Kenya Cuts Share Of Oil Revenues To Local Communities

13 Jan 2018   Kenya

Kenya has decided to allocate 20 percent of future oil revenues to the communities where crude oil has been discovered, cutting the share from an initial proposal to give local counties and communities 30 percent of future oil income, a senior Kenyan government official told Reuters on Friday. In November 2017, Kenya planned to give 30 percent of oil revenues to the local communities, backtracking on a previous proposal to cap revenues at specific amounts in what analysts saw largely as a political move. In a first draft of the oil revenue bill, Kenya’s government had indeed proposed 30 percent of oil income to go to local governments and communities, but it later withdrew the proposed legislation, citing “typographical errors”, according to Reuters. Now Kenya plans to submit a new bill to Parliament in February, with the 20-percent oil revenue for the places where oil is located divided between […]

Kenya Set To Give Local Communities Greater Share Of Oil Revenues

11 Nov 2017   Kenya

Kenya plans to allocate 30 percent of future oil revenues to the community where the crude oil has been discovered, backtracking on a previous proposal to cap revenues at specific amounts in what analysts see largely as a political move. Commercial quantities of crude oil in Kenya were discovered in 2012 in the far northern county of Turkana. Tullow Oil, which discovered the resources, has continued its exploration and appraisal drilling campaigns in Kenya, and an initial assessment indicates recoverable resources of up to 750 million barrels of oil . Tullow Oil is currently reviewing the data from the South Lokichar basin and plans to announce its assessment of contingent resources as well as its plans for developing the basin in the first quarter of 2018. Kenya’s government initially wanted to cap the revenue sharing to the equivalent of US$213 million (22 billion shillings) for the local county government […]

The Plastic Fantasy That’s Propping Up the Oil Market

11 Sep 2017   Energy Demand, Kenya

Kenya’s mountains of plastic bags might not seem central to oil’s grand narrative, but they are. Last week, the East African country banned almost everything about them: making them, importing them, selling them, using them, with penalties of up to four years in jail or fines up to $38,000. This type of prohibition carries a warning for an oil business that’s depending on petrochemicals — and the plastics made from them — to pick up the slack when we all switch from gas guzzlers to electric cars. Saudi Aramco is betting its future on petrochemicals. The International Energy Agency thinks they’ll drive crude sales for decades, accounting for 44 percent of oil demand growth between 2015 and 2040. But, as Kenya shows, the days of single-use plastic packaging may already be numbered. And with this stuff making up about a quarter of all the plastic used, that will have […]

Tullow finds more oil in Kenya’s northern Lokichar basin

18 Jan 2017   Kenya

Tullow Oil has found more oil with a closely watched exploration well in northwest Kenya, boosting the resources in its emerging oil province which is set to feed East Africa’s newest crude export hub. The Erut-1 well in Block 13T discovered 25 meters of net oil pay at a depth of 700 meters with an overall oil column of 100 to 125 metres, Tullow said. The well, the first of a four-well exploration and appraisal program which began last month, was drilled 10 km north of the Etom field and logging indicates the presence of recoverable oil, the company said. “This is an exciting discovery from a bold exploration well that proves that oil has migrated to the northern limit of the South Lokichar basin,” Tullow’s Exploration Director Angus McCoss said in a statement. Tullow has discovered 750 million barrels of recoverable resources in the Lokichar basin following a […]

Kenya: Experts Warn Kenya Against Costly Transport of Crude Oil By Trucks

25 Oct 2016   Kenya, Pipelines

The Kenyan government has been urged to consider a pipeline for oil exports to reap maximum benefit from the proposed early production. According to oil and gas experts, the basic principle that defines the economic viability of crude oil production lies in cost effective and reliable means of transport. “The most cost effective and reliable means to transport crude oil is by pipeline,” said Charles Wanguhu, Kenya Civil Society Platform on Oil and Gas co-ordinator. Kenya, Uganda and Tanzania have discovered crude oil deposits and natural gas respectively and are still grappling with lack of the necessary infrastructure to facilitate production. The discovery of crude oil in Uganda and Kenya in 2006 and 2012 respectively and natural gas in Tanzania in 2010 was seen as the beginning of economic transformation in the region. Years later, lack of infrastructure, particularly pipelines, has made the deposits a headache for governments and […]

