Kenya to Launch Commercial Oil Production by 2026, CS Wandayi Confirms
Kenya is edging closer to becoming an oil-producing nation, with the government targeting the end of 2026 to begin commercial oil production. Energy Cabinet Secretary Opiyo Wandayi announced that the country is transitioning from exploration to full-scale development of oil fields in Turkana, a key step forward for the national energy sector.
The Lokichar Basin in Turkana, long believed to hold significant oil reserves, has remained largely untapped despite extensive exploration efforts. Progress was stalled further in April after British oil firm Tullow Oil exited the Kenyan market, casting uncertainty over the future of the project.
However, optimism has returned with the impending acquisition of Tullow’s Kenyan assets by Gulf Energy Ltd. Speaking on NTV on Monday morning, CS Wandayi confirmed the sale and expressed confidence in the new investor’s capacity to push the project forward.
“Gulf Energy is finalising the acquisition of Tullow Oil’s Kenyan operations. We are optimistic they will mobilise the financial and technical resources required to move this project to the next level,” Wandayi stated.
He added that once the government is satisfied with Gulf’s plans and capacity, it will approve the long-awaited Field Development Plan (FDP), unlocking the door to the commercial production phase.
“By the end of 2026, we expect to see the first crude oil from Turkana heading to the coast for export,” Wandayi confirmed.
Addressing questions about why Kenya has yet to build a domestic oil refinery, Wandayi explained that current reserves are insufficient to justify such an investment. According to scientific research and economic analysis, importing refined petroleum remains more viable at this stage.
The South Lokichar Basin, where Tullow Oil made its first major discovery in 2012 at the Ngamia-1 well, has since been the center of Kenya’s petroleum ambitions. Further exploration led to additional discoveries in fields like Amosing, Twiga, and Etuko.
According to earlier estimates by Tullow and its former joint venture partners, the basin holds approximately 560 million barrels of recoverable oil, with the total oil initially in place (OIP) estimated at up to 4 billion barrels. However, only a portion of this is economically recoverable with current technologies.
The original Field Development Plan aimed to extract around 433 million barrels over a 25-year period. At full capacity, early production phases were projected to yield between 60,000 and 100,000 barrels of oil per day, positioning the Lokichar oil project as one of East Africa’s most promising ventures—before setbacks delayed progress.
With new ownership and renewed government support, Kenya’s oil production dream now appears firmly back on track.
