Africa Oil Corp. - World-Class East Africa Oil Exploration (Seite 369)

[motz1]

Tullow-fokussiert, aber nicht weniger für AOI relevant...

Cheers to RionsRun from stockhouse.com!

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Tullow surveys in Kerio Valley begins .

Sunday, 08 April 2012 23:57 BY JAMES MBUGUA AND MATHEWS NDANYI


AGGRESSIVE: The Ngamia oil rig at Lokichar Block 10BB where Tullow oil is prospecting for oil. The company has discovered viable oil deposits in the area and may start production. Photo/Joseph Kariuki

Tullow Oil has started work in the Kerio Valley on its Block 12A that it co-owns with Africa Oil. After completing what it calls Full Tensor Gravity aerial surveys over the block, the company is now moving in to gather two-dimensional data with the Kerio Valley area pinpointed for increased studies. Keiyo South DC Abas Muhammed says the firm has been licenced to carry out further exploration in parts of Keiyo, Marakwet and Pokot along the Kerio Valley region.

A seismic sub-contractor, the Bureau of Geophysical Prospecting (BGP) is moving from Block 13T where it has been based to carry out the work in the Kerio Valley. This team looks at the data gathered from the aerial FTG surveys and interprets it alongside newly gathered geological data to develop a clearer picture of the ground below. This is then refined to zero down to possible drilling areas. Tullow has already struck oil in Block 10BB in Turkana where it is completing drilling of its Ngamia 1 well to a depth of 2700metres.

Tullow's partner on its five onshore blocks, Africa Oil said on its website: “The Company and its operating partner on the Block, Tullow, have completed a FTG survey over the entire Block 12A. Based upon the FTG results, an area of interest, the Kerio Valley, has been identified in the southwestern portion of the block where future 2D seismic acquisition will be focused.”

The move to the Kerio Valley could also mean that drilling may well be planned on Block 10A where the first drilling site has been identified. “The Company and its operating partner on the Block, Tullow, have agreed on the location of the first exploratory well in Block 10A. The prospect to be drilled is the Paipai prospect with a proposed total depth of 4150m,” AfricaOil noted. “The Weatherford 804 rig, currently at the Ngamia-1 location, will mobilize to Paipai directly after completion of Ngamia operations. The Paipai civil works associated with the location have been completed and sufficient materials have been purchased and mobilized to the location. The Paipai well will complete the required work obligations under the Block 10A PSC.”

The evacuation of the BGP team to the Kerio Valley also signals that the site of the first well in Block 13T where it has been operating could be decided soon. “Interpretation of reprocessed vintage seismic data, in addition to new preliminary seismic data, has revealed a string of interesting structures on trend with the Ngamia feature of Block 10BB. The current seismic program is focused on further delineation of these leads to mature them to drillable prospects,” Africa Oil noted.

http://www.the-star.co.ke/business/local/70526-tullow-oil-se…

[motz1]

Hier geht es zur "Seismic-Lesson by Saharatraveller" - wie ich finde äußerst lesenswert und informativ...

http://www.worldstocks.co.uk/forum/viewtopic.php?f=3&t=303

[gimo211]

Hi motz1, Ostern war prima - 'mal durchatmen tut immer gut...

Du hast natürlich vollkommen recht! Es waren immer "over 20m net Pay"... Das habe ich komplett falsch erinnert... SORRY!!

[motz1]

Antwort auf Beitrag Nr.: 43.016.297 von gimo211 am 09.04.12 18:36:45

Hi gimo211,

hoffe du hast die Ostertage gut überstanden.

Wie kommst du auf 10m? Ich meine mich von Anfang an 20m zu erinnern. Die NR http://tmx.quotemedia.com/article.php?newsid=49714898&qm_sym… sagt auch 20.

Hm

In dem Fall aber eindeutig: Besser 20 als 10 .
Und es sind ja "...over 20 metres..."

[gimo211]

Hier noch zwei weitere Links zu neuen Artikel re Ngamia-1 Discovery in Kenya.

Ich habe sie deshalb hier eingestellt, da beide unabhängig voneinander, jedoch übereinstimmend, eine für mich neue Information über die Größe der bereits bekannten pay-zone angeben. In der discovery-News wurde von "over 10m net" gesprochen - nun scheint es sich konkret um 20m net pay zu handeln... sehr cool...