First Kenyan Oil Output Due by March 2017; Exports to Follow

25 Aug 2016   Kenya

Tullow said to plan eight more exploration wells in Lokichar Nation holds 750 million barrels of recoverable resources Tullow Oil Plc will put Kenya on the map of oil producers by the first quarter of 2017 and drill eight additional exploration wells in the African nation’s North Lokichar region, President Uhuru Kenyatta said. Exports will commence three months later, with the crude being transported by road to the Indian Ocean port city of Mombasa, Kenyatta said in an e-mailed statement after he met with Tullow’s chief operating officer, Paul McDade. Kenya’s recoverable resources are estimated at 750 million barrels. Tullow will sink more wells to increase that figure to over a billion barrels, according to the statement. Initial production will be 2,000 barrels per day, with road transport to Mombasa a stopgap measure until Kenya constructs a pipeline. Kenya’s government has signed an agreement to develop that conduit with […]

Kenya To Start 2,000 Barrel-Per-Day Exports Next July

22 Jun 2016   Kenya

Lokichar Basin Kenyan officials said oil from the Lokichar Basin will begin reaching foreign markets at a rate of 2,000 barrels of crude per day by July 2017, according to local news reports. Coastweek cited Deputy Chief of Staff Nzioka Waita, who told reporters at a press conference in Nairobi that the oil would come from the resource rich region in northern Kenya. “The crude oil will be evacuated by road and rail as we wait for the completion of the oil pipeline by 2022,” Waita commented as part of the release of Q2 petroleum development data for Kenya. So far, the East African nation has confirmed 750 million barrels of recoverable crude oil in the basin, since the discovery became public in March 2012. Waita said the government’s goal remains to exploit natural resources in order to improve the quality of public services, though the shortage of skilled […]

Kenya creates 17 new oil exploration blocks: media

14 May 2016   Kenya

Kenya has created an extra 17 new oil exploration blocks, bringing its total to 63 and aims to auction them in a licensing round in 2017, Kenyan newspapers quoted Ministry of Energy and Petroleum saying on Saturday. British explorer Tullow Oil and partner Africa Oil first struck oil in Lokichar in northwest Kenya in 2012. The recoverable reserves are an estimated 750 million barrels of crude. Since the discovery, interest from explorers seeking blocks in Kenya increased. Privately-owned Standard Newspaper quoted the Energy and Petroleum ministry as saying it aimed to hold an auction for the new blocks in 2017. “We constituted all the blocks and the country now has 63 blocks …. We now have 17 blocks to license,” the Standard quoted Martin Heya, the ministry’s commissioner for Petroleum Energy, as saying. Africa Oil and Tullow were 50-50 partners in blocks 10 BB and 13T where Kenya’s the […]

More oil than thought in Kenya

11 May 2016   Kenya

A Canadian oil company with a focus on Africa said an independent survey of its holdings in Kenya led it to increase its reserve estimate by 24 percent. Africa Oil Corp., which has its headquarters in Vancouver, said an independent review of its reserves in the South Lokichar basin in Kenya found an estimated gross of 766 million barrels of oil. That’s a 24 percent increase from the previous estimate. President and CEO Keith Hill said the results led him to believe the basins in the north of Kenya could hold as much as 1.6 billion barrels of oil. “The level of these resources gives us confidence that we will exceed the threshold required for development and we continue to push […]

