{"id":12655,"date":"2022-09-14T12:05:29","date_gmt":"2022-09-14T12:05:29","guid":{"rendered":"https:\/\/www.oilnewskenya.com\/?p=12655"},"modified":"2022-09-14T12:10:16","modified_gmt":"2022-09-14T12:10:16","slug":"kenya-government-has-until-november-to-review-project-kenya-field-development-plan","status":"publish","type":"post","link":"https:\/\/www.oilnewskenya.com\/index.php\/kenya-government-has-until-november-to-review-project-kenya-field-development-plan\/","title":{"rendered":"KENYA: Government Has Until November to Review Project Kenya Field Development Plan"},"content":{"rendered":"

Project Oil Kenya leading joint venture has said it is waiting for the Government of Kenya to review field development plan submitted 10th<\/sup> December 2021 before the JV can undertake the final investment decision. According to the company approval of the FDP will help the JV decrease uncertainties in the project including obtaining financing for the project get an understanding of the government deliverables.<\/p>\n

\u201cThese items require satisfactory resolution before the Group can take FID. Due to the binary nature of these uncertainties the Group was unable to either adjust the cash flows or discount rate appropriately. It has therefore used its judgement and assessed a probability of achieving FID and therefore the recognition of commercial reserves,\u201d the company says in its latest financial statement.<\/p>\n

According to the Irish explorer there have been ongoing discussions with Government of Kenya on the approval of FDP and securing government deliverables since 1 Jan 2022 with the government expected to continue the FDP review not later than 6th<\/sup> November 2022.<\/p>\n

\u201cFollowing the recent elections, Tullow and its joint venture partners will work with the new government to progress the project which has the potential to make a significant contribution to the Kenyan economy through taxation, revenue sharing, employment and local content,\u201d the statement reads.<\/p>\n

The FDP contains detailed information on the Turkana Oil project, including the number of wells, the size of land required for the project, the construction design, the designated petroleum waste disposal facilities, among others. It depicts the design of the project, and essentially the resulting impacts on the environment, climate, and surrounding communities.<\/p>\n

Once the FDP is approved the plan together with the Production Sharing Agreement will be sent to Parliament within 30 days as per the Petroleum Act section 31 for ratification with the process expected to take 60 days. Parliament can however refuse to ratify the PSC and the FDP sending it back to the cabinet secretary with reasons for refusal for reconsideration<\/p>\n

Tullow also says the delay in review and the subsequent delay in obtaining a production license the company has in line with its accounting policy, performed a value in use (VIU) assessment of its Kenya asset following identification of triggers for impairment reversal resulting in a net present value (NPV) significantly in excess of the book value of $255.2 million.<\/p>\n

Meanwhile the group reports that continues to progress with the farm down<\/a> process with approvals being sought.<\/p>\n

\u201cA process to secure a strategic partner for the development project in Kenya is ongoing and Tullow is confident that substantial progress will be made before the end of the year.\u201d<\/p>\n

In 2022 the company has aside a capex of $5 million and exploration spend of $45 million in Kenya.<\/p>\n

Tullow has a 50% stake in the project with TotalEnergies and Africa Oil each holding 25% interests.<\/p>\n","protected":false},"excerpt":{"rendered":"

