INVESTMENT

Rubis to spend Sh98.7bn in Kenya in the next five years

Monies to go into storage, distribution and sale of petroleum and LPG in the country.

In Summary

•It is rebranding 190 KenolKobil outlets and Gulf Energy’s 46 petrol stations in the country.

•This is after acquiring KenolKobil in March 2019 in a Sh36 billion deal. The Gulf Energy buyout however remains undisclosed.

Newly rebranded Matasia petrol station/RUBIS
Newly rebranded Matasia petrol station/RUBIS

French energy firm Rubis Energy plans to pump in $900 million (about Sh98.7 billion) in its operations in Kenya over a five year period, as it rebrands KenolKobil and Gulf Energy outlets.

The oil firm is investing in the storage, distribution and sale of petroleum and liquefied petroleum gas in the country, with plans to become a fully stand-alone brand in Kenya by end of 2022.

This is after acquiring KenolKobil in March 2019 in a Sh36 billion deal. The Gulf Energy buyout amount however remains undisclosed.

The firm which launched its Rubis brand in Kenya in October last year is phasing out the two firms and will rebrand 190 KenolKobil outlets and Gulf Energy’s 46 petrol stations in the country.

It currently has a combined network of 230 service stations countrywide giving it a market share of 21.6 per cent in the country’s petroleum sales market.

It came third in overall market share (including exports), in the Petroleum Institute of East Africa (PIEA) December data, with a nine per cent share.

This is after Vivo Energy Kenya which grew its overall market share to 18.5 per cent in quarter three, 2020 , from 16.9 per cent in quarter two.

Total Kenya took the second position with a 1.43 per cent marginal growth, closing at an overall market share of 15 per cent.

Rubis Energy Kenya Group managing director-East Africa Jean-Christian Bergeron said the rebranding will ensure the sustainable accessibility of Rubis products.

"As part of our strategy to establish our footprint in the country, we are looking at meeting our customers need of mobility, heating, and cooking through our petrol stations,” said Bergeron.

The firm is also investing in fast-food services, retail stores and automotive fuel cards.

It has subsidiaries in Burundi, Ethiopia, Rwanda, Uganda and Zambia.