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Vivo Energy Kenya opens a 23 million litre diesel storage tank in Mombasa

Vivo Energy Kenya has today opened a 23 million litre diesel storage tank at the company’s Mombasa terminal. The opening of this tank makes Vivo Energy Kenya the oil marketer with the largest diesel storage capacity in the country. 23 million litres of diesel can be ferried by 660 long haul trucks or 535 rail wagons. The company also opened a 5 million litres petrol storage tank.

The opening of these tanks increases the company’s diesel storage to 53 million litres, and Petrol storage to 29 million litres. Increasing diesel storage to this enormous amount, is a sign of growth in the industry with increased volumes being witnessed at service stations, manufacturing and agricultural sectors. Vivo Energy Kenya, is supporting this increased growth through this investment in fuel storage.

Diesel consumption at Shell service stations has grown significantly since November 2012 when Vivo Energy Kenya was formed to distribute and market Shell branded fuels and lubricants. This increased diesel consumption has created the need for additional fuel storage, which is now in place.

In the last three years Vivo Energy has increased the number of Shell service stations in Kenya by 54%, from 112 to 172. The company footprint has seen an increase of service stations across various counties.

The investment will also serve as an avenue of supplementing the current ullage received from the pipeline, and enable Vivo Energy Kenya to support inland and Vivo Energy Uganda business.

With the increased storage capacity, Vivo Energy Kenya will utilise the railway more to transport fuel from Mombasa to Nairobi.

Speaking during the commissioning of the new tanks Vivo Energy Kenya Managing Director, Mr Polycarp Igathe said: “Additional storage will enable Vivo Energy Kenya to support its rapidly growing retail business which has witnessed a 54% growth over the last three years.  It also increases flexibility to support inland markets like Uganda.” He added that the company will additionally save money on shipping demurrage costs as fewer fuel tanker discharges will be needed.

The tanks were officially commissioned by the Principal Secretary in the State Department of Petroleum, Mr. Andrew Kamau. Construction of tank number three, with a capacity of 23 million litres of diesel, and tank number four with 5 million litres of petrol took 10 months. The construction was done by local Kenyan contractors and consultants. It was completed safely without any injury or incident.


Notes to editors:

ABOUT VIVO ENERGY

With a vision to become Africa’s most respected energy business Vivo Energy Kenya, the company that distributes and markets Shell-branded fuels and lubricants, was established in 2012. The Shell brand has been in Kenya since 1900.

Vivo Energy Kenya has a fuels storage capacity of 87,625 m³ and 172 service stations, with many offering Shell Cards and convenience retail stores.  

Vivo Energy Kenya employs 204 people. The company is recognised as a leader in the oil industry, championing and setting standards for safety.

Vivo Energy provides high quality solutions for motorists and businesses in Botswana, Burkina Faso, Cape Verde, Ghana, Guinea, Ivory Coast, Kenya, Mali, Mauritius, Madagascar, Morocco, Mozambique, Namibia, Senegal, Tunisia and Uganda. Its retail offering includes fuels, lubricants, card services, shops and other non-fuel services (e.g. oil change and car wash). For businesses it provides fuels, lubricants and Liquefied Petroleum Gas (LPG) to business customers across a range of sectors including marine, mining, and manufacturing. Jet fuel is sold to customers at 23 airports through a partnership with Vitol Aviation.

The company employs around 2,300 people, operates over 1,700 retail service stations under the Shell brand and has access to approximately 900,000 cubic metres of fuel storage capacity. Shell and Vivo Lubricants has blending capacity of around 125,000 metric tonnes at plants in six countries (Ghana, Guinea, Ivory Coast, Kenya, Morocco, and Tunisia) producing Shell branded lubricants. 


Media Contact:

Vivo Energy Kenya

Angela Munyua

Tel: +254 715 828 427 

Email: [email protected]

 

 

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Vivo Energy Kenya opens 14 million litre petrol storage tanks in Mombasa

Added fuel storage will ensure that Shell service stations remain ‘wet’ and operational for our customers.

