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Kenya, Uganda set to position E. Africa as the next oil frontier

An oil rig at Ngamia-1 in Turkana County. Ngamia-1 was Kenya’s first significant oil discovery by Tullow and Africa Oil in 2012. PHOTO | FILE
An oil rig at Ngamia-1 in Turkana County. Ngamia-1 was Kenya’s first significant oil discovery by Tullow and Africa Oil in 2012. PHOTO | FILE 

Kenya and Uganda are set to position East Africa as the next oil development frontier, Bloomberg Intelligence has said.

The note based the findings on the discovery of several onshore deposits. They include the billion-barrel potential at Uganda’s Lake Albert and Kenya’s South Lokichar Basin.

“While early-stage, with full development not expected until 2020 or later, accelerating drilling activity, resource delineation and project advancement will deliver a pipeline of near-term catalysts for licence holders and investors,” said Bloomberg Intelligence industry analyst Will Hares.

The report further noted that investors seeking exposure to onshore East African oil developments have a wide range of options. Until now, both Kenya’s and Uganda’s economies have been agriculture based.

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