Hass Petroleum inks oil dealer with Oman dealer :: Kenya

Oil marketer Hbad Petroleum Group has partnered with Muscat-based Oman Trading International to market its petroleum products in East Africa.

Oman Trading International (OTI) has acquired 40 per cent stake in Hbad Petroleum Group.

"Today marks a significant growth strategy," said Oman Oil Marketing Company Chief Executive David Kalife. Oman Oil Marketing Company is a subsidiary of OTI.

"Moving forward, we are focused on identifying new business leads and expanding the geographical reach of Oman's borders."

Mr Kalife said he was confident that Hbad Petroleum would not help but strengthen the relations between the Sultanate and Kenya, but also help establish new relationships between the two nations and her neighbors.

Distribution network

Hbad Petroleum also plans to expand its distribution network in the region, including Uganda, Tanzania and the Democratic Republic of Congo.

"When you look at the Kenyan lubricants market, you realize that there is a lot potential. Going by recent numbers, the market is worth about Sh18 billion ($ 180 million.) Majority of this comes from the transportation and industrial sectors, "Hbad Petroleum Group CEO Issa Mohamed.

Mr Mohamed said that OTI would provide technical expertise and financial backing to African markets.

He observed that the partnership would ensure the firm remained competitive in the region.

Mohamed said the firm would expand to southern Africa, with Zambia and Mozambique on its new market plan.

"We plan to start with the subject of aviation and industrial sector. Then, we will be rolling out service stations, "noted Mohamed.

Oman Oil Marketing Company produces lubricants in the Middle East, North Africa and Indian sub-continent including Bahrain, Yemen, Ethiopia and Bangladesh.