By Mumo Judah
Thursday, June 4, 2026
Kenya is set to achieve a historic milestone in its energy sector after the government confirmed that commercial crude oil production from the South Lokichar Basin in Turkana County will commence before the end of the year.
Energy Cabinet Secretary Opiyo Wandayi said the government has completed key preparatory processes and is working closely with industry stakeholders to ensure the project transitions smoothly from exploration to full-scale commercial production.
Speaking on the progress of the project, Wandayi expressed optimism that Kenya’s long-awaited oil dream is finally becoming a reality.
“Before the end of the year, we will start producing oil from Turkana,” said Wandayi.
The announcement marks a significant breakthrough for a project that has faced years of delays due to financing challenges, infrastructure requirements, regulatory approvals, and changes in project ownership.
According to the Ministry of Energy, initial production is expected to begin at approximately 20,000 barrels of crude oil per day, with plans to gradually increase output to about 50,000 barrels per day as additional wells are developed and supporting infrastructure is expanded.
The South Lokichar oil fields are estimated to contain about 560 million barrels of recoverable crude oil, making them one of the largest petroleum discoveries in East Africa. Government officials believe the project has the potential to transform Turkana County’s economy while boosting national revenue and foreign exchange earnings.
To facilitate early production, the government plans to transport crude oil by road from Turkana to the Port of Mombasa, where it will be exported to international markets. Officials say this strategy will allow Kenya to begin generating revenue from the resource while longer-term infrastructure solutions continue to be evaluated.
Wandayi noted that Kenya currently lacks a refinery capable of processing the specific grade and volume of crude oil expected from the Lokichar fields. As a result, exporting the oil remains the most practical option during the initial phase of production.
The Cabinet Secretary explained that establishing a domestic refinery would require significantly higher production volumes to make the investment commercially viable. Current projections indicate that Kenya’s output remains below the estimated threshold needed to sustain a large-scale refinery operation.
Instead, the government is exploring regional opportunities, including participation in a proposed refinery project in Tanga, Tanzania, and other strategic partnerships aimed at enhancing value addition within the East African region.
The project has entered a new chapter following the departure of former operator Tullow Oil. Gulf Energy Limited has taken over leadership of the development and is expected to oversee drilling operations, field development, and production activities as Kenya moves closer to becoming an oil-producing nation.
Industry analysts have welcomed the development, noting that commercial oil production could attract fresh investment into Kenya’s energy sector, create employment opportunities, and stimulate economic growth in Turkana and neighboring counties.
The Ministry of Energy expects the first commercial shipment of crude oil to be ready for export by early December, a move that would officially place Kenya among Africa’s oil-producing countries and mark a major achievement in the country’s economic development agenda.
If successful, the project is expected to open new opportunities for investment in energy infrastructure, logistics, and industrial development while strengthening Kenya’s position within the regional energy market.
