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Thursday, July 18, 2013
One oil company has suspended operations in Kenya due to a disagreement with the residents in the area. According to reports, Vanoil Energy suspended its exploration work in Garissa County until disputes can be smoothed over.
The company said the focus of the residents has been on cash payments instead of beneficial sustainable projects and that was one of the reasons it was halting its operations for now. Area leaders however want the company to get back to work and are willing to step in to ease the tensions.
Governor Nadhif Jama has reportedly stepped in and said that he gives Vanoil his full backing. “It’s a new beginning. If oil is found, it will change this county for the better,” the governor was quoted as saying in a report by The Star. “If oil is found I think we will see a better county that lives in peace and prosperity.”
According to Francis Karanja, one of Vanoil’s directors, the company planned to start drilling the first of its two exploratory wells at Madogashe-1 in the South Anza basin in two months. “There is an assumption that there will be about 600 million barrels of oil,” he said.
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