Stabex International (STABEX), an oil marketer and a fast growing petroleum company in Uganda, has invested in an disclosed amount in Liquefied Petroleum Gas (LPG) brand aiming a significant share of the market in Kenya.
The company says it will be leveraging on a distribution network of more than 70 retail petrol stations.
It is projected that coordinated marketing efforts by Stabex will grow LPG usage resulting in a market expansion of 6% in three years.
“LPG usage has an untapped market size of about 83% and 89% in Kenya and Uganda respectively. At Stabex, we see this as a huge opportunity in both countries and are aligning our penetration strategy with the ‘UN Sustainable Energy for All Initiative’ whose goal is to have one billion more people cooking cleanly with LPG energy by 2030,” said Head of Supply and Business Development, Mr. Benson Mwangi.
According to the national bureau of statistics, Kenya alone had up to 300,000 metric tonnes of LPG demand, against an annual supply of 170,000 metric tonnes.