Africa Oil & Gas: Kenya launches pilot oil export scheme via Mombasa

Kenya has launched a pilot scheme to export crude oil via Mombasa as part of efforts to capitalise on the country’s oil reserves.

The East African country discovered commercial oil reserves in its Lokichar basin in 2012 and a 800-km (500-mile) pipeline is due to be built before production starts up in 2021/22.

The national government and the regional administration of the northwestern Turkana region agreed last month on revenue sharing that will come into force when production reaches full capacity by 2022.

That agreement paved the way for the passage of a law on petroleum production, which will enable Tullow Oil – which operates the Kenyan fields – to start shipping oil that has been held in storage tanks for a year.Source: Reuters