Kenya’s long-anticipated entry into the global crude oil market is gaining momentum, with the government announcing that the first commercial export from the South Lokichar oil fields in Turkana County is expected by December 2026.
Speaking during Fixing the Nation interview on NTV, Energy Cabinet Secretary Opiyo Wandayi stated that preparations are underway for Kenya to begin commercial oil production, following earlier delays attributed to investment transitions and regulatory processes.
“We are optimistic that this time round, we shall have commercial production of oil in the South Lokichar basin. By the end of 2026, we expect at least one barrel of crude oil leaving Lokichar en route to the coast for export,” said Wandayi.
With investor realignments nearing completion, the government is now seeking parliamentary approval of the Field Development Plan.
Once approved, the construction of the pipeline and processing infrastructure will commence, potentially positioning Kenya among the ranks of crude oil-exporting nations.
“This is a turning point,” said Wandayi. “Kenya’s oil journey has been long, but our destination is now in sight.”
The crude oil export initiative is part of the Ministry of Energy’s 2023–2027 Strategic Plan, which aims to attract over Sh145 billion in new investments into the country’s oil and gas sector.
The plan includes licensing new petroleum blocks, upgrading petroleum depot infrastructure in Kisumu, Eldoret, and Nakuru, and revitalising the National Oil Corporation of Kenya (NOCK) through a proposed Sh6 billion strategic partnership.
Gulf Oil is currently in the process of acquiring Tullow Oil’s Kenya operations. According to Wandayi, the government remains hopeful that the investor will marshal the necessary financial and technical capacity to advance the project.
“Once we are satisfied that all conditions have been met, we will proceed to approve the Field Development Plan, which will pave the way for the commercial phase,” he added.
A major component of the project involves the construction of an 824-kilometre crude oil pipeline from Lokichar to the Lamu Port. The government has allocated more than Sh2.4 billion for project preparation and feasibility studies across the 2023–2026 budget period.
The pipeline design has been revised to a 20-inch diameter to accommodate increased volumes. Construction is set to proceed in phases upon FDP approval.
Additionally, plans are in place to establish a central processing facility in Lokichar with a daily capacity of up to 120,000 barrels, alongside crude storage infrastructure at both Lokichar and Lamu.
