Kenya is set to pay out billions of shillings to more than 516 landowners in Turkana County.
This is after Tullow Oil submitted a clearer strategy for oil production in the South Lokichar Basin.
The compensation payouts will begin this week, according to Energy Principal Secretary Andrew Kamau.
The Turkana oil project is a joint venture between Tullow and Africa Oil.
Tullow executives stated last week that the exploration company has stepped up its hunt for a strategic partner to assist in the implementation of an oil production development plan in Turkana County.
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The land purchase process for the Lokichar-Lamu pipeline, which was supposed to be completed last year, had hit snags, with local officials apparently taking a hard line on the matter.
Governor Josphat Nanok and Turkana South MP James Lomenen complained about a lack of openness.
This made the Turkana County administration seek court intervention in 2019 seeking conservatory injunction to suspend the NLC’s plan.
Mr Nanok contended that NLC began the land purchase process in complete contempt of the constitution and the Land Act.
“The county government is the custodian of the community land and must be included in such processes, such as a compulsory land acquisition. They must involve us for fruitful consultations,” the governor was quoted.
Due to alterations in its initial plan to include a larger processing facility and oil pipeline, Tullow’s current oil development project will have a higher gross budget of roughly $3.4 billion (Sh373.6 billion).
Kenya has pressed Tullow, which discovered oil nine years ago, to develop the Turkana oil wells, which it expects to generate up to 120,000 barrels per day once production begins.
In March 2012, Kenya announced the finding of oil in Blocks 10BB and 13T in Turkana, sparking hopes for petro-dollars to fuel economic growth.
However, crude oil has yet to be extensively commercialized in the country.
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