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5 Best Energy Companies in Kenya

Analyst Team trader
Updated 28 May 2024

Both in terms of exploration and mining, Kenya’s petroleum industry remains in its infancy. The first oil was discovered in 2012 by the British business Tullow Oil. Analysis of commercial viability is now underway. The two main driving forces in the petroleum industry today are importation and refining.

Due to the discovery of crude oil and natural gas, Kenya has recently received attention from around the world, igniting speculation that it may soon join the group of countries that produce oil. Additionally, it has sparked investment interest in the oil industry.

The major framework for overseeing the oil and gas sector in the United Kingdom at the moment is the Petroleum (Exploration and Production) Act and its associated regulations.

In this article, we examine the top 5 energy stocks in Kenya that provide access to the developing energy market there. Even if some firms these are not listed on the Nairobi Stock Exchange, their shares may still be traded there.

Best Energy Companies in Kenya to buy right now


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5 Best Energy Companies in Kenya

1. TotalEnergies Marketing Kenya (TOTL)

Overview

TotalEnergies Marketing Kenya was started in 1955. The company sells petroleum products and related services.

The company meets Kenya's commercial, residential, and transportation demands. TotalEnergies Marketing Kenya makes lubricants for high-performance engines, transmissions, and industrial and automotive machines.

In addition, Total Kenya Limited sells distilled water, braking fluids, engine coolant, dashboard cleaners, and air fresheners.

TotalEnergies Marketing Kenya runs 180 service stations, five fuel depots, and two LPG filling facilities. Total Kenya Limited owns six aircraft depots and a lubricant-blending factory.

TotalEnergies Marketing Kenya has a market value of 4.28 billion KES, a P/E ratio of 4.67 KES, profits per share of 5.24 KES, and 175 million outstanding shares.

Third-quarter Total Kenya Limited equity was 27,573,807 KES and noncurrent assets were 13,651,768 KES. Total Kenya Limited's 2.70 KES EPS bodes favourably for future dividends and returns, considering the stock's 5.24 KES EPS.

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2. Vivo Energy (VVO)

Overview

Vivo Energy was created when Shell began operations in Africa in 2011. Cape Verde, Senegal, Madagascar, Mali, Mauritius, Morocco, and Tunisia were affected.

Vivo Energy

The company began its retail development in Kenya in 2013, establishing 100 gas stations.

The company distributes Shell fuels and lubricants in over 15 African nations with 1800 service stations. Retail generates 60% of the company's revenue, commercial 28%, and lubricants 2%.

The company's main function is to deliver lubricants and fuels to countries who don't have them.

Vivo shares also trade on the Johannesburg Stock Exchange under the ticker “VVO” (JSE).

Recent internet stock chart data reveals a dip for Vivo, but economic forecasts suggest the company's dominant position in African markets, backed by Shell, will provide long-term growth in these rising nations.

Since 2000, the African fuel market has developed, and as the mining industry expands, demand for Vivo's goods will climb. This bodes favourably for JSE shareholders.

Vivo Energy's stock is likely to rise in 2022 and beyond, making it a solid long-term investment.

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3. Rubis Energy Kenya (RUI.PA)

Overview

Rubis, a French independent operator, was created in 1990. Rubis Énergie distributes oil across Europe, the Caribbean, and Africa. Gas stations, commercial fuel oil, aviation fuel, LPG, and bitumens are included.

Midstream covers refining, trading-supply, and shipping; downstream includes distribution, support, and services.

Rubis Terminal operates a liquid storage facility for clients (petroleum, chemical and agri-food products). Rubis Terminal has substantial positions in France, the Netherlands, Belgium, and Turkey.

Rubis has expanded across Africa, Europe, and the Caribbean through investments and acquisitions since 2000.

The Group has grown steadily through organic expansion, new locations, smart acquisitions, and productivity improvements.

Rubis is one of Kenya's largest fuel wholesalers. The company bought KenolKobil PLC and Gulf Energy Holdings. Rubis's position as a regional downstream opponent has been bolstered by these transactions.

Kenolkobil Limited buys, stores, transports, and sells petroleum products to Africa. Motor fuels, industrial oils, liquefied petroleum gas, aviation fuels, lubricants, and numerous speciality oils are all part of the crude and refined petroleum products that are traded in this industry.

Kenolkobil Limited sells gas accessories such as burners, regulators, grills, lamps, cookers, gas poles, and hoses.

Kenolkobil Limited's K-Card is Kenya's first electronic fleet fuel management system. Cardholders receive savings at all of the company's service stations. The company began as a Kerosene distributor in 1959 and expanded into service stations.

Kenolkobil Limited, formerly Rubis Energy Kenya, is the largest Kenyan oil marketing firm. It also does business in Burundi, Ethiopia, Rwanda, Uganda, and Zambia.

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4. OLA Energy (OLA)

Overview

Africa is where OLA Energy got its start. Due to its operations in 17 African nations, including Kenya, the corporation has ingrained itself in those communities and promoted social and economic development that benefits all of Africa.

OLA Energy

OLA Energy conducts business with honesty, fairness, and integrity as its guiding values to stay loyal to its African heritage.

With approximately 1,500 workers from a variety of backgrounds, the potential to create 20,000 indirect jobs in the countries where it operates, and up to 250,000 daily visitors, OLA Energy has developed into a significant player in Africa.

The business keeps growing its position in Africa, where it already runs over 1,200 service stations, eight blending plants, sixty petroleum terminals, and a presence in over fifty airports.

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5. ExxonMobil (XOM)

Overview

ExxonMobil has high-quality projects and opportunities in its Upstream, Downstream, and Chemical businesses. ExxonMobil's global operations boost neighbouring economies.

ExxonMobil

ExxonMobil has invested in Kenyan communities' education, economic empowerment, health, infrastructure, and human capability.

Oil will meet 55% of the world's energy needs through 2040, making it essential for the transportation and chemical industries. ExxonMobil has been studying oil and gas science and engineering for a while.

Traditional onshore oil fields are closing. Increasing energy demand requires more oil sands production.

Fortune Global 500 ranked the firm #2 overall, #2 among publicly owned corporations, and #1 among U.S. oil companies in 2017.

Strong financial performance reassures investors. It had a $20.84 billion profit, $191.80 billion in equity, and $346.20 billion in assets. ExxonMobil's NYSE ticker is “XOM” (NYSE).

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The AskTraders Analyst Team features experts in technical and fundamental analysis, as well as traders specializing in stocks, forex, and cryptocurrency.
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