Petroleum Africa
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Wednesday, July 25, 2018
Despite being on the verge of becoming a full-fledged petroleum producing country, Kenya is facing the stoppage of movement towards that goal. According to media reports out of the East African nation Tullow Oil, the operator of that crude production, has threatened to undermine the nascent oil industry if the government fails to address safety, transportation and production issues.
Protesters have blocked the transport road that takes the crude from the oilfields in the LokicharBasin to the storage depots at the port of Mombasa since June. This situation has forced Tullow’s transport trucks to head back to the oilfields.
The protesters claim the government has undercut the local population’s cut of oil revenues and they want more. According to the law on the sharing of oil revenues, 75% of revenues will go to the government, 20% to the decentralized administrations and 5% to the communities of the production basins.
Protesters are also accusing Tullow of discrimination.According to The East African, protesters who threaten to block production if nothing is done, also want more jobs in the sector for local people.
Meetings had been scheduled since the beginning of this month between local communities, Tullow officials and the government to defuse the crisis, but none of these meetings took place.
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