XpressGas Limited
BIO has granted a USD 3 M loan to XpressGas, an LPG company in Ghana.
Amount
€ 2,444,790.00
Type of investment
Debt
Development impacts
- Local economic growth
- Private sector consolidation/innovation
- Fight against climate change
Beneficiary locations
Investment field
Enterprises
Activity
XpressGas or ‘XPG’ is a regulated LPG (Liquified Petroleum Gas) Marketing Company that transports, markets and distributes LPG to:
- Refilling stations: This is bulk supplies in storage tanks (from 1 to 25 MT) and represents the historical activity of the company known as the B2B segment;
- Small businesses(such as bakeries, food vendors) and households in branded cylinders of 6 kg, 15 kg and 50 kg, provided either directly at their doorsteps or very close by at one of XPG’s vendor shop in sparsely populated areas. This is known as the B2C segment.
XpressGas Limited is the fastest-growing and one of the largest LPG companies in Ghana. The company currently has 31,000 branded LPG cylinders under management and 27 LPG bulk road and delivery vehicles and it operates a network of 60 LPG refilling stations and vendors across Ghana. The main focus of the business is on the peri-urban and rural areas of the country.
Over 75% of Ghana’s household population still relies on charcoal and kerosene as their primary sources for cooking fuel. With 94% of customers first-time LPG users, XpressGas has a direct positive impact on the air quality of its clients, reducing CO2 emissions, averting deforestation and reducing black carbon emissions, with considerable environmental and health benefits. The company’s ambitions are fully aligned with Ghana’s government’s stated target to increase the usage of LPG as cooking fuel by 50% in 2030 and to raise awareness on environmental, health and safety matters.
Development impacts
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Local economic growth
Job creation & Tax revenue contribution
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Private sector consolidation/innovation
Marketers, such as XPG, have the responsibility to ensure their sponsored stations follow the regulator's guidelines for security and safety. By targeting international standards for its stations, XPG is improving the quality of its products and services. They will also invest in Health, Safety, Security & Environment and technical improvements of their owned and sponsored stations.
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Fight against climate change
Over 75% of Ghana’s household population rely on charcoal and kerosene as their primary source for cooking fuel. With 94% of customers that are first time LPG users, XPG has a direct positive impact on the air quality of users, contributes to reduce CO2 emissions, avert deforestation and reduce black carbon emissions.
Read impact and news about this project
News
Investisseurs & Partenaires and BIO invest in Ghanaian company XpressGas
24-06-2021
The impact investing group Investisseurs & Partenaires (I&P) and the Belgian Investment Company for Developing countries (BIO) are pleased to announce a USD 6 million investment in XpressGas, a pioneering distributor of Liquefied Petroleum Gas (LPG) in Ghana. LPG offers an efficient and environmentally friendly alternative to traditional dirty fuels currently being used, particularly for peri-urban and rural areas.
View more of our investments in this region
Financial Institutions
BRAC International Finance
12,815,000.00
Liberia, Sierra Leone, Tanzania, Uganda
08/11/2024
Debt
