Rostam Aziz’s $124m LPG Terminal Set to Disrupt Kenya’s Cooking Gas Market
Taifa Gas, controlled by Tanzanian billionaire Rostam Aziz, is nearing completion of a $124-million liquefied petroleum gas (LPG) terminal in Mombasa, Kenya, in a move that could significantly increase competition in the country’s cooking gas market.
The 30,000-tonne facility is being developed at the Dongo Kundu Special Economic Zone near the Port of Mombasa. It includes 12 spherical storage tanks and can potentially be expanded to 45,000 tonnes.
The terminal will support bulk LPG imports, storage and regional distribution, providing an additional supply route in a market where imports have historically been concentrated through two major facilities.
Kenya’s installed LPG storage capacity stood at 44,430 tonnes as of March 2025, while cooking gas demand rose 14.59% year on year to 251,425 tonnes in the second half of 2025 as more households shifted away from charcoal and firewood.
Taifa Gas’ new facility is therefore expected to strengthen supply security and give marketers greater access to storage and import capacity. Increased competition could also help reduce supply-chain costs, although the impact on retail prices will depend on how savings are passed through to consumers.
Construction began in 2023 but was delayed by compensation disputes and legal challenges concerning environmental concerns.
Those obstacles were cleared by late 2025, allowing the project to resume.
The terminal is expected to strengthen Kenya’s position as a regional LPG hub while expanding Taifa Gas’ presence in East Africa’s growing clean cooking energy market.
