Oil firm invests Sh800 million in new storage terminal

By John Oyuke

Oil marketing company, Hashi Empex, has bought the former Agip oil terminal in Mombasa at a cost of Sh800 million.

Chief Executive Officer, Ahmed Hashi, said the investment, is part of a five-year investment strategy, to support the company’s regional growth including entry into local retail and industrial market.

He said the oil terminal has a storage capacity of 20 million litres of petroleum products and the largest liquefied petroleum gas storage facility.

The investment would see the establishment of a new LPG bottling plant, expected to be operational during the second quarter of this year. "We anticipate that we will handle huge consignments of oil products to service our businesses locally and the Great Lakes region and need adequate storage facilities," said Hashi in a statement.

He added that the firm would also offer storage services to other industry players.

He explained that the depot is linked to Kenya Petroleum Refineries Ltd, which enables Hashi Empex to get fuel products delivered faster.

‘‘This direct connection to the refinery will enable us turn around customer orders faster and enjoy efficiencies across our business,’’ said Hashi. Hashi disclosed that in addition to the oil terminal investment, the firm plans to roll out service stations in all major urban centres.