Kenya Awards Seven More Blocks

Petroleum agreements are flying off the shelf in Kenya as the government has awarded seven of its remaining 12 petroleum blocks in the past week or so.

The government issued licenses to small independents and major E&P firms alike, with the most recent awards announced being the three blocks going to ENI. Total also picked up a block last week.

Independent firms ERHC Energy, Rift Energy, and Pacific Seaboard Investments each gained access to an onshore block each. Coastal blocks L19 and L20 were licensed to Rift Energy and Pacific Seaboard Investments, respectively, while ERHC gained access to Block 11A which lies in close proximity to the block where Tullow recently made an oil discovery.

Of the five blocks remaining, three are under negotiation. Statoil is negotiating for access to offshore Block L25 and a Qatar-based company is negotiating for offshore Block L26 and onshore Block L14.

"We signed seven blocks in one week. ENI signed three (offshore) blocks, L21, L23 and L24," Martin Heya, Kenya’s petroleum commissioner told Reuters in an interview.

"Things have been going very well ... we've been very busy."