British oil exploration company, Tullow, has begun processes of looking for buyers for Kenyan oil in the form of crude petroleum exports.
The first shipment of the product from the country is expected within the coming four months.
In a trading update on Wednesday, February 13, the company filed for the business at the London Stock Exchange.
It later communicated that it had received interest from some unnamed potential buyers of the valuable product from Kenya’s Turkana area.
A statement by the company read, “Tullow has begun to market Kenya's low-sulfur oil ahead of this first lifting with initial market reactions being very positive.”
Exports of the product from the country are highly expected to test the reception of the international market to the crude oil that was discovered ahead of the commencement of commercial production, which is expected to begin in the next three to five years.
Reports indicate that over 70,000 barrels of oil have so far been transported to the coastal city of Mombasa for storage.
The company employs trailer trucks to move the product across the country in volumes of 600 barrels per day.
The volume levels moved on a daily basis are expected to rise to 2,000 barrels from April as the exporting business commences.
Tullow is also interested to commit itself to facilitate the planned commercial oil production within the year if some key conditions will be met.
The company communicated, “In 2019, several critical tasks must be completed to reach a Final Investment Decision by year end.”
"Kenya is finalizing (project planning) studies in the first quarter of 2019 and concluding agreements over land title and water supply with the Government of Kenya and submitting both the upstream and the mid-stream environmental social impact assessments (ESIAs) in the second quarter.”
Tullow has many other proposals for the Kenyan government with regards to how the business may be undertaken.
The company’s massive capital expenditure so far stands out as an indication that there is much to benefit from the operations.
Investments made by the giant corporate organization surpass the Ksh100 billion mark.
