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NOTICE OF INTENTION
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GAZETTE NOTICE NO. 9274
GAZETTE NOTICE NO. 9274
THE PETROLEUM ACT
(Cap. 308)
NOTICE OF INTENTION
IN EXERCISE of the power conferred by Sections 126 and 127 of
the Petroleum Act, (Cap. 308) the Cabinet Secretary makes the
following Regulations–
PETROLEUM (UPSTREAM PETROLEUM OPERATIONS)
REGULATIONS, 2024
PART I – PRELIMINARY
1. These Regulations may be cited as the Petroleum (Upstream
Petroleum Operations) Regulations, 2024.
2. (1) In these Regulations, unless the context requires-
“Act” means the Petroleum Act (Cap. 308);
“Authority” means the Energy and Petroleum Regulatory
Authority as established under the Energy Act, (Cap. 314);
"calibration" means the establishment of the relationship between
the measured value and the reference value with known uncertainty;
"casing" means pipes installed in wells, the purpose of which is to
isolate permeable intervals impregnated with fluids;
“contractor” has the meaning assigned to it in the Act;
“contract area” means the area covered by a petroleum agreement,
and any such area as may be modified in accordance with the terms of
the petroleum agreement, including through amendments, surrender,
withdrawal, extension, or otherwise;
“critical equipment” means equipment and other systems
determined to be essential in preventing the occurrence of or
mitigating the consequences of an uncontrolled event including
machinery, piping, blowout preventers, wellheads and related valves,
flares, alarms, interlocks, fire protection equipment and other
monitoring, control, and response systems;
“cuttings” means rock fragments from the drilling process;
“custody transfer” means the transfer of ownership or possession
of petroleum from one party to another;
“data” means all qualitative or quantitative data, associated
information, documents, reports and images including—
(a) raw data;
(b) edited or composite data;
(c) analyzed, interpreted or processed data;
(d) reprocessed data; and
(e) samples
whether in physical, digital or other format, obtained through
upstream petroleum operations;
"decommissioning" means abandonment, recovery, removal and
disposal, or if applicable re-deployment, of wells, flow lines,
pipelines, facilities, infrastructure and assets related to upstream
petroleum operations;
"development" means the planning, placement, construction and
installation of facilities needed for production of petroleum;
"enhanced recovery" means the use or the expanded use of any
process for the displacement of crude oil from an oil well other than
primary and secondary recovery methods.
"escrow account" means an account used as a guarantee for
financial obligations, subject to specific rules to be complied with
fully by the parties;
“exploration” means the set of operations carried out in onshore or
offshore blocks for data acquisition using geological, geochemical,
geophysical exploration and appraisal wells or any other method with
a view to locating petroleum deposits;
"facility" includes -
(a) any structure, device, roads, or other associated installations or
infrastructure including pipelines, rail stations, pump stations,
compressor stations and equipment constructed, placed or used
in order to carry out upstream petroleum operations;
(b) vessel, vehicle or craft when stationary and used for drilling or
support of on-going upstream petroleum operations; and
(c) vessel, vehicle or craft for transportation of petroleum in bulk
when connected to a facility for loading of petroleum;
“field development plan” means a plan for the development of a
commercial discovery prepared and approved pursuant to the Act and
these regulations;
"fiscal metering" means metering carried out in connection with
purchase, sale, and the calculation of taxes;
“fixed platform” means an offshore platform that is permanently
fixed to a water body bed;
“hazard and operability study” means, a structured and systematic
examination of a planned or existing process or operation in order to
identify and evaluate problems that may present risks to personnel or
equipment or prevent effective operation;
“in-field metering” means the measurement of produced fluids
directly at the production site or within a field or Block for purposes
of operations optimization, resource and cost allocation, as applicable.
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“maximum efficient production rate” means the rate at which the
maximum ultimate economic petroleum recovery is obtained from a
commercial field without excessive rate of decline in reservoir
pressure, and consistent with best petroleum industry practice;
"metering system" means the mechanical parts, instrument parts,
sampling system and computer parts, as well as pertinent
documentation and procedures, used for the fiscal measurement of
production of petroleum;
"ministry" means the Ministry for the time being responsible for
petroleum in Kenya and its successors;
3. (1) The Purpose of these Regulations is to provide
requirements applicable to upstream petroleum operations, including
activities of exploration, appraisal, development, production,
abandonment, and decommissioning.
(2) These Regulations apply to upstream petroleum operations and
upstream petroleum facilities located onshore and offshore of Kenya.
(3) These Regulations shall not apply to the midstream and
downstream petroleum activities as defined in the Act unless explicitly
provided in these Regulations.
PART II –EXPLORATION, APPRAISAL, DEVELOPMENT,
PRODUCTION, ABANDONMENT AND DECOMMISSIONING
OPERATIONS
4. (1) A contractor, permit holder, sub-contractor or any person
engaged in upstream petroleum operations shall comply with
requirements of the Act, these Regulations and any other applicable
law.
(2) A contractor, a permit holder or any person engaged in
upstream petroleum operations shall ensure that all its subcontractors,
employees and any other person acting for it complies with the Act,
these Regulations, and any other applicable law.
DIVISION 1 – EXPLORATION AND APPRAISAL
OPERATIONS
Sub-Division 1 - Contractor’s exploration schedule
5. (1) The duration of an exploration period shall be defined in a
petroleum agreement. An exploration period may be sub-divided into an
initial exploration period, a first additional exploration period and a
second additional exploration period.
(2) A contractor shall have a right to request the Cabinet Secretary
in writing to enter a subsequent exploration period, subject to
fulfilment of its minimum work and expenditure obligations as
provided in a petroleum agreement.
(3) Where the Contractor exercises the right provided under sub-
regulation (2), the contractor shall, not later than thirty (30) days prior
to the expiration of an initial or additional exploration period, apply to
the Cabinet Secretary in writing by providing the following
information:
(a) request for approval to enter a subsequent exploration
period;
(b) confirmation of the fulfilment of its minimum work and
expenditure obligations accompanied by supporting documentation;
(c) the proposed area for surrender; and
(d) any other information as may be required.
(4) Upon receipt of a written request the Cabinet Secretary
may, if satisfied that the contractor met the requirements specified in
sub-regulation (3), grant a request to enter a subsequent exploration
period in accordance with the petroleum agreement.
(5) Where a contractor fails to fulfil its minimum work and
expenditure obligations, the Cabinet Secretary may reject the request
to enter a subsequent exploration period and exercise its rights as
provided in the petroleum agreement.
(6) Subject to sub-regulations 34(5) and (6) and upon
application by a contractor, the Cabinet Secretary may, on justifiable
reason, grant an extension to an exploration period provided that: -
(a) the application for an extension shall be made not later
than ninety (90) days before the expiry of that exploration period.
(b) the cumulative durations of extensions granted within any
exploration period shall not exceed fifty percent (50%) of the initial
duration of that exploration period.
(a) Notwithstanding paragraph (b) above, the Cabinet
Secretary may grant an extension of less than fifty percent (50%) of
the initial duration of an exploration period.
6. Any part of the contract area shall be relinquished in
accordance with the Act and the petroleum agreement.
7. (1) Upon commencement of an exploration period a
contractor shall undertake exploration operations and fulfil the
minimum exploration work and expenditure obligations in accordance
with the petroleum agreement.