Hier Artikel 1:

http://www.ibtimes.com/articles/325193/20120407/kenya-oil.ht…

"(...)The reserve is thick -- as much as 65 feet of net oil pay, in the industry's terminology -- and high-quality. (...)"

(Achtung: 65 feet = 19,8m)


Hier der 2. Artikel:

http://www.capitalfm.co.ke/news/2012/04/tullow-oil-search-to…

"(...)News of the oil discovery in Turkana was broken to Kenyans last month by President Mwai Kibaki when Tullow Oil encountered in excess of 20 meters of net oil pay – which is the net thickness of an oil reservoir which may be capable of producing hydrocarbons – at Block 10BB. (...)"


very nice... ich freue schon mich auf die nächsten Nachrichten - erst Puntland, dann Kenya...

[gabbo62]

Tullow oil in second stage of exploration.

Friday, 06 April 2012 23:54 BY JOSEPH KARIUKI


Kenyans should not rejoice yet as the oil prospecting at Ngamia 1 is still at its second stage-exploration. Tullow Oil which announced last month that they have discovered oil in Turkana told reporters on Thursday that the exploration process was still far from being conclusive. "We are excited by the prospects but we will only be definite when we reach 2,700metres after which the results will be further analysed and the well be tested," said Tullow general manager for Kenya Martin Mbogo at the site in Lokichar during a media tour.

By yesterday, Tullow had drilled 1,515metres at block 10BB at Ngamia Rig site. Mbogo said they expect to reach their primary drilling of 2,700metres in 35 days. The drilling is being done by Weatherford International using Rig 804. Martin Mwaisakenyi, commissioner for petroleum energy at the Ministry of Energy said it was still early to determined whether Ngamia 1 was viable for commercial production. "Now we are speculating we cannot say for sure if the oil will be enough for production but this is the most promising well since we started oil exploration in 1960," he said.

The Ngamia well was initially drilled to a depth of 1,041metres and movable oil was found. The oil discovered in the area has similar properties to the the light waxy crude discovered in Uganda. Forty wells have been sunk in Uganda to date and 1.1 billion barrels have been discovered. Commenting on the rising tension by locals who claims they were not consulted, Mbogo said they have had a number of stakeholders meetings with the locals. "We have a very good working relation with the government and the locals have benefited too, especially in infrastructure development," Mbogo said.

In 2011, Tullow spent Sh30 million to help in education, health and infrastructure development in the area. There are five stages in oil production and Ngamia well is at the second stage, called exploration. After exploration which entails detailed survey to identify a suitable project, it moves to appraisal stage. If a prospect is discovered appraisals wells are used to check flow rate of the hydrocarbon (oil). This is the stage that Ngamia well is headed to.

The third stage is the development stage where Tullow Oil will asses the commercial viability of the find which is followed by drilling of wells in preparation of oil production. Uganda is at this stage. The final stage is the production by extracting and selling the oil. Mbogo said the project may take up to three years if oil is found in the Ngamia well. The company has already started prospecting for oil at Block 10A (Paipai-1) in Marsabit. Other blocks are in Baringo, Turkana and Kisumu.

http://www.the-star.co.ke/national/national/70322-tullow-oil…

[motz1]

Hier noch ein Fund - den ich als äußerst interessant einordnen würde.

User "saharatraveller" wartet mit interessanten Ansätzen und Überlegungen auf.
Sieht für mich nach jemandem aus, der regelmäßig mit Bohrungen zu tun hat...

Nichts desto Trotz: ALLES RUMOUR!

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Fill to Spill Analysis (Puntland)

Sun Apr 08, 2012 12:33 pm

Although I have been reading these boards for months but this is the
first time I post here.

I have spent the last weekend in our part of the world here looking at
some information that I have at hand (well analysis and plans) in
additional to some technical knowledge of having to look at wells on a
daily basis for so many companies, their drilling plans, casings,
etc….


On Feb 23rd, they reached 1,230 meters and cased which means they have
gone through the first formation Jesomma (Shale / Sandstone /
Siltstone).


