The 40,000-tonne cargo, supplied by Oman’s OQ Trading, arrived aboard MT Sea Wolf at Kipevu Oil Terminal 2 in Mombasa on September 29.
OQ Trading is the international energy and commodities trading arm of Oman’s state-owned OQ group and is the supplier under Rwanda’s new government-to-government fuel import arrangement.
Kenya’s Energy and Petroleum Cabinet Secretary Opiyo Wandayi joined Rwanda’s Minister of State for Infrastructure, Armand Zingiro, and officials from the Kenya Ports Authority, Kenya Pipeline Company and energy regulator EPRA to witness the arrival.
KPC Plc Acting Managing Director and CEO, Mr. Pius Mwendwa, said: “This first cargo is the start of something much larger. From storage to pumping, our infrastructure exists to move Rwanda’s product safely, reliably and on schedule, and we will grow capacity in step with demand.”
The shipment marks the activation of a new Kenya-Rwanda petroleum corridor agreed under a framework signed by the two governments on June 29. Rwanda will use Kenya’s port, pipeline and storage infrastructure to bring bulk refined fuel into the country through the Northern Corridor.
Mombasa expands its regional energy role
Rwanda has traditionally relied heavily on Tanzania’s Dar es Salaam port for petroleum imports, with only a smaller share coming through Kenya. The new arrangement gives Kigali a second major maritime route and reduces its dependence on a single corridor.
Kenyan officials expect petroleum products transiting through the country to increase more than tenfold, from about 50,000 cubic metres annually to more than 500,000 cubic metres.
The agreement covers transportation, storage, scheduling and handling through KPC’s pipeline and terminal infrastructure, effectively turning Mombasa into a more important fuel gateway for Rwanda and the wider landlocked East African market.
For Rwanda, the arrangement is designed to improve fuel security, provide greater flexibility in sourcing and reduce logistical bottlenecks. Rwanda’s new national energy company, RNEC, is responsible for securing and diversifying the country’s energy supplies.
A market for Dangote’s planned refinery
The development also comes as Kenya prepares to break ground on Dangote’s proposed $17 billion East Africa Oil Refinery in Lamu.
The planned refinery is designed to process 700,000 barrels of crude oil per day, with Kenya positioning it as a regional facility capable of supplying markets beyond its borders.
Rwanda has already emerged as a potential customer. President Paul Kagame said in August that Kigali had held preliminary discussions with Dangote about taking a stake in the Lamu refinery, although details had not been finalised.
Although the current Mombasa shipment is not connected to Dangote’s refinery as it is imported refined fuel supplied by OQ Trading, the new corridor demonstrates the kind of regional market and logistics network that Kenya hopes its future refinery will serve.
Source: Africabusinessinsider