Two Indian state-backed companies are in talks to acquire Tullow Oil’s stake in Kenya’s Turkana oil projects in a deal estimated to hit KSh356.5 billion.
Bloomber reports that executives of Indian Oil Corp, which is India’s top refiner, and ONGC Videsh — the country’s second-largest oil and gas firm — last week met top officials of Kenya’s Energy ministry in an effort to smooth the deal.
India, the world’s fourth-biggest oil consumer, has charged state oil firms with acquiring assets overseas to improve the security of its energy supplies. The country imports about 80% of its crude needs.
Tullow owns a 50% operated interest in blocks 10BB and 13T in South Lokichar basin, Turkana County, where the company discovered about one billion barrels of crude in 2012. Africa Oil Corporation and Total each own a 25% stake.