On March 7th they report that they have reached 2002 meters which
means they were just at the top of the Qishn primary target. The
interesting in that release is that they have said nothing encountered
above 1600M which is just above the Gumburu formation containing
(Shale / Siltstone/ Sandstone/Limestone). Then they say they have
encountered HC for 400M up to 2002 which is inline of where most
producing wells in Yemen Are. 80% of wells in Yemen range between
5,000 to 7,500 feet. Before they case and go into the Qishn, they must
do a wire-log to make sure they adjust based on shows (such as gas)
and any potential influx. At the same time rumors started flying that
it is commercial and I believe they have commercial oil in that part
and I will explain why.


On March 19th, they have reported a depth of 2,384 which mean they are
in the primary well. The plan is to do wire-line logging after TD of
3,800 m. However, nothing can prevent them from doing an intermediate
wire-log if they have encountered HC in the Qishn formation before
they proceed. I know I might get smacked by most of you on this. They
said they have nothing to report which means they are telling us the
primary reservoir has nothing!!! No (they already did before), Where
did it go? Guess what it has already migrated to the top 400M before
this formation as the closure is at 1600M instead of their anticipated
2100m. This means that the Qishn is a fill to spill up to the first
limestone at 1600. Remember that their data is based on 1950s and
1980s 2d seismic.


If we take the drilling rates between the above it is about 27M per
day which puts us today at 2900m give or take. The second target is at
3400m. I believe that on March 19th they have surpassed the Qishn
formation before its anticipated end at 2500 because they have put a
wire-line now and they know. If we get a report this week saying they
have encountered HC again during Amla’ah/Marib/Hammnlei formation this
means this wells if loaded up to 4,000m and would confirm offshore as
well.


Limestone starts again at 2500 which can be fractured to spill. At
3600 is the start of the basement which can be fractured.


When someone said they have found billions. This would have been
interpreted by people and engineers that since the Qishn formation has
already spilled up to the closure at 1600M, what can prevent this
happening from the basement up to the closure!!! Fill to Spill.


Hope the above helped.

Quelle: http://www.worldstocks.co.uk/forum/viewtopic.php?f=3&t=298

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Dann kommen einige Nachfragen - manche Usernamen sind aus anderen Foren bekannt- die später wie folgt beantwortet wurden:

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Re: Fill to Spill Analysis (Puntland)

Sun Apr 08, 2012 5:04 pm

Thanks for all your comments. I am not here to ramp or de-ramp. I am not sitting on a rig or in Africa. I cannot disclose what I do but I have reviewed lots of wells and development programs in the profession I work in. Some have hit, some u can saying they don't know what they are doing.

Lets go back again to march 7 announcement. They explicitly said WORKING (emphasis here) hc system. They could have just said hc shows which can mean motor oil on sand. Why would they say working? This technically would mean that enough fracturing and pressure has allowed hc to accumulate. They r lucky that the seal at 1600m was intact. Hence no migration to surfacewhich mean commercial oil. Otherwise how can it move.

There r two scenarios here:
1) the 400 m has extended into the qishn formation (which was reported being at that depth on the 19th) and hence nothing new to report as they mentioned. Further drilling can confirm a longer column. This has happened before like with gkp so it is not out of the ordinary.

2) nothing to report can mean the qishn formation is empty and hence all the oil is in that 400m. I speculate that there is nothing more down there unless there is another non fractured formation at the 3400 level. As I said most wells in Yemen are between 5000 and 7500 feet. The same is the new well discovered in Kenya.

Hence mike if Kenya and shabeel have the same pay geology, I don't think a 10km would be significant. I would be more worried about jka where they have surface seeps as they might have a harder time finding the intact reservoir.

I was invested in a company called vast exploration. Shallow seeps, komentan shows, etc... 900 m column. But guess what not commercial in the bottom where the 900 was. No cap above that. It seems that the fractured cap is deeper and now they need to drill another well with NIKO. Drill site was wrong.

I think and just speculating, 400m is a full pay. A first test should pump over 25000 barrel if good pressure. Those saying billions they probably run the scenario I explained earlier.

40% probably of success is there now for a reason. Working hc system not just hc shows.

