Washington To Help Kenya Raise $18 Billion For Oil Pipeline

oilprice.com ^ | January, 7 2016 | Andy Tully

[kbobdelux]

The U.S. government says it will help Kenya get the financing it needs to build an $18 billion pipeline from the oil fields in the country's northwest to its southeastern Indian Ocean coast to help it become a net exporter of oil.

The pipeline would stretch nearly 500 miles from Lokichar in Kenya’s Great Rift Valley to the coastal town of Lamu, and would be an almost impossibly expensive project for the East African nation. Yet there is enough oil there to make the plan worthwhile. The pan-African financial institution Ecobank Transnational Inc. says it has proven reserves of about 1 billion barrels of crude oil.

Yet the London-based energy company Tullow Oil Plc, which already has discovered 600 million barrels of crude in the South Lokichar Basin alone, has yet to begin drilling there because of the persistent low price of oil.

In order to get the project moving, U.S. Ambassador Robert Godec met Tuesday with Kenya's energy secretary, Alfred Keter, telling him that Washington would help Nairobi find the $18 billion it will need to build a pipeline that would move its oil to the coast and, from there, to foreign customers. The initiative is known as PowerAfrika.

[bgill]

Now we know what it costs to squash the BC issue.

[Leaning Right]

The US will probably offer loan guarantees, as well as actual loans. And when will Kenya pay back those loans? I'm guessing somewhere around never.

[Paladin2]

Hire Turk truck drivers and their rigs to get the job done.

[RginTN]

But wait obama said if africa modernizes it will be disaster for the environment

[Darteaus94025]

Yep, because if there’s anything the world needs now, it’s more oil!

Only a government would invest in this now.

[SunkenCiv]

"Death to America!"

[StormEye]

"The U.S. government says it will help Kenya get the financing it needs to build an $18 billion pipeline from the oil fields in the country's northwest to its southeastern Indian Ocean coast to help it become a net exporter of oil."

More kick-back income for Obama when/if he leaves office.
It has been rumored that Obama is going to buy a multi-million dollar place in Dubai. If so, he needs the money to pay for it.

Isn't it just coincidence that we hear of Obama's intention to buy a place in Dubai (or the Emirates) and then we hear of the US Government's plan to help finance a pipeline in a dirt poor country like Kenya? And what a contemptuous gesture to the supporters of the Keystone pipeline and to America itself. Yeah, a big going away FU to America.

[Gator113]

F-#$ Afrika.