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Energy

Tullow Oil’s latest Kenya well is a miss

The Emesek-1 wildcat exploration well was drilled to a depth of 3,000 metres without finding hydrocarbons.

Tullow Oil (LON:TLW) has revealed its latest exploration well in Kenya, Emesek-1, was unsuccessful.

Emesek-1 was located within Block 13T, in the Lokichar basin, northern Kenya, and it was drilled to a depth of 3,000 metres without finding hydrocarbons.

The well is now being plugged and abandoned.

"The Emesek-1 well was the first well to be drilled in the North Lokichar basin,” said Angus McCoss, Tullow exploration director.

“While this wildcat well did not find commercial hydrocarbons, it provides valuable data as we assess the wider prospectivity of this basin."

Next up on the drill schedule is the Etom-2 well, in the South Lokichar basin, and it is expected to spud later in November.

Block 13T is a joint venture between Tullow and Africa Oil.

It is one the assets included in Africa Oil’s recently agreed farm-out with Maersk. The oil and gas arm of the Danish conglomerate is acquiring 50% of Africa Oil’s stake in the assets for US$350mln and will also commit to up to US$495mln of further work.

Some US$405mln is earmarked for a ‘carry’ on Africa Oil’s share of development costs for the Tullow Oil operated Lokichar discoveries.

As a result Maersk will take 25% of Block 10BB, Block 13T and 10BA in Kenya, and it also gets 25% of acreage in the Ethiopia Rift Basin and 15% of the South Omo project.

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