U re free to copy and paste


Quelle: s.o.

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Für morgen sind weitere Infos angekündigt:

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Re: Fill to Spill Analysis (Puntland)

Sun Apr 08, 2012 8:53 pm

Time to go to sleep. I'll be watching Horn tomorrow.

I will feed u some seismic analysis of the field based on Aoi presentation. Looks interesting.


Quelle: s.o.

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[gabbo62]

The Kenyan Oil Discovery: Is A Big Payday In The Offing?


By Charlotte Lorick: Subscribe to Charlotte's RSS feed

April 7, 2012 3:45 PM GMT



Oil production is nothing new to Africa. Indeed, oil fields dot the continent from one coast to the other. So there was never any suspense about whether oil would be found in Kenya, the country with the largest gross domestic product in East Africa: The only questions were when, where, and exactly how much.


At least one of those questions is finally answered. On March 26, London-based Tullow Oil PLC announced it had discovered oil in Kenya, the first such find for any energy company, when it drilled an initial exploratory well in the northern Turkana region.

Tullow is no stranger to Africa. The company has active production sites in Ghana, Gabon, Ivory Coast, Mauritania, Congo-Brazzaville, and Equatorial Guinea. Its most successful venture has been in Uganda, where in 2006 Tullow discovered an estimated 2 billion barrels (large enough to produce 150,000 barrels per day). Although this output pales in comparison to the 9.7 million barrels per day generated by the world's top oil producer, Saudi Arabia, it is based on reserves that are among the largest quantities found thus far in sub-Saharan Africa.

Tullow is excited about its Kenyan find in large part because it came during its first drilling in the region -- striking oil so early in the exploration process is somewhat unusual. Moreover, the oil is potentially extremely valuable. The reserve is thick -- as much as 65 feet of net oil pay, in the industry's terminology -- and high-quality. It may yield more gasoline per barrel than other recent African discoveries, although there is some concern about other inherent properties of the oil. Tullow plans to drill 18 more wells in the region.

"To make a good oil discovery in our first well is beyond our expectations and bodes well for the program ahead," Angus McCoss,Tullow Oil's exploration director, said in a statement. "We look forward to further success as seismic and drilling activities continue to gather pace."

Kenyan President Mwai Kibaki was equally enthused. "This is the first time Kenya has made such a discovery, and it's very good news for our country," he said.

A Long Way Ahead

But should Kenya be celebrating just yet? The Kenyan discovery is the first step in a long process that could be easily derailed by lack of infrastructure, corruption, production mishaps, and political infighting. In addition, the effect that this find will ultimately have on the Kenyan economy is equally uncertain.

To delve into some of these issues, the International Business Times spoke to Pratibha Thaker, the Economist Intelligence Unit's (EIU) regional director for Africa. Since 2000, Thaker has directed EIU's sub-Saharan Africa team, which provides regional macroeconomic analysis and country reports forecasting political conditions.

IBTimes: What is the commercial potential of Kenyan oil?

Thaker: First and foremost, it is too early to determine the commercial potential of this oil reserve. Only one well out of a projected 18 has been drilled thus far in the region.

The precise size of the deposit and its quality will be critical in determining any likely economic impact, as well as the commercial potential, and there is no certainty that Kenya will join the ranks of Africa's oil producers.

Another consideration is oil quality. The oil in Turkana appears to be similar in quality to Uganda's -- light and waxy -- but while light crude is highly prized, a high wax content is less desirable.

IBTimes: How long would it take for oil wells in Kenya to become operational?

Thaker: It is important to keep a time frame in mind. Should a commercial quantity be discovered in Kenya in the ensuing exploratory drilling campaign, it may still be years before production could commence.

President Kibaki reminded his country that "it is ... the beginning of a long journey to make our country an oil producer, which typically takes in excess of three years."

I estimate it could be closer to eight years or so before Kenyan reserves could become operational, based on the progress made in Uganda, where oil first found in 2006 is unlikely to start flowing until 2014.

IBTimes: What are the obstacles facing Kenya's future oil production?

Thaker: As in Uganda, the remote locale of the Turkana region could make further drilling and extraction difficult. Due to the lack of both basic infrastructure and oil infrastructure, the reserve base would need to be sufficiently large to justify the extra costs involved.