(2) The minimum exploration work and expenditure
obligations may consist of the geological, geochemical and
geophysical studies, seismic survey and the drilling of a particular
number of exploration and appraisal wells and a commitment on a
minimum expenditure.
(3) The content and the time limits for the fulfilment of the
minimum exploration work and expenditure obligation shall be
determined in the petroleum agreement.
(4) Where a contractor is in default of a contractor’s minimum
work and expenditure obligations, the Cabinet Secretary may, suspend
or terminate the petroleum agreement and recall the provided
performance security as provided in relevant petroleum agreements
and any other law.
8. (1) A contractor shall only conduct petroleum operations in
accordance with the approved annual work program and budget.
(2) A contractor shall submit and present to the Cabinet
Secretary and the Authority the annual work program and budget in
the first and subsequent years within the period specified in a
petroleum agreement and the Act.
(3) Such submission and presentation shall be sixty (60) days
after the execution date for the first contract year or three (3) months
before the beginning of the year to which the programme shall apply
for the subsequent years.
(4) The Contractor shall submit the Work Program and Budget
and supporting documentation in both electronic format and
hardcopies.
(5) Any costs incurred by the Contractor prior to the approval
of the work program and budget shall not be recoverable.
9. (1) The Work Program and Budget submitted to the
Cabinet Secretary shall include a technical and financial description of
each type of petroleum operation in such form as may be prescribed
by the Authority from time to time.
(2) Each Work Programme and Budget submitted to the
Cabinet Secretary shall be consistent with the Minimum Work
Programme and Expenditure Obligations set out in the respective
petroleum agreement corresponding to the current Exploration Period.
(3) Each budget item in the annual work programme and
budget shall outline, with sufficient detail, the following: -
(a) the cumulative expenditure projected at the end of each
quarter of the budget year;
(b) the latest forecast of cumulative petroleum costs projected
for the budget year; and
(c) the expenditure projected in subsequent years to complete
the budget item.
(4) The annual work program shall contain:
(a) a summary of the actual activities performed in the
previous contract year and, where any such activities have not been
performed or have been partially performed, reasons for such non-
performance.
(b) Activities to be performed and corresponding budget for
the contract year
(5) Annual work program and budget shall contain:
(a) A status of participating interests
(b) Where applicable, status of surrender obligations
(c) Status of performance securities
(d) Status of annual payments
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(e) Status of community development and social
investment projects
(f) Status of any concluded and ongoing litigations and other legal
risks related to the Petroleum Agreement
10. The Authority shall within fifteen (15) days upon
submission of the Work Program and Budget advise the Cabinet
Secretary on its approval.
11. (1) Upon receiving the Authority’s advice, the Cabinet
Secretary may approve or suggest any modifications to a proposed
work programme and budget, he shall do so in writing within fifteen
(15) days and forward the same to the contractor.
(2) Within fifteen (15) days a contractor shall consider the
inclusion of such modifications and revisions considering best
petroleum industry practice and submit to the Cabinet Secretary and the
Authority the revised annual work programme and budget.
(3) Upon such submission under sub regulation (2) the Cabinet
Secretary with the advisory of the Authority may approve the annual
work program and budget submitted in writing within fifteen (15)
days with or without conditions or, with reasons, reject the revised
annual work program and budget.
(4) Any petroleum costs incurred by the Contractor prior to the
approval of the annual work program and budget shall not be
recoverable.
(5) Upon receipt of written approval from the Cabinet
Secretary, the Contractor shall implement the approved annual Work
Program and Budget.
12. (1) A proposed amendment to the approved annual work
program and budget shall be submitted to the Authority and Cabinet
Secretary for approval together with justifications thereof.
(2) The submission referred to under sub-regulation 12) shall
be applicable where:
(i) An operator envisages that expenditure in a budget item as
approved in the work programme and budget will exceed 10%.
(ii) A contractor proposes material changes to an approved
annual work program and budget.
(3) The provisions of Regulation 9 and 11 shall apply to
proposed amendments to an approved Work Program and Budget
mutatis mutandis.
(4) Upon such submission of the revised annual work programme
and budget, the Cabinet Secretary with the advisory of the Authority
may approve the revised annual work program and budget in writing
within fifteen (15) days with or without conditions or, with reasons,
reject the revised annual work program and budget.
Sub-Division 2- Surveys
13. A contractor or a permit holder shall not conduct any
survey without prior approval of the Authority.
14. (1) A contractor or a permit holder shall apply in writing to
the Authority for approval of a survey not less than thirty (30) days
prior to commencement of a survey. The application shall include the
following information:
(a) a duly filled application form as provided in Schedule I;
(b) evidence of payment of applicable fee as prescribed in
Schedule IX;
(c) a description, type and purpose of the survey to be conducted;
(d) a proposed distance or area to be covered by the survey;
(e) a proposed start date of the survey;
(f) an estimated duration of the survey;
(g) methodology and equipment to be used;
(h) name and address of the person conducting the survey where
such person is not a contractor;
(i) name and contact details of the person who will have
responsibility for communications with the Authority
regarding the survey;
(j) a survey program comprising of-
(i) a brief description of the geology and pre-existing
geophysical information relating to the area and its
relationship to the objectives of the geological, geophysical
or any other survey to be undertaken;
(ii) a map, of such type and scale acceptable to the Authority,
of the operational area showing the proposed operational
grid; and
(iii) an environmental impact assessment and emergency
response plan for the areas where geological and
geophysical operations are to be carried out.
(k) where a survey is conducted within or in the vicinities of
environmental protection areas it shall be accompanied by a
cadastral map in a form approved by the relevant authority
demonstrating the boundaries of any such areas and their
buffer zones where the survey is to be undertaken.
(2) The Authority may request a contractor or permit holder to
provide additional information about the proposed survey. Such
request shall be in writing and shall describe the information that is
requested and prescribe the period within which such information shall
be provided.
15. (1) Within twenty-one (21) days of the Authority receiving
the application and is satisfied that there is enough information to
make a decision on contractor’s or permit holder’s application under
sub- regulation 14(1), the Authority shall grant or reject the approval
specifying the reasons for the decision.
(2) The Authority may grant an approval subject to terms and
conditions detailed in the approval.
(3) A contractor or permit holder shall not transfer a survey
approval except with the prior approval in writing of the Authority.
(4) A contractor or permit holder is required to conduct surveys in
compliance with Kenya laws, standards, terms and conditions of the
approval and to submit data and reports as provided in these
Regulations.
(5) Where a contractor or permit holder intends to amend a survey
programme, referred to under paragraph 14(1)(j), the contractor or
permit holder shall submit the amended survey programme to the
Authority for approval at least fourteen (14) days before implementing
the proposed change.
Sub-Division 3 - Drilling permit
16. A contractor or permit holder shall not drill any well or
conduct any drilling operations without a drilling permit for each well.
17. (1) A contractor or permit holder shall apply for a drilling
permit to the Authority in writing not less than two (2) months prior to
the commencement of any drilling operations.
