The government has announced that it is on track to export its first batch of commercially drilled crude oil from Turkana by the end of the year, marking a historic milestone in the country’s long-anticipated entry into the league of oil-producing nations.

Speaking in an interview on a local TV station on Tuesday, February 24, 2026, Energy Cabinet Secretary Opiyo Wandayi said the country expects to see the first oil drilled and extracted from Turkana moving towards the Port of Mombasa for export before December 2026.

“We expect to see first oil that will be drilled and extracted from Turkana moving towards the port of Mombasa for export by the end of this year,” Wandayi said.

According to the CS, initial output is projected at 20,000 barrels per day, with plans to ramp up production to 50,000 barrels per day over the coming years as infrastructure and field development works advance.

The announcement comes days after the government revealed when it would begin mass production under the South Lokichar development plan, setting the stage for what could become Kenya’s single largest private-sector-driven upstream petroleum investment.

The Ksh774B South Lokichar deal

Appearing before a Joint Parliamentary Committee on Energy, Gulf Energy E&P BV Chairman Francis Njogu described the South Lokichar Oil Project as the most significant privately funded upstream petroleum venture.

The session, jointly chaired by National Assembly Energy Committee Chairman David Gikaria and Senate Energy Committee Vice Chair Senator William Kisang, forms part of the public participation process ahead of ratifying the Field Development Plan (FDP).

Njogu said the firm is set to invest approximately Ksh774 billion in the project, noting the scale of capital commitment required to unlock Turkana’s oil reserves.

“At Gulf Energy, we are approaching this FDP as Kenyans with a view to creating as many jobs and business opportunities for Kenyans, starting with our Turkana host community, as we are committed to positioning Kenya as an oil-producing country,” Njogu said.

He announced that the company has set December 1, 2026, as the formal production target date, subject to expedited FDP ratification amid audit queries.

Gulf Energy E&P BV, an indigenous firm, disclosed that it has secured strong financial partnerships and active credit lines with leading local and international banking institutions to support the capital-intensive development phase.

“The South Lokichar project and the FDP we have presented to the government present a technically mature pathway to unlock Kenya’s largest onshore petroleum development in a shared prosperity model,” Njogu told legislators.

Projected revenue

The fiscal implications are substantial. Government projections estimate potential earnings of between USD 1.05 billion at an oil price of USD 60 per barrel and USD 2.9 billion at USD 70 per barrel over the life of the project.

This translates to approximately Ksh136 billion to Ksh371 billion in revenues.

If realised, these inflows could significantly bolster Kenya’s foreign exchange reserves, strengthen the shilling, and reduce the country’s petroleum import bill.