Kenya: Intrigues and Power Play That Stand in the Way of an Oil Pipeline

29 Mar 2016   Kenya

A toxic convergence of national, corporate and personal interest on two competing oil pipeline routes is threatening regional integration in a dramatic saga involving Kenya, Uganda and Tanzania. Kenya and Uganda had initially agreed on the Hoima-Lokichar-Lamu oil pipeline, but Tanzania later announced it had reached a separate deal for a route from the oilfields of north-western Uganda to the port of Tanga. On Monday, Uganda’s President Yoweri Museveni was in Kenya for fresh talks with President Uhuru Kenyatta but no deal was reached. The clash of interests over the route to be used to transport Uganda’s crude oil to the market has not only left Kenya in a tricky situation over the realisation of the ambitious Lamu Port Southern Sudan-Ethiopia Transport (Lapsset) infrastructure project but also split the two countries that were leading the so-called “Coalition of the Willing” in the East African Community that has been working […]

Kenyan President Hosts Ugandan Leader for Talks on Oil Pipeline

21 Mar 2016   Kenya, Uganda

Kenyan President Uhuru Kenyatta hosts his Ugandan counterpart Yoweri Museveni in the capital, Nairobi, on Monday for talks on a proposed pipeline to ferry crude from oilfields being developed by Tullow Oil Plc, Total SA and Cnooc Ltd. The Kenyan government invited representatives of the three oil companies to attend the discussions, Kenyatta’s spokesman Manoah Esipisu said in a statement e-mailed Sunday. “They will discuss the construction of the Uganda-Kenya oil pipeline, a key plank of the Northern Corridor Infrastructure Project,” Esipisu said. Kenya is competing with Tanzania to build the pipeline. It would either traverse the arid northern Kenya region to a proposed port at Lamu near the border with Somalia, or south past Lake Victoria to Tanga at Tanzania’s coast. Tanzanian President John Magufuli said earlier this month he’d agreed with Museveni to route the conduit via his country at a cost of about $4 billion, with […]

Uganda, Kenya Officials to Meet, Tanzania Sets Pipeline Schedule

17 Mar 2016   Kenya, Uganda

Construction of the Tanzania-Uganda crude oil pipeline begins in August and will be complete in two years, even as Kenya negotiates to have the pipeline go north through Lamu. The executive director of Tanzania’s Petroleum Development Corporation, Mr James Mataragio, said in a statement that construction of the $4 billion project will be carried out by UK’s Tullow Oil Plc, France’s Total E&P and China’s Cnooc. “It is anticipated that over 200,000 tonnes of bare pipes, materials and equipment such as pipe insulation, pump, bulk heating and trace heating stations will be imported through Tanga port,” Mr Mataragio is quoted as saying by Tanzania’s publication The Citizen. ADDRESS CONCERN Kenya’s Petroleum Principal Secretary Andrew Kamau last week said energy officials in Uganda and Kenya were meeting this week to address concerns on security for the proposed pipeline. Other key points of the discussions are the pipeline’s funding, the lowest […]

Uganda: Kenya Officials to Meet Uganda in Crude Pipeline Tug of War

10 Mar 2016   Kenya, Uganda

Kenyan government officials are set to hold a meeting with their Ugandan counterparts to resolve outstanding issues with the hope of influencing the proposed crude oil pipeline route infavour of Kenya. According to petroleum principal secretary Andrew Kamau, the meeting scheduled to take place within the next ten days, will address concerns on security for the proposed pipeline, its funding and the lowest cost tariff to be applied, among other issues. This comes just days after Tanzania’s presidential press unit disclosed that President John Magufuli met Uganda’s Yoweri Museveni and that the two agreed that the pipeline will pass through Tanga. “Last year, Kenya and Uganda signed a MoU on the pipeline detailing certain conditions. We are working on a meeting within 10 days between the two countries to resolve the issues,” said Mr Kamau on the sidelines of the launch of the energy journalism excellence awards sponsored by […]

