Dutch petrol retailer Lexo Energy has announced the expansion of its African, with new openings in Nairobi and other major towns. Expansion could cost Sh 2.5 billion.

After opening two stations in the country, in the smaller towns of Mumias and Busia, Lexo Energy is planning to open between 15 and 25 new outlets in Kenya by the end of the year. It is still not known how many of these are going to be in Nairobi but the company confirmed other major towns are under the its sight.

Although the company has not disclosed the budget for the expansion, industry analysts estimate that each petrol station should cost about Sh100 million – close to $1 million – which can make the total expansion to cost Sh2.5 billion.

With Kenya at the centre of its african expansion, the energy retailer which also has outlets in Mauritius seems to be running against the tide as Western companies exit Kenya’s oil retail sector and focus on the upstream side of the petroleum business. Just recently, fellow Dutch oil retailer Shell completed the sale of its retail operation in Kenya to VIvo Energy. Concurrently, as Trendtype has previously reported, other regional and international players, such as Tanzanian Oil or the Omani Trading International, have taken their spot and been entering the Kenyan market.