Kenya is set to open bidding this month for 10 oil exploration blocks, marking its first licensing round since the enactment of new petroleum legislation six years ago.
The East African nation currently holds 50 blocks across four sedimentary basins, with 10 now ready for marketing, according to Mohamed Liban, principal secretary for petroleum.
Petroleum Commissioner Joseph Otieno explained that the blocks up for bidding are located in the Anza and Lamu basins. He noted that the selection was guided by geoscientific data to ensure a transparent allocation process.
To support prospective investors, the government will provide detailed seismic surveys, geological reports, and well data, according to Business Insider.
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The offering follows a restructuring of Kenya’s petroleum exploration blocks to align with global standards. It features more flexible Production Sharing Contract terms along with a package of tax incentives.
The government is also investing in infrastructure to support exploration and production activities.
At the East African Petroleum Conference and Exhibition 2025 in Dar es Salaam, Tanzania, the cabinet secretary highlighted the importance of these tax breaks and incentives in reviving Kenya’s oil and gas ambitions.
Despite holding significant untapped oil and gas resources, Kenya’s progress has been sluggish. Development momentum stalled after UK-listed Tullow Oil failed to secure partners for its long-delayed South Lokichar project.
The situation worsened when French energy major TotalEnergies and Africa Oil Corp. withdrew from the venture two years ago, leaving Tullow as the sole owner of the blocks and casting uncertainty over the country’s petroleum future.
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Image Credit: Uzalendo News