IBTimes: What are the pros and cons of Kenya's oil development? How would oil profits be distributed? Could it drive corruption or regional conflict? Could it threaten existing local industries?

Thaker: On the one hand, depending on the size of the reserves, oil production in Kenya could have a positive impact on the Kenyan economy.

The balance of payments would be the main beneficiary, reducing or eliminating the need for costly oil imports (which amounted to $2.7 billion in 2010, accounting for 22 percent of total imports) or at least compensating for refined-product imports with crude-oil exports if Kenya's oil is not processed locally.

Oil could add another important earnings stream to Kenya's hard-currency inflows, now dominated by tea, horticulture, and tourism (as well as remittances from the Kenyan diaspora), thereby curbing the current-account deficit (or eradicating it) and boosting the shilling currency.

To put it in perspective, consider oil production in Chad as an example. According to the International Monetary Fund, Chad earned $3.2 billion from exporting 120,000 barrels per day of oil in 2010 -- a dollar amount roughly equivalent to what Kenya earns from its top three industries combined. And these are just some of the possible economic advantages.

On the other hand, there are also serious risks attached to Kenya's prospective role as an oil producer, especially the prevalence of widespread corruption, including at the highest levels of politics, which could see most of any oil wealth siphoned off by the state's elite. Political infighting could also intensify as competitors battle for lucrative contracts and positions.

A second key risk would be the likely strengthening of the shilling, which could damage competitiveness in the far larger and more important non-oil sector.

IBTimes: Would an oil sector create a lot of jobs for Kenya?

Thaker: Long-term employment gains from oil production would be limited, since the oil industry is typically not a major employer.

Furthermore, an increase in GDP does not necessarily translate to an increase in income equality or a decrease in poverty, since wealth may not be distributed evenly among citizens. Brazil and South Africa are perfect examples of countries with rising GDPs but also rising inequality and income gaps.

Therefore, it will be important that the right policies are in place so that oil profits (should there be any) are invested in a sustainable and equitable development of Kenya and do not simply accumulate in the pockets of the elite.

And, of course, there remains the age-old concern that the interests of the oil companies and their investors will take precedence over the interests and well-being of the local population.

IBTimes: Overall, is the oil discovery in Kenya a blessing or a curse?

Thaker: The ongoing implementation of Kenya's new constitution, including its provisions for more transparent and accountable governance, offers some hope that oil would be a blessing, not a curse.

On balance, the most likely outcome is that Kenya's oil find will prove to be small-to-medium-sized, and that it will give a broadly positive boost to the economy, assuming that further improvements in governance and policymaking take place in the interim.

What's Next?

Thaker's economic analysis touches on just a few of the areas that bear examination. Environmental impacts or the effect of oil exploration on existing industries and Kenyan farmers also need to be explored to fully understand how Kenya would change in an oil-rich economy. But one thing is certain: the die is cast.

Tullow's partner, the Africa Oil Corp., based in Vancouver, British Columbia, has described the next step in Kenya for the two companies as "an aggressive drilling program in the next 18 months which will also test the potential of our other Rift Basin plays in Kenya, Ethiopia and Somalia."

But to ensure that this drilling campaign brings real prosperity to Kenya, and doesn't ultimately undermine the Kenyan economy and culture, the Kenyan government will have to be equally "aggressive" about implementing social and economic policies that support oil development and safeguard the country's future.

Among the policies that Kenya should focus on are the following:
•Improving Political Transparency: As one of the most democratic African nations, Kenya has a head start in this regard. The country's latest constitution is only two years old, and it includes a bill of rights and more autonomy and power for local governments. It also contains new measures to root out corruption. It is essential Kenya strongly enforces the rules in the new constitution and ensures that bribes and graft do not become the currency of oil discoveries in the country. Plans must be made for oil revenue to be shared by all Kenyans, through governmental programs, infrastructure development, or even direct disbursements. The money must not instead end up in the hands of government officials or be used by the political elite to sway elections.
•Tightening Monetary Policy: A likely outcome of oil production is the strengthening of the shilling, which could impinge upon the competitiveness of exports in the non-oil sector and the purchasing power of Kenyan consumers. This provides a stiff challenge for monetary and fiscal policymakers who must painstakingly adjust monetary policy -- for example, by tightening the money supply -- to offset this risk.


http://www.ibtimes.com/articles/325193/20120407/kenya-oil.ht…

[motz1]

Sehr lesenswerter Artikel zu Kenya, Bohrfortschritt, zum weiteren Vorgehen, drill-sight visist,...

