Kenya is forging ahead with its plan to build a Sh121.45 billion pipeline from Lokichar to Lamu to boost its crude oil exports despite the concern over falling prices of the commodity in the global market.

Budget estimates show that the State Department for Petroleum plans to spend Sh648.5 million in the financial year starting July 1 on the oil pipeline, commonly known as Project S.

The allocation is in addition to the Sh777.5 million allocated in the current financial year to undertake research, feasibility studies, project preparation and design for the project.

According to the official timelines, the pipeline construction will be completed in the second half of 2023 and not June 2022.

“We can conclude the award to EPC (engineering, procurement and construction) contractor in the second or the third quarter of the year and begin construction then,” Petroleum PS Andrew Kamau told the Business Daily in an earlier interview Read more.