Zambia is to explore possibility of leasing its sole petroleum refinery to private investors, Zambia Daily Mail reported Monday.

Situmbeko Musokotwane, secretary of the treasury, was quoted as saying that the move aims at encouraging new private investment into Indeni petroleum refinery in the northern Zambia to improve its efficiency.

The refinery has been dogged by frequent breakdowns leading to fuel shortages in the southern African inland country.

Musokotwane said the government will instead focus its attention to managing fuel strategic reserves as opposed to running the refinery.

The government is carrying out a legal and technical review on Indeni to recommend options on the future of the plant, he said.

Energy and Water Development Minister Felix Mutati was quoted as saying that the review will enable the government to know what needs to be done to go forward and whether as a government they need to continue with its current share structure.

He said by the end of next March the government will have made decision on the share, in which the government and Total have equal shares of 50 percent.

Zambian consumes 600,000 liters oil and 900,000 liters diesel per day and all its crude oil is imported via Tanzania's Dar es Salaam port.

Source: Xinhua