The National Oil Corporation of Kenya (NOC) has secured a strategic partnership with RUBiS Energy Kenya, a move expected to breathe new life into the state-owned entity’s operations and financial stability.

The agreement follows the completion of the Specially Permitted Procurement Procedure (SPPP) under the Public Procurement and Asset Disposal Act, 2015 (PPADA).

Energy and Petroleum Cabinet Secretary Opiyo Wandayi said the collaboration is expected to enhance NOC’s capacity and financial position.

“With this renewed profitability, the Corporation will be well-positioned to generate returns and, in the future, begin paying dividends to its shareholders,” he said.

NOC Managing Director Leparan Ole Morintat noted that the oil and gas sector is capital-intensive and requires significant investment to remain competitive.

Read More

  1. Sh1.4 billion KPC pump station slated to boost product flowrate in Western Kenya
  2. KPC Foundation funds Sh11 million school projects to support learners with disabilities
  3. Court nullifies Privatisation Act 2023, blocks sale of KICC, other key parastatals

“Securing shareholder capital injection was not feasible, so NOC sought a non-equity strategic partner to provide financial support and technical expertise,” he said, adding that the process, initiated in 2019, led to the selection of RUBiS Energy Kenya.

The partnership is part of NOC’s turnaround strategy, aimed at stabilising fuel supply, controlling price fluctuations, and reducing operational costs.

It will also help clear outstanding debts and ensure financial sustainability.

RUBiS Energy Kenya will provide working capital financing, support for the rebranding and expansion of NOC’s retail network, staff training, and the deployment of an Enterprise Resource Planning (ERP) system.

RUBiS Energy East Africa CEO Olivier Sabrié said, “Collaborations are key to driving growth and success. RUBiS Energy Kenya is committed to supporting the Corporation through financing, management, and branding support.”

With RUBiS providing financial backing and technical expertise, NOC now faces a critical test—whether this partnership can steer the corporation back to profitability and stability.

As the oil and gas sector remains highly competitive, the success of this deal will depend on how effectively both parties implement the turnaround strategy.

For NOC, this collaboration offers a chance to regain its footing in the market, but its long-term sustainability will ultimately be determined by execution and results.