Tullow Gains After Successful Well Boosts Oil Potential in Kenya

15 Dec 2015   Kenya

Tullow Oil Plc gained after a successful well increased the potential size of oil resources the Africa-focused explorer has discovered in Kenya. The Etom-2 well in northern Kenya encountered 102 meters (335 feet) of net oil pay in two columns, Tullow said in a statement Tuesday. This could increase the potential of the existing Etom discovery, Lionel Therond, an analyst at Standard Bank Group Ltd., said by e-mail. Shares of the company rose as much as 7.7 percent. Tullow has found about 2.3 billion barrels of resources in East Africa, with discoveries in Kenya and Uganda, according to its website. The oil remains undeveloped as the London-based company and its partners debate the route of an export pipeline amid a slump in the price of crude. “We expect management to speak more confidently about the potential for the basin to achieve the 1 billion-barrel potential it has previously highlighted,” […]

No luck in drilling for oil and gas in Kenya

18 Nov 2015   Kenya

Despite earlier optimism about the reserve potential in frontier African oil and gas basins, Tullow Oil said it came up empty handed in its efforts in Kenya. Tullow, which has headquarters in London, said it didn’t find any hydrocarbons worth exploring further at a frontier, or wildcat, well in northern Kenya. “While this wildcat well did not find commercial hydrocarbons, it provides valuable data as we assess the wider prospectivity of this basin,” Angus McCoss, the company’s exploration director, said in a statement. Tullow is placing bets on emerging basins in Africa, notably offshore developments in Ghana. Like its peers, the company said it’s been a “difficult year” for energy companies working through a period of historically low oil prices. […]

Uganda: Kenya Shrugs Off Uganda Plan to Build Oil Pipeline Via Tanzania

6 Nov 2015   Kenya, Uganda

Kenya has shrugged off fears over a decision by neighbouring Uganda to consider building a crude oil pipeline through Tanzania. Kenya brushed aside concerns that Uganda’s plan, if it proves cheaper than the alternatives, would scuttle its infrastructural plans for its own oil pipeline. Acting Transport Cabinet Secretary James Macharia told the Nation on Wednesday that while Kenya is “keenly keeping a close watch on the unfolding events in Uganda”, it would go ahead with its own infrastructural plans “undeterred”. “We are going according to our own plans. Nothing has changed,” said Mr Macharia in Nairobi. Last month, it emerged that Kenya’s prospects of a crude oil pipeline through Hoima-Lokichar-Lamu could be crushed after Uganda signed an agreement with Tanzania to explore the Tanga route. Uganda, Tanzania, the Tanzania Petroleum Development Corporation and Total E&P Uganda signed a memorandum of understanding (MoU) outlining new pipeline arrangements. The […]

Kenya has a billion barrels of oil that might not be going anywhere

19 Oct 2015   Kenya

Fidgety oil companies and investors heaved a sigh of relief in August when Kenya and Uganda announced they had picked a route for the world’s longest heated pipeline. Finally, there was a plan for getting the estimated 1 billion barrels in Kenya’s remote northwest out of the country. The proposed route cut from northern Uganda’s Albertine region, into Kenya, through the Lokichar Basin, and then southeast before terminating in Kenya’s coastal Lamu County. It would have allowed Kenya to share the cost of piping oil with Uganda, which has 6.5 billion barrels of its own oil that it wants to get to market. But this week Uganda turned around and announced it had instead signed an agreement with Tanzania and Total (which is exploring in Uganda) to consider a pipeline for Ugandan oil through Tanzania, bypassing Kenya altogether. Proposed oil pipelines in East Africa Proposed oil pipelines in East […]