(2) An application for a drilling permit shall include:
(a) a duly filled application form as provided in Schedule II;
(b) evidence of payment of applicable fees as prescribed in
Schedule IX;
(c) the global positioning system (GPS) location of each well;
(d) a confirmation by a contractor of its ability to mobilise onshore
or offshore drilling units and personnel, construct a well site,
access roads to the well site, facilitate transportation of
equipment, supplies, and materials to the well site during
drilling, monitoring, appraisal and evaluation activities;
(e) a well plan that shall be prepared in compliance with the
structure and contents provided in Schedule II; and
(f) a list of relevant stakeholders and the local community likely to
be affected by the operations and their respective contact
details.
18. (1) The Authority shall-
(a) arrange for a public participation in compliance with Section
24 (8) of the Act and Regulation 23; and
(b) inform a contractor or permit holder in writing of the Authority
decision within two (2) months after the receipt of the
application and all supporting documentation.
10th July, 2025 THE KENYA GAZETTE
19. (1) The Authority shall approve an application by issuing a
drilling permit under Regulation 20 if the Authority is satisfied that:
(a) the information and the well plan include the information
specified in Schedule II;
(b) the well plan is appropriate for the nature and scale of each
well activity;
(c) the well plan shows that the risks identified by a contractor in
relation to each well activity will be managed in accordance
with any relevant law and best petroleum industry practices;
and
(d) the way that each well activity will be carried out will not
result in any new or increased detrimental risk to or effect on
any operation.
(2) The Authority shall not approve a drilling permit if it is not
satisfied that the well plan meets the requirements specified in
Schedule II.
20. (1) A drilling permit issued by the Authority is subject to
terms and conditions specified in such drilling permit
(2) The Authority may reject an application for a drilling permit to
an applicant for reasons of:
(a) public safety, or
(b) any other reasonable justification.
(3) A drilling permit shall be valid for the period specified in the
drilling permit and may be renewed.
(4) A person shall not transfer a drilling permit except with the
prior approval in writing by the Authority.
(5) An application for the renewal of the drilling permit shall be
made to the Authority by a contractor not later than thirty (30) days
before the expiration of the drilling permit.
(6) An application for the renewal of the drilling permit shall be
accompanied by the requirements in sub-regulation 17(2) and such
other information as may be required by the Authority.
(7) A contractor shall execute well activities and drilling
operations in compliance with applicable laws, best petroleum
industry practices and terms and conditions of the drilling permit.
21. (1) A well plan approved by the Authority under these
Regulations by issue of a drilling permit shall not be changed or
modified without the prior approval of the Authority.
(2) A contractor or permit holder may apply to the Authority for
the revision of a drilling permit explaining the reasons for changes or
modifications and submit a revised well plan.
(3) A contractor or permit holder shall make an application under
sub-regulation (2) for approval of a revision of the drilling permit and
a well plan if any of the following circumstances exists –
(a) a change in the understanding of the geology or underground
formation that may have a significant impact on the integrity
of a well or a well activity to which the approved well plan
relates, as determined in such plan;
(b) the occurrence or potential occurrence of a significant new
detrimental risk to or effect on the integrity of a well or a well
activity to which the approved well management plan relates,
as determined in such plan;
(c) a significant increase in a detrimental risk to or effect on the
integrity of a well or a well activity to which the approved well
management plan relates as, determined in such plan; or
(d) any other substantial change.
22. (1) Each well shall be identified by a unique designation
which a contractor shall obtain from the Authority.
(2) The designation of a well may not be altered because a part
of the hole was deviated, or the well was re-drilled to a lower target.
(3) (3) Notwithstanding sub-regulation (2), where a well exists
but an additional wellbore is drilled directionally to a different target
area, other prefixes, suffixes or any other additional letters or
characters, shall be appended to the designation of the wellbore as shall
be directed by the Authority.
Sub-division 4- General provisions related to upstream petroleum
operation permits
23. (1) The Authority shall within forty-five (45) days upon
receipt of the permit application as prescribed under these Regulations:
(a) engage relevant stakeholders and the local community whose
participation is desirable or whose interests may be affected by
petroleum operations, subject to the permit application and
permitting activities;
(b) inform identified stakeholders and the local community of the
scope of the permit application under consideration;
collect and facilitate feedback received from the stakeholders.
(2) The procedure and schedule adopted for public participation
shall be appropriate to ensure a permitting application and any
proposed operations are dully considered by relevant stakeholders.
24. Any permit issued under these Regulations shall cease to
be in force at the earliest of the following-
(a) when the Authority grants a permit that replaces the previously
issued permit;
(b) when the Authority revokes a permit under regulation 27;
(c) on the expiry date stated in the permit; or,
(d) upon expiration or termination of the relevant petroleum
agreement.
25. The Authority may suspend or revoke a permit issued under
these Regulations where—
(a) a contractor or permit holder has misrepresented any
material facts during the permit application or issuance process;
(b) a contractor or permit holder has not complied with the Act,
applicable regulations or a direction given by the Authority in
relation to an issued permit;
(c) a contractor or permit holder has not complied with the terms
and conditions of a permit or associated application
documents, where applicable;
(d) when a contractor or permit holder requests permit cessation;
(e) a petroleum agreement or non-exclusive exploration permit is
suspended or terminated, as the case may be; or
(f) the Authority is satisfied for any other reason that a permit
should be suspended or revoked.
26. (1) Where the Authority considers it may be necessary to
suspend or revoke a permit issued under these Regulations, the
Authority shall, at least thirty (30) days prior to suspension or
revocation —
(a) give a contractor or permit holder a written notice stating the
Authority’s intention to suspend or revoke a permit; and
(b) include in the notice —
(i) an explanation of the reasons why the Authority is
considering the suspension or revocation;
(ii) a date by which a contractor may give the Authority any
information that a contractor wants the Authority to
consider before deciding whether to suspend, or revoke a
permit; and
(iii) any other information that the Authority considers
appropriate.
(2) In exceptional circumstances, the Authority may suspend or
revoke a drilling permit without a notice, where the reasons justify
such immediate suspension or revocation.
27. (1) If the Authority gives a contractor a notice under
paragraph 26(1)(a), the Authority shall, within twenty-one (21) days
after the date mentioned in sub-paragraph 25(1)(b)(ii) has passed —
(a) suspend or revoke a permit; or
(b) decide not to suspend or to revoke a permit.
(2) The Authority shall not suspend or revoke a permit issued
under these Regulations unless the Authority —
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(a) has taken all information provided under sub- paragraph
26(1)(b)(ii) into account; and
(b) is satisfied that a reason for suspension or revocation under
sub-paragraph 26(1)(b)(i) exists.
(3) Fourteen (14) days after making a decision under
sub- regulation (1), the Authority shall notify a contractor in writing of
the decision.
(4) If the decision is to suspend or to revoke a permit
the notice shall specify —
(a) the date on which the suspension or revocation of a permit
takes effect; and
(b) the reasons for the decision.
Sub-division 5 - Methods and procedures for drilling wells
28. (1) A contractor or permit holder shall ensure that well barriers
are designed to ensure well integrity and that the barrier functions are
safeguarded during the lifetime of a well.
(2) Well barriers shall be designed to ensure that unintended well
influx and outflow between formations and to the external
environment is prevented.
(3) At least two (2) independent barriers shall be installed during
all well activities and operations, including for suspended or
abandoned wells.
(4) The well barriers shall be designed to ensure that their
performance can be verified in accordance with Kenya Standards or
best petroleum industry practices as approved by the Authority.
