Thursday, 19 May 2016

Oil spill preparedness and response

(Photocredit: News 12 Viewer, Julia Martin)
As Kenya embarks on its dream of joining the oil producing league of countries, one of the things I believe it should put into consideration is oil spill preparedness and response. I believe in as much as we await the economic benefits that come with oil production, we should equally be prepared to deal with oil spills or have measures to mitigate their impact.

Wednesday, 11 May 2016

Factors that are considered in the construction of a crude oil pipeline.

Photocredit:pipeline construction

There are many factors that are put to consideration when considering to put up a pipeline.

These include:

1.      Route (distance, pipeline length)
2.      Topography (hills, valleys, inclines, plains)
3.      Temperature ( warm or cold temperature regions,  seasonal variations in temperature and climate)
4.      Expansion
5.      Environmental impact (environment setting, urban or countryside, offshore or onshore, conservation reserves  or protected ecosystems)

Kenya in Proposal stage for new crude oil pipeline

Source: Oil news Kenya

Kenya’s active search for contractors to be charged with the responsibility of designing its newly proposed crude oil pipeline has begun. The pipeline is intended to run from Lokichar (Turkana) to the coastal town of Lamu.  The project has arisen after Kenya’s defeat to win over Uganda in the deal that was intended to construct a pipeline through Kenya. The deal was won by Tanzania instead of Kenya due to Uganda’s security concerns on the Northern route which was to pass through Kenya and terminate at Lamu.

Tuesday, 26 April 2016

Key Oil exporters fail to agree on Oil output freeze


Photograph: Sergei Karpukhin/Reuters
The much awaited meeting of Sunday 17th April 2016 came and went by with poor results.

The negotiations buckled after Saudi Arabia surprised the group by reiterating its demand that Iran also agree to cap its oil production.

Oil prices had risen in the weeks prior to the meeting on speculation that Saudi Arabia might successfully lead an initiative between members of the Organization of the Petroleum Exporting Countries and Russia, which joined the talks.

Landlocked Uganda finally decides on Hoima-Tanga Route


The much anticipated outcome of the past weekend’s meeting with the three East African leaders is finally out.  The decision was made at the 13th Northern Corridor Integration Projects (NCIP) summit in Kampala, which was also attended by President Paul Kagame and Uhuru Kenyatta of Rwanda and Kenya, respectively. Landlocked Uganda has finally decided to partner with Tanzania to transport its oil from western Hoima district—home to some 1.7 billion barrels of oil, one of East Africa’s largest reserves to the Indian Ocean for trade. The 1,400 kilometre pipeline will run from Hoima (south of lake Victoria to Tanzania’s port of Tanga and is expected to be completed by mid-2020.

Tuesday, 12 April 2016

Crude oil prices rise to a $43 high on hopes for production freeze


Oil prices have jumped today based on the expectations that major oil producers will arrive at a productive agreement in the upcoming output freeze meeting on Sunday 17th April 2016. Brent crude rose to a high of $43.58, the highest it has been this year, while WTI rose to $40.73.
In as much as production has begun falling within some regions in the US as a result of cutbacks on expenditure, the global oil market is still oversupplied. The U.S. Energy Information Administration said on Monday that production in the seven key shale-drilling regions would fall by 114,000 barrels a day in May compared with April.

Friday, 1 April 2016

Total remains firm on decision for Tanga Route amidst oil pipeline triangle between Kenya, Uganda and Tanzania

Total E&P Uganda has confirmed its commitment to construct the $4 billion crude oil pipeline through Tanga regardless of ongoing discussions between Kenya and Uganda to have it pass through the Kenyan route. The affirmation was made by Totals general manager Adewale Fayemi who said "As a company, our position remains that we are going through Tanga. I understand there are issues being discussed but our position remains the same,” This was said at the two-day East Africa Oil and Gas conference in Tanzania.
Mr. Fayemi added that all available options have been carefully considered and the firm is more interested in the Tanga route, which it considered cheaper for oil production.