Energy Cabinet nominee eyes Kenya oil for stabilising prices – Business Daily
Davis Chirchir, Energy Cabinet secretary nominee during his vetting in Parliament on October 18, 2022. PHOTO | DENNIS ONSONGO | NMG
Fast-tracking the development of Turkana oil fields will address the high cost of pump prices that have been exacerbated by Russia’s invasion of Ukraine, MPs heard last evening.
Davis Chirchir, Energy Cabinet secretary nominee told Parliament that Kenya could produce up to 120,000-kilo barrels per day which is significant to address the county’s cost of fuel.
“I don’t want to make further comments because I am talking to the world. But we are telling the prospecting company to quickly get down to work and move the product out of the field,” Mr Chirchir told the Committee on Appointments that vetted him.
He did not disclose the name of the prospecting company that he said wants to get down to the production of petroleum products in Turkana.
“In the petroleum production sharing contract that we have signed, we can buy our share of petroleum that has been discovered and use it to stabilise prices,” Mr Chirchir said while answering questions.
Read: No deal in sight on strategic Turkana oil investor search
Petrol retails at Sh178.30 in Nairobi, diesel Sh163 and kerosene Sh146.94 per litre. Kenya has longed to export oil since Tullow discovered crude in 2012. Tullow Oil, which struck oil 10 years ago, has been under pressure from Kenya to develop the Turkana oil wells that it expects to yield up to 120,000 barrels per day.
Tullow submitted a final field development programme to the government in December, boosting the project that had stalled as the company focused on managing debt and finalising its strategy.
Kenya first announced the discovery of oil in Block 10BB and 13T in Turkana in March 2012, raising hopes of the petro-dollars needed to fuel economic growth. Kenya had set a December 2021 deadline for Tullow to present a comprehensive investment plan for oil production in Turkana.
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