(5) During drilling and well operation, well barriers shall be tested
by an independent and competent entity approved by the Authority.
(6) If one barrier fails, activities shall not be carried out in the
well other than activities intended to restore or replace the barrier
which has failed.
(7) A contractor or permit holder shall ensure that pumping
and fluid capacity is available on the facility or on vessels in the event
of well intervention.
(8) The need for pumping and fluid capacity in the event of well
intervention referred to under sub-regulation (7) shall be included in
the activity-specific risk assessment.
29. (1) A contractor or permit holder shall ensure that well
control equipment is designed and capable of activation in a manner
that ensures both barrier integrity and well control in accordance with
Kenya Standards or best petroleum industry practices as approved by
the Authority.
(2) When drilling a top-hole section through risers or
conductors, equipment shall be installed with a capacity to divert
shallow gas and formation fluids away from the well site.
(3) The pressure control equipment used in well interventions
shall have remotely controlled valves with mechanical locking
mechanisms in the open position.
(4) Well intervention equipment shall have a remotely
controlled blind shear ram as close to the christmas tree as possible.
(5) Floating facilities shall have an alternative activation
system for activating critical functions of the blowout preventer for use
in the event of an evacuation.
(6) Floating facilities shall have the capacity to disconnect the
riser package after the blind shear ram has cut the work string.
(7) A contractor or permit holder shall ensure that in the event
of loss of well control, it is possible to regain well control by intervening
directly or by drilling a relief well.
(8) A contractor or permit holder shall prepare and submit to
the Authority for approval an action plan describing how the lost well
control can be regained.
30. (1) A contractor or permit holder shall implement measures
to handle conditions when shallow gas or other formation fluids are
found.
(2) When drilling in shallow formations, the selection of well
design and drilling parameters shall ensure the prevention of gas or
formation fluid from the well which pose a threat to personnel and
facilities.
(3) The measures put in place by a contractor or permit holder
under these Regulations shall be in in accordance with Kenya
Standards and best petroleum industry practices approved by the
Authority.
31. (1) Where a well has been suspended, the contractor or
permit holder shall permanently plug petroleum-bearing zones and
abandon the well within three (3) years unless the well is continuously
monitored.
(2) A contractor or permit holder shall ensure that it is possible to
monitor well integrity of a suspended well.
(3) A contractor or permit holder shall not abandon radioactive
sources in the well and where radioactive source cannot be removed, it
shall be abandoned in a manner that ensures safety to human health
and the environment and in accordance with relevant laws, and best
petroleum industry practices as approved by the Authority.
(4) To the extent possible the location of a suspended well shall be
restored to the original site condition.
32. (1) A contractor or permit holder shall ensure that choke
and choke manifold are pressure tested in accordance with Kenya
Standards and best petroleum industry practices approved by the
Authority.
(2) The blowout preventer with associated valves and other
pressure control equipment on the facility shall be pressure tested and
function tested in accordance with Kenya standards and best
petroleum industry practices approved by the Authority.
(3) A contractor or permit holder shall ensure that the blowout
preventer and associated valves and other pressure control equipment
on the facility undergo a complete inspection by a competent body
approved by the Authority every five (5) years.
(4) A contractor or permit holder shall develop and provide to the
Authority a blowout contingency plan.
Sub-division 6 - Discovery, commerciality and appraisal
33. Where the presence of petroleum within a reservoir is
encountered during drilling operations, and the petroleum is shown to
be producible, the petroleum accumulation shall be considered a
discovery.
34. (1) A contractor is required within forty-eight (48) hours to
notify the Cabinet Secretary of any such discovery of petroleum or
other minerals in the relevant contract area in compliance with section
27 of the Act. The notification shall include the following information:
(a) a contract and a block number in which the discovery was
made;
(b) name of the discovery well; and
(c) data or information used to confirm the discovery.
(2) Not later than sixty (60) days after the notification made in
sub-regulation (1), the contractor shall complete and test such
exploration well and shall, within thirty (30) days after completion and
testing, submit an initial discovery report. The initial discovery report
shall include information which was submitted in the original
notification specified in sub-regulation (1) and the following
information:
(a) the rate or quantity of production of petroleum and water from
the discovery well; and
(b) the physical and chemical properties of the petroleum from the
discovery well that have been determined.
(3) Where the contractor considers that a discovery merits
appraisal, the contractor shall obtain approval of its proposed
appraisal work programme and budget from the Cabinet Secretary
in accordance with the relevant petroleum agreement.
(4) The contractor shall commence execution of the approved
appraisal work programme and budget within sixty (60) days upon
approval by the Cabinet Secretary.
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(5) Where the appraisal period commences in the initial
exploration period or first additional exploration period, the contractor
shall expeditiously undertake and complete the approved appraisal
work programme and budget with respect to the discovery within a
period reasonably required to determine whether or not the discovery
is commercial, but in any event, such period shall not go beyond the
second additional exploration period.
(6) In the event of a discovery in the last year of the second
additional exploration period, the Cabinet Secretary shall, at the
request of the contractor, extend the term of the second additional
exploration period in respect to the prospective area of the discovery
and for the period of time reasonably required to expeditiously
complete the approved appraisal work programme and budget with
respect to such discovery and to determine whether or not the
discovery is commercial, but in any event, such extension to the second
additional exploration period shall not exceed two (2) years.
(7) Notwithstanding sub-regulation 5(6), an approved appraisal
work programme and budget obligations shall be in addition to, and
shall not discharge the contractor from, its respective minimum work
and expenditure obligations under a petroleum agreement.
(8) A contractor shall conduct a separate appraisal for each
discovery unless otherwise decided by the Cabinet Secretary or as
otherwise provided for in the relevant petroleum agreement.
(9) Where a contractor decides that a discovery does not merit
an appraisal the discovery area shall be relinquished in accordance
with the Act, applicable regulations and the petroleum agreement.
35. (1) Within ninety (90) days from completing appraisal
work, a contractor shall determine whether the discovery is a
commercial discovery or not and notify the Cabinet Secretary in
accordance with sub-regulation 35(2). The decision to declare
commerciality shall be based on best petroleum industry practice and
at the discretion of a contractor based on the result of the appraisal
operations.
(2) Upon completion of the appraisal work, a
contractor shall submit an appraisal report in addition to the
declaration of commerciality if any, ensuring that the appraisal report
includes all available technical and economic data relevant to
determination of commerciality, including:
(a) location and areal extent of commercial discovery
(b) geological and geophysical conditions, which may be in the
nature of structural configuration;
(c) physical properties and the extent of reservoir rocks, areas,
thickness and depth of pay zones, pressure,
volume and temperature analysis of the reservoir fluids;
(d) preliminary estimates of crude oil or natural gas reserves;
(e) recovery drive mechanisms;
(f) anticipated production performance per reservoir and per well;
and
(g) fluid characteristics, including API gravity, sulphur
percentage, sediment, wax, asphaltenes, CO2 and water
percentage and refinery assay pattern.
(3) The Cabinet Secretary may request a contractor to provide
additional information as required.
(4) Where a contractor does not declare that discovery is
commercial, the discovery area shall be relinquished except for cases
provided in the Act and respective petroleum agreement.
36. (1) When a commercial discovery is declared, a contractor
shall establish a preliminary demarcation of the proposed development
area on a map which shall correspond as closely as possible to the
extent of the field or fields within the contract area.
