Kenya, Uganda to position East Africa as next oil frontier

*An oil drilling rig operating in Soku, Rivers state.

*An oil drilling rig

01 October 2016, Nairobi- 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.

Despite the rosy projections, the report said obstacles including security risks, regional geopolitics, pipeline construction and capital outlays face the regional oil development activities.

  • The East African
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