US to finance the gist of an Oil pipeline in Kenya
The Kenyan oil industry is set to receive a financial boost of US$1.3bn from the American Government as they have expressed interest in funding the construction of an oil pipeline in Kenya that will link the northern oil fields to Lamu.
The US$ 2.3bn development is a positive and tremendous project as South Sudan and Ethiopia will be linked up to the Lamu port.
The US Ambassador to Kenya, Mr. Robert Godec confirmed the reports and said that US$ 1.3bn will be provided by his government and help accelerate the oil pipeline in Kenya.
Kenya Ports Authority to construct new oil terminal
The Kenya Ports Authority (KPA) says the construction of a new oil terminal in Mombasa will start 2016 in a bid to give way for the relocation of the old Kipevu terminal and help in the expansion of the country’s petroleum handling and storage capacity by about 400% including loading facilities.
The relocation of the oil terminal will be overseen by a Danish consultancy firm, NIRAS.
Kenya Ports Authority Managing Director Gichiri Ndua said that planned relocation had been finalized on and that the tendering process is projected to commence early next year.
Tullow Oil Sees Success at Etom-2 Appraisal Well in Kenya’s Block 13T
Tullow Oil has announced that the Etom-2 well in Block 13T, Northern Kenya, has encountered 102 metres of net oil pay in two columns.
The objective of the well was to explore the north flank of the Etom structure in an untested fault block identified by recent 3D seismic. Oil samples, sidewall cores and wire line logging all indicate the presence of high API oil in the best quality reservoir encountered in the South Lokichar Basin to date.
Tullow says additional prospectivity identified on the 3D seismic in the Etom Field area and in the northern portion of the basin, including the Erut and Elim prospects, will now be considered as part of the future exploration drilling program.
Indian firm targets Lake Victoria oil transport deal
An Indian investor plans to transport oil products between Kisumu and Port Bell in Uganda via Lake Victoria in a bid to cut high costs incurred moving the commodity by road.
Kenya Pipeline Company (KPC) acting managing director Flora Okoth says discussions have been going on with the Indian firm Mahati, which has won an 18-month contract with the government of Uganda for the supply of oil.
Ms Okoth says the move, if successfully executed, will cut the number of trucks on the road coming from Uganda to collect fuel in Kenya.
“We have been in discussion with an Indian investor so that he can start evacuating oil from our depot in Kisumu to Uganda via Port Bell,” said Ms Okoth in an interview with Shipping& Logistics.
