Zambia awards Kuwait’s IPC 1.4 mln tonnes oil deal

Zambia has awarded a $1.2 billion two-year oil supply contract to Kuwait’s International Petroleum Group (IPG).

Energy and water development permanent secretary Peter Mumba said IPG had been selected ahead of four other international firms, including Russia’s Lukoil. “IPG has been awarded (a contract) for supply of 1,440,000 metric tonnes of crude oil over a period of two years and the first batch of 90,000 tonnes will arrive on or before 9 February.” IPG would supply 16 shipments of 90,000 tonnes of crude oil to the mineral-rich southern African country, which has recently faced serious fuel shortages. The cost of this crude oil will tentatively be $1.2 billion, it may go up or come down depending on the prices on the international market, and our hope is that the prices will begin to come down, Mumba said.
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