Kenya extends oil supply agreement with three Gulf companies

NAIROBI: Kenya has extended an oil supply deal with three Gulf-based companies to December 2024, the energy regulator said on Tuesday.

The East African nation entered the deal with Saudi Aramco, Abu Dhabi National Oil Company and Emirates National Oil Company earlier this year to try to manage demand for dollars.

“There was an extension up to December 2024 so this is basically arising out of negotiations that have been happening to drive down the freight and the premium (costs),” the head of the regulator, Daniel Kiptoo, said.

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The deal had helped lower the cost of transporting oil to Kenya and the premium it pays to suppliers, he said, defending the deal.