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Gulf Energy secures state-of-art onshore oil rig in Abu Dhabi, ahead of South Lokichar Project kick-off

Gulf Energy E&P BV is a renowned petroleum and gas company in Kenya. The firm is known for oil exploration and production and has recently secured and contracted an onshore oil rig in the Middle East, signaling its corporate commitment to deliver first oil from the South Lokichar Basin before the end of the year (2026), it was revealed on Feb 20th, 2026 in Nairobi.

In a strategic and capital-intensive move, Gulf Energy has secured the GW70 rig, valued at more than k sh 1933.5 million (M) (US$15 M), from Great Wall Drilling Company (GWDC) in the United Arab Emirates (UAE) on a long-term lease arrangement and is finalizing logistical arrangements to ship the rig from Abu Dhabi to Mombasa before the end of March 2026.

Gulf Energy Chairman Francis Njogu said the firm has reached a contractual arrangement with GWDC to not only deliver but also commission and operate the rig in the South Lokichar Basin under a performance-based model that will also involve active skills transfer.

He further disclosed that a high-level technical delegation from the Government of Kenya and the Turkana County Government has just finalized a familiarization and inspection tour of the onshore drilling rig in the Al Dhafra region of Abu Dhabi.

Even as Gulf Energy awaits the parliamentary ratification of its Field Development Plan (FDP), the firm, he said, had commenced strategic investments, including rig sourcing, ahead of the K sh773.4 billion (B) (US$6 B)  project kick-off.

The GW70 Onshore rig with a 1500 horsepower capacity, Njogu said, is expected in Kenya around June 2026, ahead of procedural rig commissioning and acceptance checks to be ready for the start of drilling works (spud) in early July. In Abu Dhabi, the rig, he disclosed, has been undertaking projects for the Abu Dhabi National Oil Company (ADNOC) and has clocked what he described as an excellent, efficient, and safe operating record.

Alongside Gulf Energy Executives, the delegation in Abu Dhabi included technical officials from the State Department for Petroleum at the Ministry of Energy and Petroleum, the Energy and Petroleum Regulatory Authority (EPRA), and the Turkana County Government.

“At Gulf Energy, it’s all systems go in the journey to deliver first Kenya oil by December 1st this year (2026). The delegation in Abu Dhabi witnessed firsthand the advanced state of GW70, an integrated onshore oil field drilling rig which we recently secured,” affirmed Njogu.

According to him, securing a modern onshore drilling rig marks a significant investment for the company, coming at a time when global demand for such equipment remains high, and mobilization timelines are increasingly stretched. Despite these pressures, Gulf Energy says it expects to secure the required legislative and regulatory approvals and has already allocated the necessary capital for the rig.

In a communiqué from the UAE, Turkana County Government officials led by County Secretary Dr Amb. Richard Ekai and Director for Climate Change George Emase said the visit was undertaken following instructions by Turkana Governor Dr Jeremiah Ekamais Lomorukai; it was intended to ensure that the rig meets the highest industry standards before operations commence.

The delegation described the engagement as both enlightening and productive, noting that it provided valuable insight into the rig’s capabilities and operational preparedness. Beyond the mechanics and machinery, the team also focused on GWDC’s corporate and environmental credentials, including skills transfer commitments.

“This inspection forms a crucial part of the quality assurance, performance evaluation and safety verification process ahead of its deployment to the South Lokichar Basin in Turkana County. During the inspection, the team carried out a detailed technical evaluation of the rig’s operational systems and safety mechanisms. Recommendations were issued to fine-tune readiness and guarantee seamless performance once the rig is mobilized to Turkana,” the communiqué said.

Kenya stands to gain significant fiscal and economic benefits from the South Lokichar Basin oil fields development, with the Government of Kenya projecting potential earnings between K Sh 135.59 billion (B)(USD 1.05 B) (at USD 60 per barrel) and K Sh 374.5 (USD 2.9 B) (at USD 70 per barrel), which translates to K Sh 136 B to KES 371 B over the life of the project.{Ends}

 

 

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