Kenya Crude Oil Pipeline

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This article is part of the Global Fossil Infrastructure Tracker, a project of Global Energy Monitor and the Center for Media and Democracy.
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Kenya Crude Oil Pipeline, also known as the Lokichar-Lamu Oil Pipeline, is a proposed oil pipeline in Kenya.[1]

Location

The pipeline will originate in the Lokichar Basin, near the town of Lokichar in northwest Kenya to end at Port Lamu, on the Indian Ocean.

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Project Details

  • Operator: Tullow Oil, Government of Kenya[1]
  • Current capacity:
  • Proposed capacity: 120,000 barrels per day
  • Length: 892 kilometers
  • Status: Construction
  • Start Year: 2021

Background

Originally Kenya partnered with Uganda to export Kenya oil through a joint pipeline to Port Lamu on the Indian Ocean coast.[2] When those plans fell through, Kenya announced it would build ts own pipeline from Lokichar to Lamu.[3][4][5]

In November 2016, the British oil conglomerate, Tullow Oil Plc, indicated that it would sign an agreement with the Government of Kenya, before the end of 2016, which would pave the way for the construction of the Kenya Crude pipeline. The joint venture will involve African Oil Limited and Maersk Oil, two other companies with oil exploration rights in northwestern Kenya. The joint venture agreement will be followed by studies on the pipeline’s technical requirements as well as its financing and ownership structure.[6]

It is expected that the construction of this pipeline will commence in 2018 and last until 2021. The construction cost is budgeted at KES:210 billion. The pipeline will carry up to 120,000 barrels of crude oil per day.[6]

As of 2017, the likelihood of Tullow Oil moving forward with the pipeline construction project has increased. In May 2017, Tullow Oil discovered more oil deposits at its Ngamia-1 oil rig in the Turkana oil fields in Northern Kenya. The pipeline project will undergo an environmental and social impact study along with further studies of the site's oil reserves and their corresponding value. These studies will ultimately decide whether the pipeline is viable or not in the eyes of the oil companies.[7]

Articles and resources

References

  1. 1.0 1.1 Kenya Crude Oil Pipeline, Wikipedia, accessed September 2017
  2. Kakwanja, Peter (27 March 2016). Kenya’s interests must prevail in Uganda oil pipeline debacle. Retrieved on 24 April 2016.
  3. "Uganda picks Tanzania for oil pipeline, drops Kenya plan", BBC News (23 April 2016). Retrieved on 24 April 2016. 
  4. Wachira, George (26 April 2016). "Fast track Turkana-Lamu pipeline to beat Uganda to global oil markets". Retrieved on 26 April 2016. 
  5. Reuters (2 May 2016). Kenya targets to complete Sh210 billion pipeline by 2021. Retrieved on 2 May 2016.
  6. 6.0 6.1 Mutegi, Mugambi (9 November 2016). Tullow Oil set to sign pipeline deal with Kenya before year end. Retrieved on 10 November 2016.
  7. Abel MuhatiaMore Turkana oil find boosts pipeline plans, The Star, May 18, 2017

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External resources

External articles

Wikipedia also has an article on Kenya Crude Oil Pipeline. This article may use content from the Wikipedia article under the terms of the GFDL.