(2) The final development area shall be established under the
approved field development plan.
(3) An approved development area shall only be altered with prior
approval from the Cabinet Secretary when-
(a) a new field or fields are discovered under or overlying the
deposit(s) included in the area already demarcated;
(b) the Cabinet Secretary, on the basis of technical and/or
economic reasons provided by a contractor, authorises two
separate fields to be developed jointly in accordance with
provisions in the Act, petroleum regulations and petroleum
agreements.
DIVISION 2 – FIELD DEVELOPMENT
OPERATIONS
Sub-division 1 - Field development plan
37. A contractor shall not commence development operations
without prior approval of the field development plan and receipt of all
other permits, approvals and consents that may be required under
applicable Kenya laws or petroleum agreements.
38. (1) Where a discovery is declared commercial, a contractor
shall prepare and submit to the Authority a field development plan for
the field(s) within one hundred and eighty (180) days from the
declaration of commerciality or within the period specified in the
petroleum agreement or as otherwise agreed by the Authority and
Cabinet Secretary.
(2) A field development plan shall-
(a) be based on sound engineering and economic principles
and in accordance with best petroleum industry practices and
considering the maximum efficient rate of production appropriate to
the commercial discovery, and
(b) shall comply with requirements of section 30 of the Act,
the petroleum agreement and Schedule III of these Regulations.
(3) With submission of a field development plan a contractor
shall enclose the evidence of payment of applicable fees as prescribed
in Schedule IX.
39. (1) The Authority shall review the contents of the field
development plan submitted by a contractor and where any of the
items required under sub-regulation 38 (2) are missing, the Authority
shall notify a contractor to submit any such missing items.
(2) As soon as practicable after receipt of a content compliant field
development plan the Authority shall commence assessing the field
development plan over the period specified in the petroleum
agreements and make recommendations to the Cabinet Secretary on
approval, amendment or rejection of the field development plan in
accordance with the petroleum agreement(s).
(3) Upon receipt of Authority’s recommendations on the field
development plan, the Cabinet Secretary shall undertake further
assessment of the plan and shall approve or reject such plan as soon as
practicable, but not later than sixty (60) days upon receipt of the
Authority’s recommendations.
40. (1) The Cabinet Secretary shall approve a field development
plan if the Cabinet Secretary is satisfied that —
(a) the plan includes the information required under sub-
regulation 38(2);
(b) the plan demonstrates that the applicant will manage the field
—
(i) in accordance with sound engineering principles, codes,
standards and specifications;
(ii) in a manner that is consistent with best petroleum industry
practices; and
(iii) compatible with optimum long-term recovery of the
petroleum.
(c) All applicable laws have been complied with.
(2) Where the Cabinet Secretary is not satisfied that the plan meets
the requirements of sub-regulation (1), the Cabinet Secretary shall
within thirty (30) days notify the Authority and the contractor
requesting modifications within a specified period.
(3) Upon making modifications to the field development plan in
accordance with the notification of a Cabinet Secretary, a contractor
shall resubmit the modified field development plan to the Cabinet
Secretary via the Authority for approval.
(4) The Cabinet Secretary in approving a field development plan
may approve it with attached terms and conditions that a contractor
shall comply with.
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41. (1) The Cabinet Secretary shall upon approval of the field
development plan submit it to the Parliament for ratification in
accordance with Section 31 of the Act.
(2) Upon ratification of the field development plan in accordance
with sub-regulation (1) a contractor shall proceed promptly and
without undue delays, and in any case not later than one hundred and
eighty (180) days, to commence the implementation of the
development works in accordance with the development plan and the
development and production work programme and budget approved in
accordance with Regulation 11.
42. (1) A contractor shall only conduct development and
production petroleum operations in accordance with an approved
annual development and production work program and budget.
(2) A contractor shall submit and present to the Cabinet
Secretary and the Authority the annual development and production
work program and budget upon ratification of the field development
plan and each subsequent year, in accordance with sub-regulation (3).
(3) An initial development work programme and budget shall
be presented to the Cabinet Secretary and the Authority sixty (60)
days after the approval and ratification of the FDP or, in the case of a
subsequent development and production work programme and budget,
three (3) months before the beginning of the year to which the
programme relates.
(4) The Contractor shall submit the development and
production work program and budget and supporting documentation
in both electronic format and hardcopies.
(5) Any costs incurred by the Contractor prior to the approval
of the development and production work program and budget shall not
be recoverable.
43. (1) The annual development and production work program
and budget submitted to the Cabinet Secretary and the Authority shall
include a technical and financial description of each type of petroleum
operation in such form as may be prescribed by the Authority from
time to time.
(2) Each annual development work programme and budget
shall be consistent with the obligations set out in the respective
approved and ratified field development plan or revised field
development plan as the case may be.
(3) Each budget item in the annual development and
production work programme and budget shall outline, with sufficient
detail, the following: -
(a) the cumulative expenditure projected at the end of each quarter
of the relevant contract year;
(b) the latest forecast of cumulative petroleum costs projected for
the relevant contract year; and
(c) the expenditure projected in subsequent years to complete the
budget item.
(4) The annual development and production work program and
budget shall contain the following information:
(a) a status of participating interests;
(b) a summary of the actual activities performed in the previous
contract year and, where any such activities have not been
performed or have been partially performed, the reasons for
such non-performance;
(c) activities to be performed and the corresponding budget for the
relevant contract year;
(d) with respect to production, the requirements under Schedule
V;
(e) where applicable, the status of surrender obligations;
(f) where applicable, the status of performance securities;
(g) the status of annual payments;
(h) the status of community development and social investment
projects;
(i) the status of any concluded and ongoing litigations and other
legal risks related to the Petroleum Agreement; and
(j) any other information as the Cabinet Secretary or Authority
may require.
44. The approval of the submitted annual development and
production work program and budget shall be in accordance with the
provisions of Regulation 11.
45. (1) A proposed amendment to the approved annual
development and production work program and budget shall be
submitted to the Authority and Cabinet Secretary for approval together
with justifications thereof.
(2) The submission referred to under sub-regulation (1) shall
be applicable where:
(i) An operator envisages that expenditure in a budget item as
approved in the work programme and budget will exceed 10%.
(ii) A contractor proposes material changes to an approved annual
work program and budget.
(3) Upon such submission of the revised development work
programme and budget, the Cabinet Secretary with the advisory of the
Authority may approve the revised annual development and production
work program and budget in writing within fifteen (15) days with or
without conditions or, with reasons, reject the revised annual work
program and budget.
46. (1) A contractor shall only make a variation or alteration to
an approved field development plan in accordance with these
Regulations.
(2) A contractor shall apply to the Authority for approval of a
revision to an approved field development plan in case of significant
deviation in or alteration of the terms and conditions under which a
field development plan has been approved as well as any significant
alteration of plan, facilities, or use of the facilities. The application
shall be accompanied by the proposed revision.
(3) A deviation is considered significant when—
(a) A contractor proposes to make changes in the development
strategy or management strategy of the field;
(b) A contractor proposes to make changes to the number,
inclusion or exclusion of field or fields;
(c) Cessation of production, permanently or for the long term,
before the date proposed in the field development plan;
(d) A contractor proposes a change or a new method for the
petroleum recovery, such as enhanced recovery and injection of
fluids, where such change would result or results in a
significant increase in cost;
(e) A contractor proposes to make any change that requires a
revision of the technical configuration and design, design of
facilities and economic aspects of the project which would
result or results in a 10% increase in cost;
(f) Any other proposed change that the Authority considers
significant.
