Kenya Petroleum Refineries Limited (KPRL)
Kenya Petroleum Refineries Limited (KPRL) operates the Mombasa refinery.[1][2] As of October 2013, 50 percent of the shares are held by the Kenyan government and the remaining 50 percent by Essar Energy Overseas Limited, an Indian energy company.[3] However, in October 2013, Essar Energy announced its intention to sell its stake to the Kenyan government, following a series of studies commissioned by the company, which concluded that the upgrade of the Mombasa refinery is not economically viable in the current refining environment.[4]
History
KPRL was originally set up by Shell and BP to supply the East African region with a wide range of oil products.[5]
The company was founded in 1960 under the name East African Oil Refineries Limited.[6] The first refinery complex with distillation, hydrotreating, catalytic reforming and bitumen production units was commissioned in 1963.[7] The second refinery train was commissioned in 1974, also with distillation, hydrotreating and reforming units. In 1971, the government acquired 50 percent of the company shares and in 1983 the name of the company changed to Kenya Petroleum Refineries Limited.[8]
In July 2009, Essar Energy acquired a 50 percent stake in KPRL for $7 million from BP, Chevron and Shell. Under the terms of the shareholders’ agreement, Essar Energy had the right, to exercise a put option (under certain conditions) under which the Kenyan government would buy this 50 percent share of KPRL for $5 million.[9] In early October 2013, the company exercised this put option.[10]
Organisation
The company is headed by a Board of Directors and a Management Team.[11] As of October 2013, the Board of directors is composed of 6 positions held by respresentatives of the Kenyan government and 3 positions by Essar Energy Overseas Limited.[12]
Current Office Holders
As of October 2013, the current office holders are:
Board of Directors:
- Alternate Director: Festus W. King'ori and Lawrence T. Gatama (from the Kenyan government)
- Director: Hesbon Gondi, Patrick Nyoike and Joseph Kinyua (from the Kenyan government); Naresh Nayyar, Narendra Vachharajani and Srinivasalu Thangapandian (Essar Energy Overseas Limited)
Management:
- Chief Exectutive Office: Bansal Brij Mohan, as of September 2013[13]
- Chief Operating Officer: Charles Nguyai [14]
Functions
KPRL operates the Mombasa refinery[15]. Within processing agreements KPRL offers the following services:[16]
- Crude oil refining
- Laboratory services
- Loading facility
- Emergency response school
References
- ↑ “Essar Energy offers to sell shares in Mombasa refinery to Kenya at Sh430m”.Standard Digital, 3 October 2013.
- ↑ “About Us”.Kenya Petroleum Refineries Ltd., 1 October 2013.
- ↑ “About Us”.Kenya Petroleum Refineries Ltd., 1 October 2013.
- ↑ “Essar Energy to exit Kenya Petroleum Refineries”.live mint: The Wall Street Journal, 30 October 2013.
- ↑ “About Us”.Kenya Petroleum Refineries Ltd., 1 October 2013.
- ↑ “About Us”.Kenya Petroleum Refineries Ltd., 1 October 2013.
- ↑ “About Us”.Kenya Petroleum Refineries Ltd., 1 October 2013.
- ↑ “About Us”.Kenya Petroleum Refineries Ltd., 1 October 2013.
- ↑ “Proposed law for oil sector heralds row with counties”.Business Daily, 11 July 2013.
- ↑ “Essar Energy to exit Kenya Petroleum Refineries”.live mint: The Wall Street Journal, 30 October 2013.
- ↑ “About Us”.Kenya Petroleum Refineries Ltd., 1 October 2013.
- ↑ “About Us”.Kenya Petroleum Refineries Ltd., 1 October 2013.
- ↑ “Essar Energy to exit Kenya Petroleum Refineries”.live mint: The Wall Street Journal, 30 October 2013.
- ↑ “About Us”.Kenya Petroleum Refineries Ltd., 1 October 2013.
- ↑ “Essar Energy offers to sell shares in Mombasa refinery to Kenya at Sh430m”.Standard Digital, 3 October 2013.
- ↑ “http://www.kprl.co.ke/services.php”.Kenya Petroleum Refineries Ltd., 1 October 2013.
