of LPG,”
“In the second phase an LNG handling facility of 140,000 cubic meters. The site layout for the development is as shown figure below.”
Construction of the plant will help lower the current prices of gas that are at their peak.
Over the last few years, gas prices have been rising in the country due to high demand for the product coupled with low supply.
This comes at a time when firms are putting up LPG facilities in the country to help cool down the prices.
Only a few days ago, Tanzanian billionaire Rostam Aziz received a license to put up a cooking gas plant in Mombasa.
Under the brand name Taifa Gas, the facility will have a capacity of 30,000 tons at the Special Economic Zone in Dongo Kundu.
The cost of the entire project was estimated at Sh16.25 billion.
Taifa Gas is Tanzania’s largest supplier of LPG.
“Based on the Environmental & Social assessment, the proposed project is a key investment in growing the country`s clean energy infrastructure & supply,” the study submitted to NEMA added.
“Sustainability elements have been inbuilt into the design process making the project viable for licencing subject to adequate resourcing and implementation of the environmental and social management plan.”
