SINGAPORE: Kenya has bought 138,050 tonnes of oil products through a spot tender for delivery in January, after already buying over 200,000 tonnes for the month, industry sources said on Monday.
Kenya's Ministry of Energy bought 25,000 tonnes of gasoline, 58,000 tonnes of gasoil, 25,000 tonnes of jet fuel and 30,050 tonnes of fuel oil from Addax Kenya, Galana Oil Kenya, Gulf Africa Petroleum Corp (Gapco) and Gulf Energy, they said.
It bought a 25,000-tonne gasoline cargo for delivery over Jan. 23-24 from Addax Kenya at a premium of $57.45 a tonne over Mediterranean quotes.
The country also bought a similar-sized jet fuel cargo for delivery Jan. 21-22 from Addax Kenya at a premium of $15.55 a tonne over Middle East quotes.
For the 500 ppm sulphur gasoil, Kenya bought two cargoes totalling 58,000 tonnes for delivery over Jan. 25-27 and over Jan. 15-18 at premiums of $24.49 and $31.80 a tonne to Galana and Gapco respectively.
It bought a rare 180-centistoke (cst) fuel oil parcel of 30,050 tonnes for delivery over Jan. 19-22 from Gulf Energy at a premium of $137 a tonne.
Demand for fuel has been growing from East Africa due to a shortfall in refining capacity and higher growth rates, prompting Kenya to seek fuel from outside the continent and in the Middle East and Asia.
Kenya's economy -- which is highly dependent on diesel for transport, power production and agriculture and on kerosene which is used in many homes -- is expected to grow by 5 percent or higher next year, from the current year's forecast of 4.5 to 5 percent.
A heavy rainy season over the next few months is also expected to boost harvests, in turn boosting demand for diesel.
Kenya last bought 347,768 tonnes of oil products through a spot tender for delivery in December to February. It had paid premiums of $17.35 and $19.85 a tonne above Middle East quotes for the January jet fuel cargoes, $20.85 a tonne for the January and February gasoline cargoes and premiums of between $23.65 and $35 a tonne for gasoil cargoes to be delivered over December to February.
Comments
Comments are closed.