East Africa’s largest economy Kenya exported its first 200,000 barrels of crude with $12million on 01 August. Kenya is the latest entrant to join the Oil Producing and Exporting Countries – OPEC club. This oil is being mined in the county of Turkana.
The East African nation crude is light and sweet (less sulphur roughly below 0.5%).
“We are now an oil exporter. Our first deal was concluded this afternoon with 200,000 barrels at a price of $12million,” said Kenya’s Head of State Uhuru Kenyatta said.
Other jurisdictions that are exploring oil in the Rift Valley are Tanzania and Zambia whose explorations have reached an advanced stage. Zambia has been running tests with Tullow oil in the Northern part of the country bordering Tanzania believed to be an extension of the Rift Valley.
Crude has for a long time been a driver of currency pressure in most net importing nations that need dollar to purchase the commodity. With the increase in volumes pumped and discovered Opportunities for intra Africa trade in crude will widen at lower cost of transportation compared with buying crude from the Middle East.