Gulf Oil and Gas accountACCOUNT

Kenya's National Oil and Schlumberger Sign Field Development Deal

Source: Reuters 4/13/2018, Location: Africa

Share |
Kenya’s National Oil Corporation and U.S. oil services company Schlumberger have agreed to finalize a field development plan on behalf of the government for oil blocks in the northwest of the country. The East African nation discovered commercial oil reserves in its Lokichar basin in 2012.

National Oil said in a statement seen by Reuters on Friday that the agreement with Schlumberger would create a development blueprint for the field in the next year.

“This FDP (field development plan) will provide the government with an independent view of the development of the Lokichar oil discoveries, which will be useful in supporting the government in evaluating work already being done by investors Tullow, Africa Oil and Maersk,” National Oil said.

Britain’s Tullow Oil and Canada’s Africa Oil were first to discover oil in Kenya, holding an equal share in the 10 BB and 13T blocks where Tullow is the operator.

French oil major Total later acquired a stake in the blocks from AP Moeller-Maersk and the Kenyan government is expected to take a stake through National Oil.

National Oil did not disclose the value of the deal.

Tullow expects to reach a final investment decision (FID) on the project in 2019 and first oil production by 2021-22.

Last year the government signed an agreement with Tullow and its partners for a feasibility study on a proposed pipeline to transport the crude oil to a seaport on the Indian Ocean coast.

Recoverable reserves are estimated at 750 million barrels and considered feasible for production with oil prices at $55 a barrel, which is below current levels.

The ministry said last year that the pipeline — to run 820km (500 miles) between Lokichar and Lamu on Kenya’s coast — would cost $2.1 billion and was expected to be completed in the first quarter of 2021.

National Oil handles the government’s interest in both the upstream and downstream oil activities. It owns exploration blocks and runs petrol stations in Kenya with about a 5 percent share of the fuel retail market.

Development News in Kenya >>

Indonesia >>  4/18/2018 - Eni announces the approval of the Plan of Development (POD) for the Merakes field located in the East Sepinggan PSC in the Makassar Strait, offshore E...
Indonesia >>  4/16/2018 - Following Black Platinum Energy’s recent announcement of a significant increase in the discovered Dara East Gas Field P50 GIIP volume to 1,495 Bscf, t...

Kenya >>  4/13/2018 - Kenya’s National Oil Corporation and U.S. oil services company Schlumberger have agreed to finalize a field development plan on behalf of the governme...
Russia >>  4/13/2018 - The Gazprom Neft Board of Directors has reviewed the long-term outlook for developing its Orenburg oil-production cluster, together with information o...

Malaysia >>  4/11/2018 - Sapura Energy Berhad (the Group) announced that its wholly-owned subsidiary, Sapura Exploration and Production (Sarawak) Inc. (formerly known as Sapur...
Norway >>  4/10/2018 - Faroe Petroleum, the independent oil and gas Company focusing principally on exploration, appraisal and production opportunities in Norway and the UK,...

Related Categories: Camp Building  Cleaning Equipment, Services  Communication  Corrosion Products/Services  Development  Exploration  Food Supplies  General  Labor Services  Land & Leasing  Mine Clearance  Oil & Gas Companies  Production  Service Companies  Skilled Labors  Transportation, 4X4 Trucks  Unskilled Labors  Utility Systems  Waste Disposal  Water Supply Services  Welding Products/Services 

Related Articles: Camp Building  Cleaning Equipment, Services  Communication  Corrosion Products/Services  Development  Exploration  General  Labor Services  Land & Leasing  Mine Clearance  Oil & Gas Companies  Production  Service Companies  Transportation, 4X4 Trucks  Utility Systems  Water Supply Services  Welding Products/Services 


Kenya Oil & Gas 1 >>  2 | 3 | 4 | 5 |

More News

 

Oil & Gas Companies in Kenya >>


Related Links

Gulf Oil and Gas
Copyright © Universal Solutions All rights reserved. - Privacy Policy.