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Kenyan tycoon Francis Njogu's Gulf Energy secures $15 million drilling rig

Gulf Energy chairman Francis Njogu has secured a $15 million oil rig as the company prepares to begin drilling in Turkana.

Kenyan tycoon Francis Njogu's Gulf Energy secures $15 million drilling rig
Francis Njogu

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Gulf Energy Chairman Francis Njogu has secured a $16 million drilling rig as the company moves closer to producing Kenya’s first commercial oil from Turkana County.

The company announced on February 20 that it has contracted the GW70 rig from Great Wall Drilling Company in the United Arab Emirates under a long-term lease arrangement. The rig is valued at more than 15 million US dollars.

Logistics are already in motion. Gulf Energy said arrangements are being finalised to ship the rig from Abu Dhabi to Mombasa, with arrival expected by June. Commissioning will follow before drilling operations begin in early July.

Njogu described the acquisition as a major step in positioning Kenya as an oil-producing nation. He said the rig will be delivered and operated under a performance-based model that also prioritises skills transfer to Kenyan engineers and technicians.

“This ensures not only efficient rig operation but also capacity building for local technical teams, strengthening Kenya’s oil and gas expertise,” Njogu said.

The GW70 is a 1500-horsepower rig with a record of deployment in projects handled by the Abu Dhabi National Oil Company. Gulf Energy said the equipment has demonstrated strong operational efficiency and safety standards in previous assignments.

Ahead of shipment, a Kenyan government delegation travelled to Abu Dhabi to inspect the rig. The team included officials from the State Department for Petroleum, the Energy and Petroleum Regulatory Authority and the Turkana County Government.

During the visit, the delegation assessed operational systems, safety measures and environmental compliance. Recommendations were issued to refine readiness before the rig is mobilised to Turkana.

The drilling campaign forms part of the wider South Lokichar Oil Project, which Gulf Energy says represents a 6 billion US dollar investment. Earlier this month, the company described the project as the largest private sector-driven upstream petroleum venture in Kenya’s history.

Appearing before a Joint Parliamentary Committee on Energy, Njogu said the Field Development Plan and the Production Sharing Agreements outline a technically mature and phased roadmap for unlocking onshore petroleum resources in Turkana.

He said the project is expected to create jobs and business opportunities, beginning with communities in Turkana. Gulf Energy has set December 1, 2026, as the target date for first oil, pending ratification of the Field Development Plan.

Njogu told lawmakers the company is ready to move swiftly once approvals are secured, adding that the investment signals confidence in Kenya’s regulatory framework and long-term energy prospects.

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