Kenya yet to decide oil refinery's fate

Under the terms of the shareholders’ agreement established with the Government of Kenya at the time of acquisition, Essar Energy has the right, under certain conditions, to exercise an exit option in which the Government of Kenya would buy Essar Energy’s 50 per cent share of KPRL for $5 million. [PHOTO: FILE/STANDARD]

Nairobi; Kenya: Kenya is yet to decide whether to turn east Africa’s only oil refinery into an oil storage facility or pay for its upgrade after buying the remaining 50 per cent stake from India’s Essar Energy, the energy minister said on Friday.

Fuel distributors have long complained about the poor quality products from the 50-year-old refinery in the port city of Mombasa and prefer importing cheaper and better imports.