Kenyan Court Dismisses Suit Against Tanzanian Billionaire Rostam Aziz's 130 Million Gas Plant

Kenyan court dismisses lawsuit, clearing way for Taifa Gass 130.5 million LPG terminal construction in Mombasas Dongo Kundu SEZ.

Taifa Gass 130.5 million terminal will boost regional LPG supply, challenging Kenyas market leader Africa Gas and Oil Ltd.

Entry of Taifa Gas sparks 13 new license applications as East Africas LPG infrastructure competition intensifies.

A Kenyan court has dismissed a lawsuit that sought to block the construction of a Ksh16.7 billion 130.5 million liquefied petroleum gas LPG terminal by Taifa Gas Investments SEZ Ltd, a company linked to Tanzanias first dollar billionaire, Rostam Aziz removing a key obstacle to his regional energy expansion.

The suit, filed earlier this year by Likoni residents Mohamed Karungu and Raphael Nyiro, alleged that the proposed facility in Mombasas Dongo Kundu Special Economic Zone posed environmental risks and had bypassed critical public consultations.

The Environment and Land Court in Mombasa had previously declined to issue an injunction, and the plaintiffs unexpectedly withdrew the case just days before a scheduled July 29 hearing. No public reason was provided for the withdrawal.

With the case dismissed, Taifa Gas is expected to begin full-scale development of the Ksh16.7 billion 130.5 million storage and distribution hub. The projectbacked by Tanzanias largest LPG distributorwill feature a 30,000-tonne handling capacity and is part of a broader effort to lower energy costs in Kenya and boost regional supply chains.

Taifa Gas secured its operational license in February 2023 following bilateral talks between Tanzanian President Samia Suluhu Hassan and Kenyan President William Ruto, ending years of regulatory gridlock.