Vivo Energy Kenya has today opened two fuels tanks at its Mombasa depot, with a total capacity of 14 million litres of petrol; equivalent to over five Olympic sized swimming pools, or enough to fill nearly a quarter of a million average sized car fuel tanks.

The opening of these tanks increases the company’s petrol storage to 22 million litres, and ensures a ready supply, needed as a result of significant retail business growth. In the last two years Vivo Energy has increased the number of Shell service stations in Kenya by 31%, from 121 to 158.

Retail business growth has seen Vivo Energy return to Western Kenya, increase its footprint in the Mt Kenya region, and steadily spread to other counties.

The growing retail network has prompted the need to increase fuel storage so that the market can be served efficiently, and service stations kept ‘wet’ and operational. According to a report by analyst firm IHS, Kenya has experienced sustained economic growth, and overall oil product demand in the country is estimated to increase by 3.1% on average through 2020. The motor fuel demand is expected to rise by 31% in the period between 2014 and 2020, driven by an expanding vehicle fleet and improved road network.

Petrol consumption at Shell service stations has grown from an average of 11 million litres to an average of 20.8 million litres per month, an 87% growth since November 2012 when Vivo Energy Kenya was formed to distribute and market Shell branded fuels and lubricants. This increased petrol consumption has created the need for additional fuel storage, which is now in place.

Speaking during the commissioning of the new tanks Vivo Energy Kenya Managing Director, Mr Polycarp Igathe said: “Additional storage will enable Vivo Energy Kenya to support its rapidly growing retail business which has witnessed a 31% growth over the last two years. It also increases flexibility to support inland markets like Uganda.” He added that the company will additionally save money on shipping demurrage costs as fewer fuel tanker discharges will be needed.

Present at the event, Mr Christian Chammas, Vivo Energy Group CEO, reaffirmed the company’s commitment to growing all its businesses in Africa: “Not just here in Kenya, but across our network of 16 markets in Africa we are passionate about growing and improving our business. We are investing around $300m over the next three years to build new service stations and refurbish existing ones so that our customers can receive high quality fuels and lubricants and experience the best convenience retail offer. I am delighted to see this tank project successfully and safety completed.”

The construction of tank number two, with a capacity of five million litres of petrol, took 10 months and the conversion of tank 24, with a capacity of nine million litres of petrol, took three months. The company is also increasing its diesel capacity and tank construction is underway.


Notes to editors:

About Vivo Energy

With a vision to become Africa’s most respected energy business Vivo Energy Kenya, the company that distributes and markets Shell-branded fuels and lubricants, was established in 2012. The Shell brand has been in Kenya since 1900.

Vivo Energy Kenya has a storage capacity of 87,625 m³ and 158 retail stations with a majority offering of Shell Cards and convenience retailing stores. Vivo Energy Kenya employs 193 people. The company is recognised as the leader in the oil industry especially championing and setting standards for safety in sales and distribution.

Vivo Energy provides high quality solutions for motorists and businesses in Botswana, Burkina Faso, Cape Verde, Ghana, Guinea, Ivory Coast, Kenya, Mali, Mauritius, Madagascar, Morocco, Mozambique, Namibia, Senegal, Tunisia and Uganda. Its retail offering includes fuels, lubricants, card services, shops and other non-fuel services (e.g. oil change and car wash). For businesses it provides fuels, lubricants and liquefied petroleum gas (LPG) to business customers across a range of sectors including marine, mining, and manufacturing. Jet fuel is sold to customers at 23 airports though a partnership with Vitol Aviation.

The company employs around 2,100 people and operates over 1,500 retail stations under the Shell brand and has access to approximately 900,000 cubic meters of fuel storage capacity. Shell and Vivo Lubricants has blending capacity of around 125,000 metric tonnes at plants in six countries (Ghana, Guinea, Ivory Coast, Kenya, Morocco, and Tunisia) producing Shell branded lubricants.


Contact person:

Vivo Energy Kenya: Communications Manager

Angela Munyua

Tel: +254 20 3205555

E-mail: [email protected]

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