British oil explorer Tullow Oil says it intends to ship out Kenya’s first crude to the export market next year.
Kenya
last July delayed a plan to start small-scale crude oil production of
about 2,000 barrels a day for transportation by road to Mombasa for
export.
On Wednesday, Tullow said produced oil will
initially be stored, until all work is completed and necessary consents
and approvals granted for the transfer by road.
“…the
current phase of exploration and appraisal drilling in the South
Lokichar Basin has been concluded and the focus is now on the Early Oil
Pilot Scheme (EOPS) and the development of the discovered resources,” it
said in an update.
“As part of EOPS extended
production, water injection testing and a water-flood pilot test
utilising the Ngamia-11 well are planned for the first half of 2018.”
Tullow
initially struck oil in Turkana’s Lokichar basin in northwest Kenya in
2012 and has since followed it up with a string of other finds, putting
the country on the path to becoming a producer.
The
recoverable reserves are estimated at 750 million barrels, considered
commercially viable. Last month, the government signed an agreement with
Tullow to build a pipeline to evacuate the oil.
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