Kenya expects commercial crude oil exports from South Lokichar in Turkana County to begin by December this year according to the energy ministry.
Energy and Petroleum Cabinet Secretary Opiyo Wandayi said Gulf Energy which acquired interest in oil fields in region from Tullow Oil will embark on commercial drilling of crude oil as the firm commences operations in the oil-rich region.
“The company involved has given us assurance as late as last week that they are on course. In fact on 24th April I will be travelling to Lokichar to officiate ground breaking of operations by Gulf Energy,” said Wandayi when he appeared before the National Assembly Departmental Committee o
Last year, Gulf Energy through its subsidiary, Auron Energy E&P Limited acquired Tullow Oil’s entire portfolio of assets held by Tullow Kenya valued at Ksh 15.5 billion ($120m).
The acquisition which was signed in July last year has seen Gulf Energy get access to 463 million barrels of oil in the South Lokichar Basin which Kenya is keen on exploiting.
“We are confident that by the end of this year, before 31 December we shall have the first tranche of crude oil moving to the Port of Mombasa for export,” added Wandayi.
At the same time, Kenya is also exploring a number of options put forward by private firms for establishment of an oil refinery.
“We are getting a number of proposals from various private partners who would wish to invest this and we are telling them as government that if mathematics adds, we shall support them in the usual way. Kenya is achieving an historic milestone in terms of production of petroleum for export,” noted Wandayi.
Under the Early Oil Pilot Scheme (EOPS) which was conducted by Tullow Oil and its local partners in 2018, Kenya exported 2,000 barrels of oil to Mobasa Port by trucks in what was expected to Amosing 1 and Ngamia 1 wells in South Lokichar Basin.
The exercise was expected to help the country in analyzing its capacity to export the product a Kenya awaits full development of its upstream infrastructure.
The move comes as Kenya face supply shocks which has been occasioned by the war in Gulf with Kenya now exploring long term solutions to secure its energy flow.
