The government will continue transporting crude oil by road from Turkana to Mombasa for at least three years as it works on plans to construct a Sh120 billion pipeline.
Petroleum and Mining Chief Administrative Secretary John Mosonik said the 814km pipeline from the oil fields of Lokichar to Lamu will be ready by 2022.
Speaking yesterday in Mombasa when he closed the East African Petroleum conference and exhibition, Mosonik said a modern oil refinery will be built in Lamu when crude oil production rises to 100,000 barrels a day.
The government transports about 600 barrels a day to the Kenya Petroleum Refineries Limited storage tanks in Mombasa awaiting shipment overseas.
“For now, the only viable option is to continue trucking crude oil from Turkana to Mombasa for export,” he said.
He added that the Government has signed an agreement with investors for the pipeline project, which was at designing stage.
“The National Land Commission has already began the process of acquiring in the counties where the pipeline will pass through,” he explained.