Tullow-Verantwortliche werden mit Aussagen wie "[...]But results so far are very encouraging" und "We are very enthusiastic about the progress so far" zitiert...

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Saturday Nation

Saturday
April 7, 2012

News

Quantity of oil deposits to be known in 30 days


Stephen Mudiari | NATION Visitors during a tour of the oil rig at Ngamia 1 in Turkana County on April 05, 2012.

By Nation Reporter
Posted Thursday, April 5 2012 at 22:00

The company drilling for oil in Turkana will have enough data to determine whether it is enough for commercial production in about a month.

However, according to Tullow Kenya general manager Martin Mbogo, it may take some time to analyse the data but by then they will have drilled to 2,700 metres.

The company, which recently announced it had discovered oil in Kenya, for the first time opened its drilling site to local and international media on Thursday.

It, however, expressed cautious optimism that this time around the country had struck commercial oil deposits.

During the media trip to the drilling site in Turkana County, Mr Mbogo said they would have drilled up to 2,700 metres within 35 days.

“However it may take more time to analyse the data and determining the commercial viability of the products. But results so far are very encouraging,” he told journalists during the Tullow-organised trip to the site.

He said the company would move to Marsabit County next for more oil exploration after being buoyed by the Turkana find.

“The oil was found at about 1,515 metres,” he said.

According to Mr Mbogo, about $30 million has been spent in drilling the well so far while another $10 million more may be spent before they are completely through with the Ngamia well.

The company’s head of drilling, Mr Dave Howes, said that more advanced oil exploration technologies had been developed.

“We are very enthusiastic about the progress so far,” he said at the site, which is heavily guarded.

According to the Commissioner of Petroleum Energy in the Ministry of Energy, Mr Martin Heya, this is the closest Kenya has come to getting commercially exploitable oil since exploration started in 1960.

Exploratory wells

“Since then about 32 exploratory wells have been drilled but so far Ngamia has shown the best and most promising results,” he said.

He said about 30 companies were involved in oil exploration in about 30 blocks that spread across the country.

He said the next exploratory results would most likely be made by American company, Apache, which is drilling in the Indian Ocean.

“We expect the results from Apache soon and we have reason to be optimistic,” he noted.


http://www.nation.co.ke/News/Quantity+of+oil+deposits+to+be+…

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Es gibt auch ein Filmchen dazu:

http://www.youtube.com/v/Cx5GwGhGHcU&hl=en_US&feature=player…

[gabbo62]

Tullow oil search to reach 2,700m in a month
Posted by BERNARD MOMANYI on April 6, 2012

TURKANA, Kenya, Apr 6 – Kenyans may have to wait a bit longer to know if there is commercial viability in the oil deposits discovered at Ngamia 1 in Turkana.

“It takes a number of factors so it could take a bit longer to determine commerciality. It may be a matter of months or sometimes years,” Tullow Oil country manager Martin Mbogo told journalists on Thursday during a media tour of the tightly guarded oil well on the outskirts of Lokichar town.

He said the process of running analytical data and determining the commercial value of oil deposits is always complex and cannot be hurried.

“Oil exploration is a capital and time intensive activity and also given the vast array of stakeholders involved, it could take in excess of three years to determine the commerciality of Ngamia-1,” the company said.

News of the oil discovery in Turkana was broken to Kenyans last month by President Mwai Kibaki when Tullow Oil encountered in excess of 20 meters of net oil pay – which is the net thickness of an oil reservoir which may be capable of producing hydrocarbons – at Block 10BB.

Engineers drilling the oil well have so far hit a depth of 1500 meters and are working round the clock to hit their target of 2,700 meters in the next 35 days.

The Tullow Oil boss told journalists that they will have completed drilling the well by the end of this month so that they start running the mandatory tests which have shown impressive signs so far.

