Gulf Energy delivers onshore rig to Mombasa Port for Turkana Crude Oil Drilling

Kenya has taken another major step towards achieving its first crude oil production after Gulf Energy E&P BV SEZ received an integrated onshore drilling rig at the Port of Mombasa for deployment to the South Lokichar Basin in Turkana County.

The drilling rig arrived aboard the MV Transit Sedanka after sailing from Duqm Port in Oman. The equipment, leased from Great Wall Drilling Company (GWDC) in the United Arab Emirates under a long-term arrangement, was being offloaded at Kilindini Port by the Kenya Ports Authority (KPA) ahead of its planned transfer by road to Turkana.

Gulf Energy E&P BV SEZ Chief Executive Officer, Paul Limoh, said the arrival represents an important milestone in Kenya’s journey towards first oil production.

“All workstreams at Gulf Energy E&P BV SEZ are running to a tight project management schedule, and the project remains on course for First Oil production in December 2026,” Limoh said.

The GW70 rig, valued at more than US$20 million, has a capacity of 1,500 horsepower and is scheduled to undergo commissioning and acceptance checks before drilling begins. Gulf Energy has set November 1, 2026, as the target date for the start of drilling operations.

South Lokichar Project Targets 20,000 Barrels Per Day

The first phase of the South Lokichar development is expected to produce approximately 20,000 barrels of crude oil per day, with plans to increase production to 50,000 barrels per day during the second phase.

The development is part of a broader US$6 billion crude oil project, which is expected to significantly expand Kenya’s upstream petroleum activities.

For the initial development phase, Gulf Energy has engaged Baker Hughes to provide integrated well services, while SLB has been contracted to deliver the Early Production Facility (EPF).

The company said the GW70 rig has previously undertaken projects for the Abu Dhabi National Oil Company (ADNOC) in the UAE, where it maintained a record of efficient and safe operations.

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Project Expected to Deliver Economic Benefits

The development of the South Lokichar Basin is expected to generate significant fiscal and economic benefits for Kenya.

According to the information contained in the company’s announcement, the Kenyan government projects potential lifetime earnings of more than US$2.9 billion (KSh371 billion) from the South Lokichar oil fields, depending on prevailing global oil prices and production volumes over the life of the project.

The arrival of the drilling rig therefore marks a critical stage in preparations for commercial oil production, with the equipment now set to move from Mombasa to Turkana ahead of the planned November drilling campaign.

Recent reports have also confirmed that the rig arrived at Kilindini Port aboard the MV Transit Sedanka and that Gulf Energy is targeting December 2026 for first oil production.