Kenya Starts Talks With Uganda on Financing for Oil Pipeline

28 Aug 2015   Kenya, Uganda

Kenya started talks with neighboring Uganda on the financing and construction of an oil pipeline that will link the two countries and ferry crude produced by companies including Tullow Oil Plc, the Kenyan Energy Ministry said. Discussions that also looked at project time frames and involved officials from both East African countries began this week, Joseph Njoroge, the ministry’s principal secretary, said in a phone interview from Nairobi, Kenya’s capital, on Wednesday. The negotiations follow an announcement by Kenyan President Uhuru Kenyatta on Aug. 10 that the route for the conduit had been agreed after months of debate. “We have started working out the details together with the Ugandans,” Njoroge said. “We will also engage as many stakeholders as we can. We want this project to take off immediately.” Tullow has found oil in both countries, with Uganda estimating finds at 6.5 billion barrels and Kenya at 600 million […]

Kenyan Oil-Pipeline Accord With Uganda Paves Way for Exports

11 Aug 2015   Kenya, Uganda

Kenya and neighboring Uganda agreed on the route of a planned oil pipeline, ending months of debate on the link that will export crude from companies including Tullow Oil Plc. The pipeline will pass through the Lokichar basin in northern Kenya, Manoah Esipisu, spokesman for Kenyan President Uhuru Kenyatta, said Monday by phone from the Ugandan capital, Kampala. The countries had also discussed building the link through southern Kenya and the capital, Nairobi. The agreed design will be the cheapest to develop, according to an e-mailed statement from the Ugandan presidency. Tullow has found oil in both countries, with Uganda estimating finds at 6.5 billion barrels and Kenya at 600 million barrels . The planned $4.5 billion pipeline to the Indian Ocean will allow the U.K. company to start exports from joint ventures with Africa Oil Corp. and Total SA. China’s Cnooc Ltd. is also a partner in Uganda. […]

SOCO Oil Company Paid Large Sums to Officer in Congo, Activists Say

10 Jun 2015   Kenya

When a British oil company began prospecting for oil in Africa’s oldest national park , drawing worldwide concern and inspiring an Oscar-nominated documentary last year, the company was adamant in denying any wrongdoing. Though soldiers in the Democratic Republic of Congo may have engaged in a campaign of intimidation and coercion against nearby residents who are opposed to drilling in the park, the company said it could not be held responsible for their actions. “We can’t tell the army to go and kiss off,” Roger Cagle, the deputy chief executive director of the oil company, SOCO International, told The Telegraph newspaper in Britain. He said that the soldiers had been assigned by the […]

Kenya: The Next Big Oil Exporter

29 Sep 2014   Kenya

Not even the specter of a spillover of Islamic extremism from Somalia can dampen the atmosphere in Kenya, where commercial oil production is expected to begin in 2016 and discovery after discovery has made this the hottest and fastest-paced hydrocarbon scene on the continent. When it comes to new oil and gas frontiers, today it’s all about Africa. And more specifically, it’s all about the eastern coast, with Kenya the clear darling–not just because it’s outpacing neighboring Uganda by leaps and bounds, but also because despite some political instability hiccups and the threat of militant al-Shabaab, it’s still one of the safest venues in the region. Six of the last 10 biggest finds have been in Africa, where—all told–there are some 130 billion barrels of crude oil waiting to be tapped by more than 500 companies, according to a recent report by PriceWaterhouseCoopers. Topping this list are Kenya’s Anza […]

Kenya Sees Oil Resources Almost Doubling With More Drilling

18 Sep 2014   Kenya

Kenya expects its estimate of oil resources to almost double to 1 billion barrels as well-drilling climbs and the government forges ahead with plans to build an export pipeline, an energy ministry official said. Tullow Oil Plc. (TLW) and its partner Africa Oil Corp. (AOI) have discovered an estimated 600 million barrels of oil in the South Lokichar Basin since announcing the country’s first crude find in March 2012. The discovery has spurred the East African nation to accelerate infrastructure-development plans, including construction of an oil pipeline that will link Uganda to a planned port in the Kenyan coastal town of Lamu. Initial data acquired from northern Kenya indicates the figure for estimated oil resources is set to rise with increased drilling, said Petroleum Commissioner Martin Heya. “Most licenses will move to the drilling stage next year because that is when their initial license period of two to three […]