“From a Tullow perspective, there is optimism around and any celebration as yet are in order but let us wait until we get to the desired depth of the well so that we see if we can pop more champagne,” he said. “Certainly, in Tullow we are very encouraged, this is probably the closest Kenya has come in oil exploration, because getting this sort of result from the first well, it is really impressing.”

Samples from the well are sent to London weekly for regular tests to ensure everything is on course. Well testing involves flowing the well in order to assess the potential productivity of the well and of the reservoir.

“After the actual drilling to the depth of 2,700, there is analytical data that need to be evaluated and therefore be able to determine if there is commerciality, it takes a number of factors,” he said. “Commerciality is a factor of many things depending on how big the structure is and the flow properties, so it may be months or sometimes years before you determine if you actually have a commercial well.”

Multiple interviews with engineers on site however, revealed that there are “significant results” seen as they move down the ground.

“As we move down, tests are done weekly and they have shown good results, we are very optimistic,” Dave Sloan, one of Tullow Oil company’s engineers said, adding “the process is too complex.”

The oil firm’s country manager announced that they are already moving equipment to Marsabit to embark on another well drilling exercise at Block 10A where the Paipai-1 well is located.

“What we have is very encouraging and it puts us in a position where we would like to drill other prospects at some future point. After Ngamia 1, the plan is to proceed to Marsabit County. We have prepared a well pad so as soon as we complete on this, our commitment is to get to Marsabit,” he said.

Tullow Oil Kenya operates six licenses in the country – including Block 10A, Block 10BA, Block 10BB, Block 13T, Block 12A and Block12B.

“These are spread across Marsabit, Baringo, Turkana and Kisumu counties. Tullow Oil is also a partner in Kenya Block L8 offshore Malindi County,” the company External Affairs advisor Anne Kabugi said.

Tullow estimates that it will have spent in excess of between $30 million to $40 million by the time it completes drilling the Ngamia 1 well later this month.

Some of the challenges the company has faced include poor road network used to transport heavy machinery, including sensitive equipment.

“One of the big challenges is infrastructure. We have moved close to 300 trucks, we move very sensitive equipment and there is also the challenge of skilled manpower. But we have been successful,” the Mbogo said.

Asked to comment on claims by local leaders that the company was not doing enough to cater for the interests of the local community, he said “we have done a lot here, we have many levels of engagement, we are supporting children going to school and we are getting them water. It is the best thing to do in business.”

The company said it invested over Sh30 million in the provision of education, health and water projects and initiatives in 2011 alone.

It intends to scale up this community investment this year to also offer five public scholarships in the fields of Drilling and Well Engineering, Reservoir Evaluation and Management, Energy Studies specializing in Oil and Gas Economics, Environmental Science and Oil Gas Law.

Mbogo said politics will not affect Tullow’s work because “we are a contractor for the government.”

“We feel encouraged. We have an obligation to fulfill… we work very closely with the Ministry (of Energy) and we work closely with local leaders. With the foundation laid, we will take this project to completion to the benefit of all,” Mbogo said.

Tullow Oil’s Regional External Affairs Manager for South and East Africa Trina Fahey told Capital FM News there are approximately 210 personnel working on site at Ngamia 1. “Of these, approximately 80 percent are Kenyan nationals while the rest are foreigners with specialised skills.”

Since commencing operations in Kenya in late 2010, Kabugi said, Tullow Oil Kenya has also undertaken the world’s largest Full Tensor Gradiometry (FTG) survey across its acreage.

“This is used by oil, gas and mining companies to measure the density of the subsurface, effectively the rate of change of rock properties,” Kabugi said.

It is possible to build a picture of subsurface anomalies which can then be used to more accurately target oil deposits.

In Africa, Tullow has productions in Ghana, Gabon, Cote d’Ivoire, Mauritania, Congo (Brazzaville) and Equatorial Guinea with two large appraisal and development programmes in Ghana and Uganda.

It has drilled 46 oil wells in Uganda since 2006, with 43 successes, according to the firm’s Regional External Affairs Manager for South and East Africa.

http://www.capitalfm.co.ke/news/2012/04/tullow-oil-search-to…