Gov't begins drilling oil in Turkana as global supply strains bite

As the world grapples with plunging oil inflow, and oil producing countries faced with deep difficulties due to the conflict in the Middle East, Kenya joins countries weighing options to fuel their economies, seeking to tap Turkana’s estimated 560 million barrels of crude oil deposits - 14 years since the discovery was made by a British Oil Company.

Just two days after President William Ruto made a call for self-sufficiency during The Africa We Build Summit attended by President Yoweri Museveni and business leaders from the continent, a delegation led by Energy Cabinet Secretary Opiyo Wandayo led a groundbreaking ceremony in Lokichar Basin; a project that will see the drilling of oil wells in the county, the locals making their demands clear to avoid past mistakes.

“We will work very closely with the leadership of Turkana County and the people ili tutatue zile shida zimekuwa hapa na pale. Tunataka wananchi wasikuwe na hofu,” said CS Wandayi.

Loima MP Protus Akujah said: “When Tullow Oil was here, mambo ya disclosure of information haikuwa inafanyika. It was only Tullow that knew what they were doing, so we want Gulf Enerfy to disclose everything.”

The field development, according to the government, embodies a production sharing contract, with CS Wandayi setting a timeline of December 2026 as when the first shipment will leave the port of Mombasa.

“Nataka kuhakikisha ya kwamba kabla ya mwisho ya mwaka huu, hii mafuta itakuwa imeelekea Mombasa ili wananchi wa Turkana na Kenya kwa jumla waone faida yake,” noted Wandayi.

The oil industry, economically important but fraught with political risks, made up the agenda during The Africa We Build Summit, where Presidents Ruto and Museveni addressed issues raised by the conflict in the Middle East and called for regional solutions.

“Kenya is going to invest in your (Uganda’s) refinery and in the future of our resources together. And hopefully we can bring all other regional countries to see the value,” said Ruto at the conference.

Museveni added: “I am very happy with this initiative by President Ruto, like what he told you on the refinery in Uganda. In Uganda, I have banned the export of unprocessed resources.”

Whether restoring the oil fields in Lokichar will ease the raft of taxes on oil and licensing bureaucracy for players in the energy sector remains a hanging question.