KenolKobil picks oil veteran to chair board

KenolKobil has hired an oil industry veteran to chair its board, taking the role away from chief executive Jacob Segman as it moved to comply with corporate governance best practices.

The oil marketer has settled on ex-Caltex managing director James Mathenge, who has been serving on the firm’s board since 2008 to chair the seven-member board.

Mr Segman has held the chairmanship since January 2006 when he assumed the role in an acting capacity but was later confirmed in April 2010.

(Read: KenolKobil strips its chief executive of chairmanship)

The oil retailer has been at loggerheads with the Capital Markets Authority (CMA) for flouting governance rules barring CEOs from chairing boards.

“In the spirit of good corporate governance and to further enhance our recent business restructuring efforts…KenolKobil is happy to announce the appointment of Mr Mathenge, as the new chairman, effective May 24, 2013,” said a statement signed by chief executive Segman.

“Mr Mathenge comes with a wealth of experience from the energy sector particularly the oil industry.”

The move by KenolKobil to tap strategic leadership comes as it seeks to reverse last year’s Sh6.28 billion loss.

Mr Mathenge served as MD and country chairman of Caltex Oil Kenya between 1998 to 2003. The American oil giant sold its African interests to Total in 2008.

He has also worked at the Caltex Petroleum regional co-ordination office for East and North Africa region based in Dallas, Texas, USA.

Between 2001 and 2003, he was a director at the Changamwe-based Kenya Petroleum Refineries where Caltex (Chevron) owned a minority stake. The shareholding was sold to Essar in 2009.

Mr Mathenge joined Magadi Soda Company in 2003 as MD where he served until 2010. He holds Bachelors and Master’s degrees in Economics from the University of Nairobi.