Plans are underway to have an integrated field development plan covering Blocks 13T and 10BB. Proposed development area to cover 10 discoveries. Submission of the Final FDP was done in December 2021. The total land requirement for the upstream development area and the 84km water pipeline is approx. 22,000 acres and 614 acres respectively. Upstream ESIA – updated baseline studies and revised project description completed.
The Project’s objective is to:
- Determine petroleum prospectively in open/vacant blocks in-order to attract investments.
- To capacity build technical officers in the Petroleum Directorate on data acquisition, processing, analysis, and interpretation.
- Determine the possible sources of gas and structural controls within Kipeto and Solai Gas Prospects.
Block L19A - Lamu Basin
The Directorate finalized geological and geophysical surveys in Block L19A (Lamu Basin). The technical team acquired, processed, and interpreted gravity/magnetic data and concluded geological mapping of the block.
Block L16 – Lamu Basin
The Directorate is currently acquiring geophysical data (gravity and magnetic) and geological mapping of Block L16.
Kipeto Gas Prospect – Tertiary Rift Basin
The Joint Ministry/NOCK technical team is progressing data acquisition within Kipeto Gas Prospect in Kajiado county
Solai Gas Prospect – Tertiary Rift Basin
The Ministry’s technical team has undertaken a geological reconnaissance survey in the surrounding areas of Solai Gas Prospect located within Nakuru county. The survey was conducted by mapping in-situ rock exposures in open quarries, along road cuttings and riverbanks. Detailed geological field mapping, geochemical sampling, petrological analysis, and geophysical data acquisition are planned.
3D Seismic Offshore Multi-Client Survey
The Ministry plans to conduct bid round licensing of the open shallow offshore blocks of the Lamu Basin in the near future. In readiness for this, the Ministry signed a contract with ION Geophysical for a 3D Seismic Multi-Client data acquisition program for shallow offshore in March 2021. The company will carry out two seismic projects; one covers new 3D acquisition in the offshore Lamu Basin, the second involves the re-imaging of vintage data. ION will carry out the multi-client work with BGP on the north and south of the Basin
ENI Kenya B.V. is currently drilling Mlima-1 well, a deep offshore exploratory well within the Mlima Prospect in Block L11B Offshore Lamu Basin.
The Midstream project is governed by the Joint Development Agreement (JDA) between GoK and KJV. The project is at the project development stage (Pre-FID stage). Front End Engineering Design (FEED) was completed; however, it has been updated with respect to the revised development concept. ESIA was completed and approved by NEMA.
The Ministry of Energy through the Petroleum Act, Cap 116 issued Legal Notice No. 64 of 22nd May 2000, which made it mandatory for petroleum motor fuels destined for export or duty exempt institutions and domestic kerosene to be marked. This was to monitor the illegal practices such as diversion of petroleum products meant for export into the domestic market and adulteration of motor fuels with domestic kerosene. The program is divided into two components, namely:
- Marking of export/duty-free motor fuels and domestic kerosene with an invisible marker at all designated export depots; and
- Monitoring of motor fuels for the presence of the markers at the retail sites to determine if an offense of export dumping or fuel adulteration has occurred.
The Energy and Petroleum Regulatory Authority (The Authority) in January 2019 procured the services of Intertek testing services (EA) (PTY) Limited (Intertek) to undertake marking of domestic kerosene product and export/ duty free motor fuels. Additionally, Intertek was to undertake monitoring of fuels sold at retail sites in Kenya to determine if an offence of export dumping or fuel adulteration has occurred.
With regards to LPG, the Government has initiated a project dubbed, ‘The Mwananchi Gas Project”. This is an initiative by the Ministry whose objectives are: -
- Reduce use of biomass and kerosene as the primary source of household cooking fuels
- To facilitate access of LPG to low-income households.
- To enhance LPG penetration in the country
- Scale-up uptake of LPG from 10% to 70%
The Ministry has so far procured over 100,000 6kg cylinders and sufficient accessories to begin the roll-out of both models. The project will be rolled out in two models. Model 1 will distribute 6kg LPG-filled cylinders fitted with burners and grills. In the first phase of this model, 60,000 units will be distributed to eligible beneficiaries at the subsidized cost of Sh. 1,950/unit across the 11 sub-counties of Nairobi County. In the next phase, the focus of distribution will be country-wide. Model 2 will entail the distribution of 6kg cylinders fitted with a compact valve and accessorized with a 1.5 m hose pipe, 2-burner table-top cooker, and a smart meter. As with Model 1, Model 2 will be piloted in Nairobi County and thereafter be enhanced to cover the rest of the country. The smart meter will help beneficiaries to monitor their consumption and at the same time mimic their daily fuel consumption by allowing the purchase of LPG amounts that the beneficiary can afford.
Kenya imports all its petroleum requirements through the Open Tender System (OTS) centrally coordinated by the Ministry of Petroleum and Mining. Tenders for importation of refined petroleum products are adjudicated on a monthly basis to ensure security of supply of petroleum products in the country and region.
- Development of the National Petroleum Policy
- Development of Petroleum Regulations and Guidelines.
- Development of Kenya National Petroleum Master Plan
- Development of Local Content Policy and Regulations
- Cost Recovery Audit