Doubled petroleum handling capacity, KES 16B annual demurrage savings, 4 berths for 6 products, LPG capability, regional petroleum hub
New Kipevu Oil Terminal (KOT)
KES 40 billion offshore oil terminal at Port of Mombasa, largest of its kind in Africa, replacing the 50-year-old onshore terminal.
AnnouncedJanuary 1, 2016
StartedFebruary 1, 2019
Expected CompletionAugust 1, 2021
CompletedJanuary 1, 2022
Financials
Offering PriceKsh 40,000,000,000KES
Actual CostKsh 40,000,000,000KES
Cost Variance
Timeline
Construction Begins
CCCC commenced construction of the offshore oil terminal
Cost Escalation Questions
Questions arose about cost escalation from initial KES 13 billion estimate to final KES 40 billion
Construction Completed
Terminal completed; President Kenyatta inspected with Chinese FM Wang Yi
Scandals & Controversies
Cost Escalation Questions
January 1, 2021Questions arose about cost escalation from initial KES 13 billion estimate to final KES 40 billion
Contractors
China Communications Construction Company (CCCC)
Design and ConstructionBuilt the 770m offshore oil terminal with 4 berths and sub-sea pipelines
Politicians Involved
Uhuru Kenyatta
President of KenyaInspected the facility in January 2022 with Chinese Foreign Minister Wang Yi
David Chirchir
CS Energy and PetroleumTermed the facility a game changer for Kenya's petroleum handling
Benefits
Description
The New Kipevu Oil Terminal (KOT) is a KES 40 billion offshore island facility built by China Communications Construction Company (CCCC) at the Port of Mombasa, fully funded by the Kenya Ports Authority. Completed in January 2022, it replaced the 1963-built onshore terminal. The 770m-long jetty has four berths handling six hydrocarbon products including LPG, crude oil, heavy fuel oil, and three white oil types. It accommodates vessels up to 200,000 DWT (Very Large Crude Carriers). Five sub-sea pipelines run 26m below the seabed connecting to KPRL and KPC storage tanks. The terminal saves Kenya KES 16 billion annually in demurrage costs by reducing vessel turnaround from four days to two.
Overview
Africa's largest offshore oil terminal, doubling Kenya's petroleum handling capacity and positioning Mombasa as the regional petroleum hub for Uganda, Rwanda, Burundi, and South Sudan.