Kenya: Oil Exploitation Contradicts Kenya’s Climate Goals, Legislator Warns

28 May 2014   Climate, Kenya

Kenya is in the final stage of enacting a new climate change law, expected to be approved in the coming months. At the same time, the private sector is preparing to tap significant oil reserves in the north. Will the hunt for fossil fuels thwart Kenya’s efforts to go green and curb its carbon emissions? After a 2007 study forecast how climate change would impact Kenya, a National Climate Change Response Strategy was launched at the 2009 U.N. climate summit in Copenhagen. The government then developed a Climate Change Action Plan to implement the strategy, which was completed in March 2013. The action plan spells out how to tackle climate change at local, county and national levels. The next step is to enshrine that in law. “We realised we had collected enough information to start preparing climate change legislation, because it cuts across all sectors – hence the need […]

Uganda, Kenya to Build World’s Longest Heated Oil Pipeline

9 Apr 2014   Kenya, Uganda

Should Uganda and Kenya finally build a crude oil export pipeline, it will be the longest heated such facility in the world. According to a report released last month by Tullow Oil Plc, both countries have agreed to build the pipeline and have commenced a comprehensive study on the pipeline. “Tullow and its partners have agreed with the government of Kenya to commence development studies. In addition, the partnership is involved in a comprehensive study for an export pipeline,” the Tullow Oil Plc annual report 2013 reads. According to the report, the export pipeline route on the Kenyan side is expected to run mostly underground, over 850 kilometres from the Lokichar basin to the coast. Kenya is to construct the pipeline from Lokichar basin while Uganda is expected to construct its part of the pipeline from the Lake Albert rift basin to link up with the Kenyan pipeline and […]

Tullow upbeat about Kenyan oil prospects

28 Mar 2014   Kenya

British energy explorer Tullow Oil said Thursday some of its oil reserve areas in Kenya were poorly developed, though it remained upbeat about the potential. Tullow announced exploration results from Blocks 10BB and 13T, which it operates in parity with Africa Oil Corp. Tullow said it encountered a “poorly developed oil bearing reservoir” in Block 13T, though deploying rigs elsewhere in the nearby Amosing discovery would target an area it said “may be one of the largest discoveries in the basin to date.” African Oil Corp., in a separate statement , said early 2013 testing from both blocks yielded a flow rate of about 5,000 barrels of oil per day. Angus McCoss, exploration director for Tullow, said in a statement early exploration results from Kenya were in line with expectations. “Our focus remains on continuing to explore and appraise our first successful basin, as well as stepping out into […]

Kenya, Uganda Scramble to Bring Peace to South Sudan

8 Jan 2014   Kenya, Uganda

Kenya and Uganda were recruiting investors to back an oil pipeline in South Sudan in December when a rebellion upended the world’s newest nation. Now the two East African nations have joined a diplomatic effort to end the conflict in South Sudan —yet another reminder of how the security crises of a volatile region intrude on efforts to boost commerce among its countries. “I’m not sleeping,” Ugandan President Yoweri Museveni said in a televised address last week. “I am monitoring the crisis which is taking place in the young country of South Sudan and I want to see that peace is attained there.” More than 1,000 people have died and more than 100,000 have fled their homes since troops loyal to former Vice President Riek Machar rose up in December against those loyal to President Salva Kiir . On Tuesday, South Sudanese military spokesman Philip Aguer said government troops […]

