Africa-focused oil company Tullow Oil Plc said it encountered 75 m (246 ft) of net oil pay in two zones at an exploration well in Northern Kenya.
The Emekuya-1 well, located in the South Lokichar Basin in northwestern Kenya, would eventually be developed to full field development, the company said May 17.
The well has proven oil charge across a significant part of the Greater Etom structure, Tullow said.
“The discovery not only adds more recoverable resources to the current portfolio, but, along with Etom-2 and Erut-1 (wells), establishes the ‘northern triangle’ part of the South Lokichar Basin as an independent production hub,” Morgan Stanley analyst Sasikanth Chilukuru said.
Tullow operates blocks 13T and 10BB with 50% equity and is partnered by Africa Oil Corp. and Maersk Oil with 25% each. The Emekuya-1 well is located in Block 13T.
Earlier this year, the company said its Erut-1 well, located in the same block, discovered oil with 25 m (82 ft) of net oil pay.
According to Davy Research, Tullow’s latest guidance for discovered resources in the South Lokichar Basin was 750 million barrels.
Shares of the company were up 2.9% at 207 pence by 0810 GMT on the London Stock Exchange.
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