Kenya: KPRL to Issue Tender for Multi-Billion Dollar Expansion
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Tuesday, 09 October 2012 |
Kenya Petroleum Refineries Limited has said that it will redesign its entire facility and that it will award a contract for the job to a company via a tender. The multi-billion dollar job on East Africa's only refinery will increase the overall output capability of the facility and enhance its ability to produce high-grade from cheaper sources, the company says.
“When the board approves the new engineering design, we will begin to arrange funds. The process could take up to 12 months, including the award of the tender before the start of the upgrade,” Brij Mohan Bansal, KPRL's Chief Executive (pictured), explained.
The upgrade, predicted to cost around $1.2bn, will also see the Mombasa facility able to run on its own energy supply. Any surplus will be sold to other energy companies, it says. "We are also installing new pump facilities to be able to pump more refined oil to the Kenya Pipeline Corporation to enhance the efficiency of the oil industry," Bansal said. He added that the project will be financed using a mixture of debt and equity financing.
PetrolWorld 08102012
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