Project Oil Kenya leading joint venture has said it is waiting for the Government of Kenya to review field development plan submitted 10th December 2021 before the JV can undertake … Read More<\/a><\/p>\n","protected":false},"author":24,"featured_media":10882,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[7442,7443,11],"tags":[70,9601,4064,7235,9029,2571],"class_list":["post-12655","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-countries","category-eastern-africa","category-top-news","tag-africa-oil","tag-fdp","tag-fid","tag-project-oil-kenya","tag-total-energies","tag-tullow-oil","entry"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/09\/Kenya-Development-Redesigned-Optimized.jpg?fit=747%2C349&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p5JWkQ-3i7","jetpack-related-posts":[{"id":12831,"url":"https:\/\/www.oilnewskenya.com\/index.php\/kenya-kenyans-could-wait-longer-for-first-oil-as-jv-partners-seek-an-extension-of-the-field-development-plan-review-period\/","url_meta":{"origin":12655,"position":0},"title":"KENYA: Kenyans Could Wait Longer for First Oil as JV Partners Seek an Extension of the Field Development Plan Review Period","author":"","date":"November 16, 2022","format":false,"excerpt":"Project Oil Kenya leading joint venture has called for an extension to the period earlier set for review field development plan submitted on 10th December 2021 saying this will allow for continued\u00a0constructive discussions with the Energy and Petroleum Regulatory Authority of Kenya and the Ministry of Energy and Petroleum. In\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/08\/Tullow-Oil-Kenya.png?fit=358%2C377&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":6101,"url":"https:\/\/www.oilnewskenya.com\/index.php\/fid-uganda-albertine-project-start-feed-kenya-expected-end-2017\/","url_meta":{"origin":12655,"position":1},"title":"FID on Uganda Albertine Project, Start of FEED in Kenya expected by End of 2017","author":"","date":"June 28, 2017","format":false,"excerpt":"Partners in the Uganda Albertine Graben project namely Total E&P, CNOOC and Tullow Oil have said they expect the final investment decision on field development by the end of the year as earlier scheduled according to the latest trading statement and operational update by Tullow Oil. . 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According to State House the partners\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2016\/10\/Tullow-Oil-JV-Partners-State-House-Nairobi.jpg?fit=960%2C640&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2016\/10\/Tullow-Oil-JV-Partners-State-House-Nairobi.jpg?fit=960%2C640&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2016\/10\/Tullow-Oil-JV-Partners-State-House-Nairobi.jpg?fit=960%2C640&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2016\/10\/Tullow-Oil-JV-Partners-State-House-Nairobi.jpg?fit=960%2C640&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":10881,"url":"https:\/\/www.oilnewskenya.com\/index.php\/kenya-upstream-pipeline-revised-plans-drive-costs-to-3-4b\/","url_meta":{"origin":12655,"position":3},"title":"KENYA: Upstream & Pipeline Revised Plans Drive Costs to $3.4B","author":"","date":"September 15, 2021","format":false,"excerpt":"The total gross capital expenditure (capex), which covers both the upstream and the pipeline to First Oil, is expected to increase to $3.4 billion as the KJV revised the previous design according to the latest announcement by the operator Tullow Oil. According to the operator the new design to include\u2026","rel":"","context":"In \"Africa Oil\"","block_context":{"text":"Africa Oil","link":"https:\/\/www.oilnewskenya.com\/index.php\/tag\/africa-oil\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/09\/Kenya-Development-Redesigned-Optimized.jpg?fit=747%2C349&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/09\/Kenya-Development-Redesigned-Optimized.jpg?fit=747%2C349&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/09\/Kenya-Development-Redesigned-Optimized.jpg?fit=747%2C349&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2021\/09\/Kenya-Development-Redesigned-Optimized.jpg?fit=747%2C349&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":7549,"url":"https:\/\/www.oilnewskenya.com\/index.php\/agreements-over-land-title-water-supply-key-to-reaching-lokichar-fid-by-end-of-2019-tullow-oil\/","url_meta":{"origin":12655,"position":4},"title":"Agreements Over Land Title & Water Supply Key to Reaching Lokichar FID By End of 2019 \u2013 Tullow Oil","author":"","date":"February 13, 2019","format":false,"excerpt":"KENYA Block 10BB and 13T operator Tullow Oil has listed concluding agreements over land title and water supply with the Government of Kenya as among the key tasks that the company is focused on in order to reach a Final Investment Decision by year end. According to the company in\u2026","rel":"","context":"In \"FID\"","block_context":{"text":"FID","link":"https:\/\/www.oilnewskenya.com\/index.php\/tag\/fid\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2019\/02\/Tullow-Oil.jpg?fit=713%2C476&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2019\/02\/Tullow-Oil.jpg?fit=713%2C476&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2019\/02\/Tullow-Oil.jpg?fit=713%2C476&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2019\/02\/Tullow-Oil.jpg?fit=713%2C476&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":9080,"url":"https:\/\/www.oilnewskenya.com\/index.php\/kenya-tullow-oil-jv-receives-1-year-license-extension-on-blocks-10bb-and-13t\/","url_meta":{"origin":12655,"position":5},"title":"KENYA: Tullow Oil, JV Receives 1 Year License Extension on \u00a0Blocks 10BB and 13T","author":"","date":"September 9, 2020","format":false,"excerpt":"Blocks 10BB and 13T joint venture partner Africa Oil Corp. has announced that an extension has been granted by the Government of Kenya on\u00a0 the south Lokichar blocks. \u00a0Under the terms of the extension, the Joint Venture partners have the right to extend the second exploration period for the 10BB\u2026","rel":"","context":"In "Countries"","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/09\/Block-10BB-13T-pipeline.png?fit=406%2C360&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/12655","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/comments?post=12655"}],"version-history":[{"count":3,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/12655\/revisions"}],"predecessor-version":[{"id":12658,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/12655\/revisions\/12658"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media\/10882"}],"wp:attachment":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media?parent=12655"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/categories?post=12655"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/tags?post=12655"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}