This archive report was first published on 16 May 2020.
On May 16, 2020, Africa Oil Corp announced that Tullow Oil had submitted notices of force majeure to the petroleum ministry.
The notices cited the COVID-19 pandemic, Kenyan government restrictions on travel, and recent tax changes as reasons for the declaration.
"These declarations are the result of the impact of the COVID-19 pandemic on the operations, including Kenyan government’s restrictions on domestic and international travel, and recent tax changes that adversely impact the project economics," read a statement from Tullow Oil.
The force majeure declaration is forward-looking, seeking to clarify Tullow Oil’s position in the project due to present and future developments.
The notices have created room for discussions on the future of drilling Blocks 10BB and 13T, and may lead to improvements in the operating environment.
However, the statement warns that all information surrounding the force majeure is speculative and may not result in a satisfactory outcome for the company.
