Kenya delays signing LNG agreement with Qatar

Kenya is delaying the signing of a 1-million-tonnes-per-year LNG agreement with Qatar, owing to a gas discovery in onshore block 9 pegged at 51 bcm (1.8 tcf). The agreement would have seen the LNG fire a planned 700-MW power plant in Mombasa.

Before committing to Qatari imports, Kenya is looking to optimise the gas found in the middle of 2014 by Canadian oil and gas company Africa Oil Corporation at the Sala-1 well in block 9, located in the northeast of the country. The block is owned by the Africa Oil Corporation and US-based Marathon Oil Corporation, each with a 50-percent stake.

“We have to be careful not to rush. You do not want to commit yourself say for 10 years and find your own gas can not find a market,” Energy Cabinet Secretary Davis Chirchir was reported as saying. “The plan is to transform the natural gas Africa Oil and Marathon Oil Corporation discovered to power in the next nine to 15 months to add an additional 200-500 MW to the national grid.”

Recent Posts

UK allows oil exploration in North Sea wind project zones

The UK's hydrocarbons regulator has awarded 31 new exploration licences in the country's North Sea waters, Reuters reported on Friday Read More

1 hour ago

ExxonMobil closes acquisition of Pioneer, creating Permian powerhouse

ExxonMobil announced the closing of its USD 60-billion acquisition of Pioneer Natural Resources on Friday, a move that solidifies its… Read More

6 hours ago

BP-Eni joint venture Azule enters Namibia’s Orange Basin

Azule Energy and Rhino Resources will enter a strategic farm-in agreement for Block 2914A located in Namibia's offshore Orange Basin,… Read More

8 hours ago

Chariot starts gas drilling campaign in Morocco

Africa-focused energy group Chariot has spudded the RZK-1 exploration well on the Gaufrette prospect at the Loukos Onshore licence in… Read More

12 hours ago

Touchstone acquires Trinidad E&P player Trinity

Touchstone Exploration has acquired Trinidad-focused Trinity Exploration & Production in an all-shares deal, the Canadian upstream player said on Wednesday Read More

22 hours ago

ExxonMobil “optimistic and pushing forward” with Mozambique’s Rovuma LNG

ExxonMobil is "optimistic and pushing forward" with the Rovuma LNG project in Mozambique and eyes an FID by the year's… Read More

1 day ago

This website uses cookies.