Kenya Government, Oil Marketers Sign Pact to Develop Crude Oil Processing Facility

David Indeje is Khusoko’s Digital Editor, covering East African markets.
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The Kenyan Government, Tullow Oil, Total and Africa Oil Corp have signed agreements for the development of a 60,000-80,000 barrels per day crude oil processing facility for oil discovered in Block 10 BB and 13 T in the South –Lokichar Basin, according to the Petroleum and Mining Ministry.

The ministry says the parties have agreed that Amosing, Ngamia and Twiga fields should be developed as the Foundation Stage of the development.

“The Heads of Term agreements provide a framework and commercial certainty required to move ahead with negotiating the fully termed upstream and midstream long-form agreements ahead of the Projects’ Final Investment Decision (FID),” said John Munyes, the Cabinet Secretary.


The agreement paves way for sourcing KSh300 billion for the project from July.

“The signing of the Heads of Terms is a major milestone in the commercialisation of Kenya’s first oil development. Project Oil Kenya is expected to be the largest-ever private sector investment in Kenya and is a major step forward towards delivering FID for the project,” said Tullow Executive Vice President, Mark Macfarlane.

David Indeje is Khusoko’s Digital Editor, covering East African markets.

In my role as Community Engagement Editor For Khusoko, I care about our audience. engaging them, getting news delivered to them across a variety of platforms, and expanding the diversity of voices on our website.

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