Zambia’s leading fuels, lubricants and oil-based products firm, Engen Petroleum’s has announced the construction of an all new pipeline linking the Engen depot in Lusaka to the government facility.
Jean-Blaise Ollomo, Managing Director of Engen Petroleum Zambia, says: “As Engen, our priority is to supply Lusaka as well as Southern Province and Eastern Province – particularly the capital, Chipata, which accounts for a large portion of Engen’s total fuel demand.”
Engen has a total of 36 service stations in Zambia of which 19 are located in Lusaka and the southern part of the country.
This additional pipeline injection will be critical in mitigating the fundamentals of price and supply.
“The depot is very busy with a demand of 7 million litres of product per month. Reducing costs, increasing supply and gaining an advantage for our largest commercial customer, will be a huge boost for our operations,” says Ollomo.
The additional required supply is currently being received from Ndola, which is located in the Copperbelt.
The Zambian government depot was built and commissioned in 2013 to help achieve a uniform pump price countrywide.
Drikus Kotze, General Manager of Engen’s International Business Division says that sustainable growth in the region is Engen’s vision for 2016 and beyond “with keen benefits aligned to the company, the countries it services and the continent as a whole.”
Engen Petroleum is an African based oil company whose core functions include the refining of crude oil and the delivery of world class retail convenience across the continent and the Indian Ocean Islands.
Good investment move, Engen. We need more of this fuel pipeline distribution network built in Zambia especially by the private sector. This will enable the cost of fuel to come down effectively than waiting for the so called ERB to do so.
Bravo to this step but let indigenous Zambians move into this investment opportunity than just leaving it to the Government and foreigners only.