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Uhuru: All clear for oil production after govt-county deal

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Oil exploration in northern Kenya. FILE PHOTO | NMG

President Uhuru Kenyatta on Saturday announced that the production of oil from the Turkana oil fields will start without any hindrance after an agreement was reached on the sharing of revenue.

President Kenyatta said the revenue from oil will be shared on the basis of 75 per cent for all Kenyans through the national government, 20 per cent to the county government and five per cent will go to the local community.

Mr Kenyatta spoke after a deal was struck on the Petroleum (Exploration and Production) Bill.

"We now have an understanding that can put Kenya on the map of oil exporting countries.

"We will intensify our exploration efforts not just in Turkana but in the rest of the country, now that we have a legal instrument that can help guide how oil and gas will be handled in our republic," he said at State House, Nairobi.

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The first trucks carrying crude oil are scheduled to start transporting the resource by June 1.

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The President was joined by Deputy President William Ruto and leaders from the county led by Governor Josphat Nanok.

President Kenyatta thanked Governor Nanok and the other leaders for their initiative to find a quick resolution to the outstanding issues.

Mr Nanok said the leadership and the people of Turkana are now fully in support of the exploration and production of oil after the disagreements were resolved.

"The impediment that the Turkana people were concerned with and even the council of Governors raised in its petition to Parliament has now been discussed and resolved," he said.

He said Turkana leaders will support the fast-tracking of the transportation of oil by road as well as the construction of the oil pipeline to Lamu Port.