Kiharu MP Ndindi Nyoro has renewed the debate over Kenya’s long-awaited Turkana oil project, arguing that putting the resource into production could help strengthen the country’s fuel supply and reduce its dependence on imported petroleum.

 Nyoro said Kenya should push ahead with developing the South Lokichar oil fields, which have remained at the centre of the country’s petroleum plans since commercial oil was discovered in Turkana in 2012.

Nyoro also questioned the management of Kenya’s petroleum sector, arguing that high fuel prices cannot be explained by international market conditions alone. He accused some senior political figures of becoming involved in the oil business and criticised the government’s handling of the sector.

“The only way we can lower the petrol and diesel prices is by Kenyans fighting for the Turkana oil because it will come to help us one day. It will enable us to stabilise the supplies,” Nyoro said.

Turkana oil moves closer to production

Kenya’s commercial oil discovery at the Ngamia-1 well in 2012 was followed by additional discoveries in the South Lokichar Basin. The finds raised expectations that Kenya could become an oil-producing country and generate new revenue from petroleum.

The project has since experienced years of delays linked to investment, infrastructure, development plans, ownership and negotiations over revenue.

Tullow Oil, which previously operated the project, completed the sale of its Kenyan assets to Auron Energy E&P, an affiliate of Gulf Energy. The change gave Gulf Energy a central role in taking the South Lokichar project towards commercial production.

The current development plan is expected to be implemented in phases. The first phase is planned to produce about 20,000 barrels of crude oil per day, with production expected to rise to about 50,000 barrels per day during a later phase.

Initial crude transportation is expected to rely on roads, while longer-term plans include additional infrastructure to handle larger volumes.

Fuel prices remain complicated

Although Nyoro links Turkana oil to lower fuel prices, domestic crude production would not automatically translate into cheaper petrol or diesel.

Kenya would still incur costs associated with extracting the crude, transporting it from Turkana, storing it and either processing or exporting it. Pump prices would also continue to be affected by international oil prices, the exchange rate, taxes and other charges.

The project could, however, improve Kenya’s energy security and create a new source of government revenue. It is also expected to generate economic activity through employment, transportation, construction and services in Turkana and beyond.

The development has also attracted scrutiny over environmental protection, community benefits and the management of petroleum revenues.

With Kenya targeting first oil from South Lokichar, attention is increasingly shifting from the discovery itself to whether production can deliver the energy security and economic benefits that have been associated with Turkana oil for more than a decade.