47. (1) The Authority shall consider an application made under
sub-regulation 46(2) within sixty (60) days of submission thereof and
may, within that period, request a contractor to provide additional
information.
(2) The Cabinet Secretary shall within twenty-one (21) days upon
advise from the Authority, consider the revision of the field
development plan.
(3) The Cabinet Secretary may approve the revision of the field
development plan subject to terms and conditions that a contractor
shall be required to comply with.
(4) The Cabinet Secretary shall, within fourteen (14) days of the
approval of the revision of the field development plan, submit the
revised field development plan to Parliament for ratification in
accordance with section (31) of the Act.
Sub-division 2 - Permit to construct upstream petroleum facilities
and design approval
48. Unless the context otherwise requires, this Sub-division
shall apply to the construction, operation and maintenance of upstream
petroleum facilities.
10th July, 2025 THE KENYA GAZETTE
49. (1) A contractor or permit holder shall apply to the
Authority for a permit to construct upstream petroleum facilities.
(2) A permit to construct upstream petroleum facilities falling
under sub-regulation (1) shall include among others -
(a) petroleum gathering facilities;
(b) petroleum storage and handling facilities;
(c) petroleum processing facilities;
(d) other facilities that may be required under the Act.
50. (1) A contractor or permit holder shall apply for a permit to
construct upstream petroleum facilities to the Authority in writing not
less than three (3) months prior to commencement of any construction
operations;
(2) A contractor, and where applicable a permit holder, shall
provide the following in the application under sub-regulation (1)
(a) an application form as provided in Schedule IV;
(b) evidence of payment of applicable fees as prescribed in
Schedule IX;
(c) design of the facility approved by the relevant authorities of
Kenya that is based on sound engineering and economic
principles and in accordance with best petroleum industry
practice and applicable Kenya laws. Such design shall include:
(i) the Front-End Engineering Design and
(ii) Detailed Engineering Design documents, including piping
and instrumentation design document.
(d) a copy of the applicant’s design-standard policy;
(e) a plot plan of the site and an equipment list showing the
equipment to be installed;
(f) an annex of the codes and standards applicable to the
construction of the facility;
(g) all processes and procedures required to deliver safe
construction and operation of the facilities;
(h) where applicable, a hazard and operability (HAZOP) study
and an environmental impact assessment license for the
proposed facilities and operations approved in accordance with
Kenya laws;
(i) a copy of all other relevant approvals, authorisations, licences
and permits required under applicable Kenya law to commence
building, construction or installation processes; and
(j) any other information that the Authority may require.
51. The Authority shall -
(a) review the application submitted by a contractor or permit
holder and where any of the items required under sub-
regulation 50(2) are missing, the Authority shall notify a
contractor or permit holder to submit the missing items;
(b) arrange for a public participation in compliance with Sub-
section 24 (8) of the Act and Regulation 23; and
(c) inform a contractor or permit holder in writing of the decision
of the Authority within two (2) months after the receipt of the
application and all required documentation.
52. (1) The Authority shall approve an application under
regulation 49 by issuing a permit if the Authority is satisfied that –
(a) submitted application contains information specified in
Schedule IV and accompanied with all documentation required
under sub-regulation 50(2);
(b) a contractor or permit holder has all necessary processes and
procedures in place to deliver safe construction and operations
of facilities;
(c) an environmental impact assessment license for the proposed
facilities and operations has been approved in accordance with
Kenya law; and
(d) a contractor or permit holder has provided any other
information as may be requested by the Authority.
(2) The Authority may at its discretion approve or reject an
application for a permit to construct upstream petroleum facilities and
shall, upon rejection of an application, provide reasons thereto.
53. (1) An upstream petroleum facility construction permit
shall be for the period specified in the permit which may be renewed.
(2) An upstream petroleum facility construction permit
issued by the Authority shall be subject to terms and conditions
specified in such permit.
(3) A contractor or permit holder is required to conduct
construction operations in compliance with applicable Kenya laws,
standards, best petroleum industry practices approved by the
Authority.
(4) A person shall not transfer an upstream petroleum facility
construction permit except with the prior approval in writing of the
Authority. Such application shall include: -
i. Permit number
ii. Official company search
iii. Technical and financial capability of the transferee
(5) Where applicable, an application for the renewal of the
upstream petroleum facility construction permit shall be made to the
Authority by a contractor or permit-holder not later than sixty (60) days
before the expiration of the existing permit with justification of
extension required.
54. (1) An upstream petroleum facility construction permit
issued by the Authority under these Regulations shall not be changed
or modified without the prior approval of the Authority.
(2) A contractor or permit holder may apply to the Authority
for the revision of an upstream petroleum facility construction permit
accompanied by the documents required under sub-regulation 50(2)
explaining the reasons for changes or modifications
55. (1) A contractor or permit holder shall prior to
commencement of construction, building or installation of the
upstream facilities located onshore or offshore submit to the Authority
the final designs and plans or construction works for approval.
(2) The contractor or permit holder shall seek any other
necessary approvals from relevant authorities in compliance with
Kenyan law.
(3) For facilities specified in sub-regulation 49(2) a contractor
or permit holder shall seek an approval of design during the process of
applying for a upstream petroleum facility construction permit.
(4) A contractor shall submit to the Authority for approval
documents specified in sub-regulation 50(2).
(5) A contractor shall pay the design approval fee as
prescribed in Schedule IX and include evidence of such payment in
the submission of designs for approval
(6) For the avoidance of doubt, a contractor or permit holder
shall remain liable for the designs, plans, construction, and installation
works associated with an upstream onshore or offshore facility.
Sub-division 3 - Requirements for design, construction, and
installation of onshore upstream petroleum facilities
56. (1) A contractor or permit holder shall ensure that onshore
upstream petroleum facilities are designed, constructed, supplied,
installed and maintained in compliance with applicable Kenyan laws
and best petroleum industry practices as approved by the Authority.
(2) In designing petroleum facilities and selecting appropriate
material and equipment a contractor shall comply with Kenya
standards or best petroleum industry practises approved by Authority.
(3) During the design and fabrication of process and auxiliary
facilities, human factors and technical safety requirements as well as
environmental sustainability shall be taken into account.
(4) A contractor shall ensure that the choice and location of a
facility and its components is based on a hazard and operability
(HAZOP) study, area classification and ventilation assessment.
(5) A contractor shall ensure that the facility is in as far as
reasonably practicable designed with redundancy in the vital operating
and safety systems.
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(6) A contractor or permit holder shall ensure that during
design—
(a) equipment and materials used for process and auxiliary
facilities are fit for purpose;
(b) equipment and facilities are secured against abnormal loads,
including dimensioning accidental events;
(c) account is taken of the environment in which the installations
are to be placed and to which they are subjected; and
(d) probable changes in future operational conditions are
considered.
(7) A contractor shall ensure that facility design considers
provisions for future monitoring and maintenance.
57. (1) Valves and actuators shall be designed and produced
in such a way as to be able to withstand the loads to which they may
be subjected.
