Kenya joint venture partners Tullow Oil, Africa Oil, and Total will submit an updated field development plan by yearend 2021 following an extension granted by the government of Kenya for Blocks 10BB and 13T in South Lokichar basin, near Lake Turkanaby.
Under terms of the extension, the partners have the right to extend the second exploration period for the license blocks until Dec. 31, 2020, with a further extension until Dec. 31, 2021, contingent upon an agreed work program and budgets.
The extension was granted after partners lifted a notice of force majeure on the blocks Aug 21 (OGJ Online, Aug. 21, 2020). The declaration was made May 15 due to the COVID-19 pandemic impact on operations, including Kenyan government’s restrictions on domestic and international travel, and tax changes that adversely impacted the project economics. These were exacerbated by the unprecedented crash in global crude oil prices.
Tullow Oil is operator of the blocks with 50% interest. Africa Oil and Total each hold 25%.