Early Oil from Turkana – Marginal Benefits/Unacknowledged Costs Report (2018)
The prospects for the full field development of Turkana oil continue to improve with Tullow Oil announcing a planned Final Investment Decision (FID) by 2019 and possible first oil in 2021/22. The barrier to the exploitation of Turkana oil continues to be oil export infrastructure. The only viable approach to the full development of the oil fields is a pipeline to the coast.Available evidence suggests that there is enough oil in the South Lokichar Basin to support an independent pipeline. The Government has already awarded the tender for an engineering plan (known as a Front End Engineering and Design or FEED) to Wood Group. According to Tullow, environmental and social impact assessment activities for the pipeline are also ongoing. An independent pipeline however will almost certainly result in additional delays. Tullow now reports that the earliest possible date for first exports through…