(2) Valves and actuators which are part of an emergency shutdown
system shall be able to resist the dimensioning fire and explosion
loads to which they may be subjected.
(3) Valves with great significance to safety shall be tested in
accordance with standards approved by the Kenya Bureau of
Standards and best petroleum industry practices approved by the
Authority.
(4) There shall be two levels of safety with functionally different
types of safety devices to offer protection for abnormal loads.
58. (1) A contractor shall ensure that rotating machinery is
compliant with the requirements of Kenya standards and best
petroleum industry practices approved by the Authority.
(2) When choosing rotating machinery, a contractor shall ensure
that —
(a) consideration shall be given to reliability, energy efficiency,
ease of operation and maintenance, previous experience with
the machinery;
(b) preference shall be given to utilizing the latest technology
available without detrimentally affecting other relevant
considerations;
(c) the rotating machinery and its components shall be designed
and installed to ensure that it does not cause unacceptable risk
to people, property and to the environment;
(d) the rotating machinery and its components shall at maximum
operational load withstand the environmental loads to which it
may be subjected;
(e) rotating machinery intended to be functioning during accident
situations, shall be protected against destruction by
dimensioning loads from fire, explosion and accident;
(f) rotating machinery performing critical functions shall be fitted
with equipment monitoring critical parameters, such as
pressure, temperature and vibrations;
(g) foundations with supporting structures shall have sufficient
strength and rigidity to prevent harmful deformations and
reduce vibrations;
(h) a shut-in valve on the inlet to pumps in light hydrocarbon or
crude service should be installed;
(i) combustion engines are fitted with an automatic device to
prevent the engine from over speeding in the event that
inflammable gas is sucked into the air inlet;
(j) if a water-cooled spark arrestor is used, a signal is given in the
control room in the event of a water supply failure;
(k) air exchangers and drive shafts need to be properly enclosed to
prevent personnel injury;
(l) combustion engines and turbines are supplied with combustion
air from non-hazardous areas;
(m) exhaust gas is conveyed to separate non-hazardous areas and
exhaust gas ducts shall be designed in such way that possible
sparks from the combustion will not become an ignition
source;
(n) exhaust gas is to the extent possible emitted away from the
installation, so as not to cause inconvenience to people or
cause hazardous situations;;
(o) for compressors, a check valve should be placed downstream
of the final discharge stage to prevent backflow in the event of
a leak or piping failure;
(p) relief valves shall be placed on the inlet scrubber(s) and
downstream of each stage of compression;
(q) high/low pressure switches shall be placed on the inlet and
outlet of each stage;
(r) high temperature shutdowns shall be placed on the discharge
of each compressor stage;
(s) electric motors shall adhere to Kenya standards and best
petroleum industry practices approved by the Authority.
(t) totally enclosed frame motors shall adhere to Kenya standards
and best petroleum industry practices approved by the
Authority and shall be explosion proof and supplied with
positive-pressure ventilation from a source of non-
contaminated air.
59. (1) When selecting materials for a facility and auxiliary
facilities during the design, a contractor and permit holder shall
consider the loads and environmental conditions that may be
experienced during fabrication, installation, maintenance and
operation.
(2) A contractor and permit holder shall, in selecting materials for
a facility or auxiliary facilities—
(a) consider its compatibility with process fluids and operating
conditions;
(b) ensure that materials meet requirements of Kenya standards
and best petroleum industry practices approved by the
Authority regarding strength, ductility, durability, toughness,
corrosion, erosion, and other forms of decay of materials,
where applicable;
(c) consider the fire resistance attributes of the materials , where
applicable; and
(d) ensure that, where new materials are introduced, the material is
verified by means of necessary analyses, calculations and tests
so that stipulated safety criteria and compatibility
considerations are met.
(3) During operation, a contractor shall continually monitor
facilities and installations to mitigate or maintain the required
parameters specified in these Regulations .
60. (1) Design of process and auxiliary facilities shall be in
accordance with sound engineering principles and best petroleum
industry practices; flow rates and capacities for the facilities shall be
specified in relation to reaction times and capacity. Additionally, the
reliability of control systems and operational aspects, the vibration and
noise levels, pressure fluctuations and water hammer effects shall be
taken into account.
(2) During the design of process and auxiliary facilities, a
contractor or permit holder shall consider planned manning levels,
operation and maintenance suitability.
(3) A contractor or permit holder shall ensure that process and
auxiliary facilities are designed so that efficiency and reliability is
maintained at the lowest and highest design capacities, temperatures
and pressures.
(4) A contractor or permit holder shall take measures to ensure that
instrumentation and control equipment for process and auxiliary
facilities has two levels of safety and a high level of reliability.
(5) Process and auxiliary facilities shall be fitted with devices for
pressure relief offering protection against overpressure.
(6) Pressure vessels shall be inspected and maintained periodically
to ensure the integrity of the vessels.
(7) Drainage devices shall be designed to avoid accidental outflow
of petroleum and other fluids.
10th July, 2025 THE KENYA GAZETTE
(8) The risk of self-ignition or pyrolysis shall be assessed in
connection with the choice of materials and procedures for inspection
and maintenance.
(9) In designing process and auxiliary facilities, the effect of
anticipated changes in the petroleum characteristics over time shall be
taken into consideration.
(10) Process and auxiliary facilities shall be designed so that
auxiliary facilities are not negatively affected by the process facilities.
61. (1) A contractor shall stipulate limit values for dew point,
purity, pressure variations and temperature of the air.
(2) The facilities shall have adequate compressor and receiver
capacity to ensure stable operational conditions.
(3) A facility shall be designed and equipped to meet the
emission levels set out in Kenyan laws, standards and best petroleum
industry practices approved by the Authority.
62. (1) Heating facilities including boilers, vessels, heat
exchangers and pipe installations shall be designed in accordance with
Kenyan laws, standards and best petroleum industry practices
approved by the Authority.
(2) Where flammable heating media are used, a contractor shall
put in place measures to ensure that no ignition occurs in the event of
leakage from the facilities.
(3) A contractor shall employ heat recovery on process
effluents.
(4) A contractor shall carry out energy audits to ensure
efficiency in accordance with Kenyan laws.
63. A contractor shall ensure that inert gas facilities are
designed—
(a) in accordance with Kenyan laws, standards and best petroleum
industry practices approved by the Authority so that the choice
of location takes into consideration possible consequences of
leakages;
(b) with instrumentation for detection of inert gas leakages;
(c) to protect structures that may be cooled down by leakages
from vessels containing inert gas in liquid form;
(d) to ensure that hoses and couplings used for liquid inert gas are
fit for purpose; and
(e) to ensure hose couplings for distribution of inert gas are of a
special type different from other couplings.
64. (1) A facility design shall be subjected to a safety
analysis function evaluation chart and hazard and operability
(HAZOP) study before the completion of the detailed design and upon
modification of an existing facility.
(2) An authorised officer of the Authority shall be present at the
reviews under sub-regulation (1).
(3) A detailed facility design and the piping and
instrumentation diagram shall be made available for review.
Sub-division 4 - Requirements for design, construction, and
installation of offshore upstream petroleum facilities
65. (1) A contractor shall ensure that offshore petroleum
facilities are designed, constructed, supplied, installed and maintained
in compliance with applicable Kenyan laws, standards and best
petroleum industry practices approved by the Authority to guarantee
the safety and operability of the facility.
