Overview of Legal Framework

Petroleum exploration and development in Kenya is governed by the Petroleum (Exploration and Production) Act, CAP 308. Taking into account the recent discovery of oil within the country, the Government of Kenya has commenced the implementation of a new regulatory framework in the petroleum sector to ensure prudent management of the oil and gas resources.
The reform laws currently under review are as follows:

  1. National Energy and Petroleum Policy
  2. Energy Bill
  3. Petroleum Exploration, Development and Production Bill
  4. A Model Production Sharing Contract with terms based on R-factor.

 

Petroleum Exploration Block Map of Kenya