After the discovery of gas off both Tanzania and Mozambique, Kenya has decided to outline eight new exploration blocks offering potential investment opportunities, revenue, and much needed energy supplies.
The move has already attracted interest from some major players in the E&A industry, with Total SA already having signed a production sharing agreement allowing them to operate in at least one of the new blocks. According to the Kenyan Energy Ministry’s petroleum commissioner, Martin Heya, Petroleo Basileiro SA, and Apache Corp. has also shown interest in investing in the exploration of these new blocks.
However, with water reaching depths of up to 4000 m, the Kenyans are not likely to let just anyone invest in these new blocks. During an interview in Nairobi Heya said “We want those companies with a lot of muscle because these are very deep waters and that takes financial and technical abilities.”
Kenya has a lot to gain from any meaningful oil or gas discoveries made in these new exploration blocks; at present the country has no proven reserves and often suffers from power outages, which are viewed by many, has a significant hindrance to economic growth.