Wood Mac: Uganda-Kenya pipeline vital for region

19 Dec 2013   Kenya, Uganda

A proposed oil pipeline from central Uganda to the coast of Kenya could be a vital step toward unlocking East Africa’s potential, Wood Mackenzie said Wednesday. “There is huge untapped potential across both countries, with over 3.5 billion barrels of [expected] volumes in Kenya, and a further 1 billion barrels of [expected] reserves in Uganda,” Martin Kelly, an African analyst for energy consultant Wood Mackenzie, said in a statement. “The proposed pipeline is fundamental in unlocking value for both countries.” Wood Mackenzie estimates it will cost at least $4 billion to build an 869-mile long pipeline from central Uganda to the Kenyan coast. Uganda is a landlocked country and the region in general lacks the infrastructure needed to take full advantage of the oil potential. Wood Mackenzie adds the type of oil found in Uganda needs to be heated in order to facilitate pipeline […]

Resource-hungry Chinese lead railroad drive in Africa

The Chinese, investing heavily in Africa to secure its oil and other raw materials for their expanding economy, are spearheading a new era of railroad building to unlock the continent’s interior. This is an echo of the long-gone colonial empires when a century ago British and French engineers first opened up Africa to plunder its riches. The railroad frenzy is being accompanied by a massive push to build several major ports along the coast of East Africa to accelerate exports across the Indian Ocean, mostly to China, India and Japan, as well as lay down a network of oil and gas pipelines to these ports. “Railways are key to increasing regional trade,” said Darlan Fabio de David, chief executive of Rift Valley Railways, a private equity-backed company rehabilitating the line between the Kenyan port of Mombasa and the inland Ugandan capital of Uganda […]

Britain’s Tullow Oil says it has made another oil discovery in Kenya

22 Nov 2013   Kenya

British energy explorer Tullow Oil said Friday an oil discovery in the Agete-1 exploration well in Kenya marks its fifth straight oil find in the region. Tullow said it encountered oil while drilling its Agete-1 wildcat well, which is positioned in a region not known previously to contain oil and natural gas reserves. “A fifth consecutive oil discovery onshore northern Kenya highlights the emerging world class exploration and production potential within our … acreage,” Angus McCoss, exploration director for Tullow, said in a statement Friday. McCoss said next year’s exploration campaign in the region would be “intensive.” Tullow provided no estimate of the potential from Agete-1. In October, Tullow halted operations at drilling sites in northern Kenya because of labor strikes. Work resumed Nov. 7 following talks with federal and local Kenyan officials. More than half of the 1,400 people employed by Tullow in […]

Tullow to return to work in Kenya after strikes

8 Nov 2013   Kenya

LONDON, Nov. 7 (UPI) — British energy explorer Tullow Oil announced plans Thursday to restart operations at two reserve areas in Kenya shuttered previously by labor strikes. Tullow said it would restart operations at blocks 10BB and 13T in northern Kenya by Friday. It halted operations there in late October. The company said the decision follows an agreement reached with federal and local officials on labor issues. “Tullow has reaffirmed its commitment to local employment, local opportunities and transparency throughout its operations in northern Kenya,” the company said in a statement. “As Tullow’s exploration campaign progresses and gathers pace, the number of local employees and local companies involved in our work will continue to grow.” More than half of the 1,400 people employed by Tullow in Kenya are from the north of the country. Tullow in September announced it made a new oil discovery in northern Kenya. It said […]

Kenya: Locals Storm Tullow Oil Fields in Turkana

29 Oct 2013   Kenya

Tullow Oil has been forced to suspend operations at its two blocks in Turkana after locals stormed the facilities on Saturday. Two area Members of Parliament marshalled local residents to match to Tullow’s camps demanding for jobs for the locals and supply contracts for the communities. The affected are Block 10BB and Block 13T in Turkana East and Turkana South. Tullow Oil and Canada’s Africa Oil Corporation each have a 50 per cent working interest in the two blocks. Over 2000 Turkana residents matched into the two camps in an incident that saw some looting of Tullow properties. No one was injured during the skirmish, Tullow Oil officials said. Sources said the locals were seeking to chase away all the Tullow employees who are not locals and have them replaced with locals. Tullow estimates that out of the 1,700 employees at the two blocks, close to 900 are from […]