Kenya is charting a bold course to strengthen its regional energy footprint through a strategic public-private partnership with global oil giant Saudi Aramco.
Central to this plan is the development of a major oil storage facility in the coastal city of Mombasa, a move designed to position the country as a key logistics and supply hub for petroleum products in East and Central Africa.
The Kenya Pipeline Company (KPC) is leading the discussions with Saudi Aramco, aiming to establish a large-capacity oil terminal that will significantly enhance the country’s storage and distribution capabilities.
Mombasa’s location on the Indian Ocean makes it an ideal point of entry and exit for energy products, offering Kenya a vital strategic advantage as regional demand continues to rise.
This partnership forms part of Kenya’s broader vision to become more than just a transit nation, it aims to play an active role in stabilizing fuel supplies across the region, while supporting economic resilience through reliable energy infrastructure.
In parallel, the government is in talks with Aramco to set up a floating liquefied petroleum gas (LPG) terminal off the Mombasa coast. This interim facility, with a projected capacity of 30,000 tonnes will bridge the gap in gas supply during the three-year construction period of a permanent onshore LPG plant. It will also improve accessibility to cleaner cooking energy for millions of Kenyan households.
These developments follow Kenya’s decision to extend a petroleum supply agreement with key Gulf energy players, including Saudi Aramco, ADNOC, and ENOC. Under this agreement, Kenya is allowed to purchase fuel on deferred payment terms of up to 180 days, easing pressure on its foreign currency reserves and helping stabilize domestic fuel prices.
By investing in both short- and long-term energy solutions, Kenya is taking a practical and forward-looking approach to energy security.
The Mombasa projects, if completed as planned, will serve as important pillars in the country’s quest to ensure steady supply, lower import costs, and build a reliable logistics framework for the wider region. While the vision is ambitious, the foundations being laid today reflect a clear policy direction: Kenya is ready to leverage strategic partnerships, smart financing, and its geographic position to play a larger role in Africa’s evolving energy map.
