Nairobi, Kenya – The Kenyan government is reviving its quest to become an oil producer by inviting bids on 10 oil exploration blocks in the country’s first licensing round in six years. The Ministry of Petroleum announced on September 1 that the blocks on offer are located in the Anza Basin in northern Kenya and the coastal Lamu Basin, selected using fresh geoscientific data in a bid to ensure transparency and attract investors. Principal Secretary Mohamed Liban called the move “a new era in petroleum exploration,” noting that updated laws and flexible production-sharing terms have been put in place to align Kenya with global standards and make the opportunities more appealing to international oil firms.

Kenya has over 50 designated oil blocks across four sedimentary basins, but exploration activity slowed after initial discoveries a decade ago. Efforts in Turkana’s South Lokichar Basin, where British firm Tullow Oil struck commercially viable oil in 2012, stalled due to difficulties finding financing partners and infrastructure delays. (Tullow recently agreed to exit Kenya entirely after years of setbacks, underscoring the need for new players.) Energy Cabinet Secretary Opiyo Wandayi, speaking at a regional petroleum conference, said the government is expanding supporting infrastructure and offering tax incentives to rekindle interest. Officials also highlighted ongoing work to improve publicly available geological data on the blocks to reduce investor risk.

This licensing round marks a significant push by Nairobi to jump-start its dormant oil dreams amid rising global energy demand. Industry experts say interest could emerge from mid-tier exploration companies, given the new favorable terms and Kenya’s stable business environment. Successful bids would inject fresh capital into upstream exploration, potentially leading to new oil finds. While Kenya’s journey to oil exporter status has faced many false starts, the government’s latest initiative signals determination to tap into its petroleum potential and diversify the nation’s energy sector.