Zimbabwe's oil infrastructure company NOIC finishes building 650-tonne LPG storage terminal

The National Oil Infrastructure Company of Zimbabwe (NOIC) has finished constructing a facility to hold 650 tonnes of liquefied petroleum gas (LPG) in a bid to stabilise supplies of the on-demand energy source.

Phase two of the $11mn project in Harare, the capital, will involve the construction of a 1,350-tonne handling facility, which is now at 60% completion, The Herald wrote on November 30.

NOIC chief executive officer Wilfred Matukeni said the total scope of the project in the oil-importing nation is 2,000 tonnes.

“The first phase is complete. We have completed the installation of tanks, and we have already received LP Gas. So we are busy testing for the commissioning of the facility,” he said.

“So far, we have divided the project into two phases. The first involves the installation of a storage capacity of 650 tonnes with a full automatic control system, which will involve some measurements like weighbridge and carousel for the loading of gas cylinders.”

LPG usage for cooking is rising in the southern African nation amid power outages. It used 44.29mn kilogrammes (equivalent to 44,290 tonnes) between January and August 2023 with the Zimbabwe Energy Regulatory Authority forecasting usage to end the year at 65mn kg.

“The facility is --- meant to give the government some control in the storage and handling of LP Gas and therefore enhance government’s regulation of the sector,” commented Joram Gumbo, presidential advisor for monitoring implementation of government programmes.

“The expectation is that this will reduce the withholding of the product by unscrupulous dealers for speculative purposes.”