Kenya signs oil exploration contract with UK firm

Oct 25, 2000 02:00 AM

The Kenyan government has signed an oil exploration contract with a United Kingdom-based company, Energy Minister Francis Masakhalia has said. The minister was quoted as saying the UK firm will explore two potential oil blocks in Kwale and Lamu districts in south-eastern Kenya, both along the Indian Ocean. Masakhalia told the Parliament that the exploration will be both offshore and onshore of the Indian Ocean.
Due to a prolonged severe drought, Kenya has experienced the power shortfall, resulting in the power rationing introduced since September last year. The minister said his government has taken various measures to address the power shortfall situation, including oil, coal and geothermal and wind exploration, and hydropower imports from Uganda and southern Africa through Tanzania. According to Kenyan Vice President George Saitoti, there is likelihood of oil deposits existing in the Kenya-Sudan border.
Oil exploration has been going on in Kenya since colonial times but only one of the efforts has yielded deposits worth exploration.

Source: Xinhua via Newspage