Uhuru to flag off inaugural shipment of Kenyan Crude Oil

Written By: Margaret Kalekye/PSCU

Kenya discovered commercially viable crude oil in Turkana County seven years ago.

Kenya’s maiden crude oil is set to hit the international market. President Uhuru Kenyatta will Monday morning flag off the inaugural shipment of Kenyan Crude Oil at the port Of Mombasa.

The crude oil will be shipped by Chinese state owned firm ChemChina which won the tender to buy the maiden Kenyan oil early this month.

The sale gives momentum to the nascent oil exploration industry in Kenya.

Also Read  KICOTEC to offer ready market for Kitui cotton farmers

The export of Kenyan Crude Oil will start with a shipment of 200,000 barrels marking Kenya’s entry into the league of oil exporting countries.

Get breaking news on your Mobile as-it-happens. SMS ‘NEWS’ to 20153

ChemChina UK Ltd was selected as the buyer for Kenya’s first crude oil exports worth Sh1.2 billion.

Tullow estimates that Kenya’s onshore fields in Turkana hold 560 million barrels of oil and expects them to produce up to 100,000 barrels per day from 2022.

Also Read  Cytonn targets to put up 10,000 units in affordable housing plan

The government had received eight bids from international firms representing European and Asian refineries after it issued the tender to buy the oil on July 26.

Early this month President Uhuru Kenyatta announced the entry of Kenya into the exclusive club of oil exporting nations.

Also Read  Queen Elizabeth to support drive to conserve Mau

This follows a deal by UK based Chinese oil dealer ChemChina to buy Kenya’s maiden 200k barrels of crude oil from oil miner Tullow Oil at a cost of 1.2 billion shillings.

The Chinese firm, which is the oil trading arm of ChemChina Petrochemical, is engaged in crude oil trading, storage and procurement of the commodity.





Tell Us What You Think