The pipeline that will take crude produced in Uganda and Kenya to Kenya’s coast has taken a big step forward.
Following a state visit to Uganda by Kenya’s President Uhuru Kenyatta, a joint communiqué from both governments was issued stating “the two Heads of State agreed on the use of the Northern Route i.e. Hoima-Lokichar-Lamu for the development of the crude oil pipeline.”
Both Tullow Oil and Africa Oil expressed their pleasure over the two governments agreeing on the route of the pipeline.
Tullow and its partners in Uganda, Total and CNOOC, are closing in on bringing Uganda’s oil discoveries to fruition after long last. Africa Oil is partnered with Tullow in Kenya, where the two partners have discovered more than sufficient crude for commercial development and are set to move forward with a plan of development.
Keith Hill, President and CEO of Africa Oil, commented, “We are very pleased that the governments of Kenya and Uganda have agreed on the routing of the export pipeline and look forward to working with all stakeholders to move the joint oil development project forward.
We continue to be encouraged by the appraisal drilling and extended well testing program which has confirmed our original opinion that this is an outstanding project. We believe that there is still significant upside in not only the Lokichar Basin but in new basins yet to be opened and are working with our partner Tullow on a program to unlock this potential.”
Aidan Heavey, CEO, said “The decision by the Governments of Uganda and Kenya with regard to the pipeline route will allow this significant project to move into a new technical and commercial phase.”