(2) In designing offshore petroleum facilities and selecting
appropriate material and equipment a contractor shall comply with
Kenyan laws, standards and best petroleum industry practices
approved by the Authority.
(3) All installations shall be fabricated from fit for purpose
material of adequate strength.
(4) During design and fabrication of process and auxiliary
facilities, the safety and securing of personnel, the environment and
material assets shall be considered.
(5) A contractor shall ensure that the choice and location of an
offshore facility and its components is based on a risk analysis, area
classification and ventilation.
(6) A contractor shall ensure that an offshore facility is in as
far as reasonably practicable designed with redundancy in the vital
operating and safety systems.
(7) A contractor shall ensure that during design of offshore
facilities -
(a) equipment and materials used for process and auxiliary
facilities are suit for purpose;
(b) equipment and facilities are secured against abnormal loads,
including dimensioning accidental events;
(c) account is taken of the environment in which the installations
are to be placed and to which they are subjected;
(d) probable changes in future operational conditions are
considered;
(e) electrical installations either contained in explosion- proof
enclosures, be intrinsically safe, or be purged and pressurized.;
and
(f) control systems allow for gas detection systems to
automatically shut down the facility in high gas leakage levels.
(8) A facility design shall be subjected to a safety analysis
function evaluation chart and hazard and operability (HAZOP) study
in accordance with regulation 64.
(9) A contractor shall notify relevant authorities about the
location of fixed and mobile platforms and required changes to
shipping lanes, navigation aids and nautical charts. A contractor shall
comply with all relevant Kenyan Laws and obtain all relevant approvals
and permits.
66. (1) Notwithstanding the provisions of regulation 65, an
application for a permit to construct or install a fixed or mobile
platform shall be made in writing and shall—
(a) state the location at which it is intended to be constructed,
installed or placed;
(b) state the reasons, including the geological evidence, for the
selection of that location;
(c) be accompanied by copies of an equipment arrangement plan
and reports, recommendations and criteria used by contractor
in determining the design;
(d) state particulars of—
(i) the depth of the lake or offshore area, the nature of the
lake-bed or sea-bed and sub-soil at that location;
(ii) the maximum and minimum air and water temperatures
likely to occur at that location during the period in which
the fixed platform is expected to be in that location;
(iii) the characteristics of the waves taken into consideration
in determining the design of the fixed platform;
(iv) the water current data taken into consideration in
determining the design;
(v) the maximum wind speed and the direction of winds;
(vi) details of estimated marine growth on the fixed platform
taken into account in determining the design;
(vii) particulars of the plan for transportation of materials and
personnel, including safety consideration; and
(viii) the safety equipment provided including lifesaving,
firefighting, radio or radio-telephone equipment.
(e) for a mobile platform, documents confirming platform
certification by an independent competent body in accordance
with Kenya standards and best petroleum industry practices;
(f) evidence of payment of prescribed fees under Schedule IX; and
(g) include any other information as the Authority may require.
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(2) The Authority shall process an application under sub-
regulation (1) within sixty (60) days from the date of application.
(4) The Authority shall not grant consent under sub-regulation
(1) unless it is satisfied that the mobile platform is in accordance with
safety requirements as to load line, construction or otherwise and that
the safety equipment including lifesaving, firefighting, radio or radio-
telephone equipment is adequate.
(5) Where a contractor requires to move a mobile platform an
application to the Authority for consent to move a mobile platform
shall be made in writing at least seven (7) days before the proposed
moving and shall include-
(a) particulars of the proposed moving and the times at which the
operation is proposed to be carried out at the locations
concerned; and
(b) particulars of any buoy or under water obstructions proposed
to be left at a location from which the mobile platform is to be
moved.
(6) The construction or installation of a fixed platform and
placement of mobile platforms shall be done in accordance with the
terms and conditions of the permit issued by the Authority, Kenyan
Laws, standards and best petroleum industry practices approved by the
Authority.
(7) Notwithstanding the provisions of these Regulations, in the
case of an emergency situation, a contractor shall take immediate
action as is necessary to protect life, the environment and equipment
and shall notify the Authority giving details of the causes of the
incident, the action taken and preventive measures being undertaken
to ensure the incident does not reoccur.
67. (1) A fixed platform shall not be constructed or installed in
a contract area, unless -
(a) at least ninety (90) days before the construction or installation
is commenced, notice of intention to commence construction
or installation of that platform has been given to the relevant
authorities in compliance with Kenyan Laws; and
(b) required approvals and permit was obtained in accordance with
these Regulations.
(2) The Authority may inspect prefabricated parts or sections
prior to installation in a manner determined by the Authority and in
accordance with best petroleum industry practices as approved by the
Authority.
(3) The construction, installation and maintenance of a fixed
platform shall be done in accordance with the terms and conditions of
the approval issued by the Authority, Kenyan laws, and in accordance
with Kenyan standards and best petroleum industry practices approved
by the Authority.
(4) The Authority may examine the fixed platform at any time
during the construction or installation by providing due notification to
a contractor.
68. (1) A contractor or its subcontractors shall not, in any
part of the contract area, use a mobile platform for or in connection
with offshore petroleum operations unless—
(a) it is used and maintained in accordance with these
Regulations, Kenya standards and best petroleum industry
practices approved by the Authority; and
(b) required approvals and permits of the Authority was
obtained in accordance with these Regulations.
(2) A contractor when so requested by the Authority, shall produce
for inspection any documents issued by an independent competent
body relating to the use and maintenance of the mobile platform.
DIVISION 3 - PETROLEUM PRODUCTION
69. (1), A contractor shall obtain approval from the
Authority prior to commencing test production.
(2) A contractor shall not later than one (1) month prior to the
planned commencement of petroleum production, submit to the
Authority a written application for approval of the test production that
shall include:
(a) the objectives of the test production;
(b) a plan and programme for the test;
(c) description of geological and reservoir engineering objectives;
(d) a specification of the facilities and parameters that will be used;
(e) a description of systems and equipment for measuring
produced petroleum;
(f) a detailed and itemised budget;
(g) a description of safety and environmental protection systems
planned or implemented;
(h) a summary of the environmental and social impact assessment,
unless not required due to existing studies or for other special
reasons as approved;
(i) evidence of payment of prescribed fees under Schedule IX; and
(j) Any other information that the Authority may require.
(3) A contractor shall treat petroleum produced during test
production as petroleum produced during commercial operation,
unless otherwise specified in the approval of test production. Further,
the Contractor shall store such produced petroleum for subsequent
utilization or sale.
(4) The written approval by the Authority of the test
production shall stipulate conditions to be complied with by a
contractor on-
(5) the duration of such test production;
(6) the method of test production;
(7) the volumes of petroleum to be produced;
(8) facilities to be utilized;
(9) sale of petroleum;
(10) particular measures related to health, safety, and
environment and , occupational safety and health, including mitigating
or remedial measures to be taken; and
(11) any other relevant condition.
(12) A test production approval shall be for a period of not more
than six (6) months, unless special circumstances justify a longer test
production period.
70. (1) A contractor shall not produce petroleum without a
production permit issued by the Authority.
(2) Prior to the commencement of production from any field
the contractor and the Authority shall review the maximum efficient
production rate for the field(s) specified in the field development plan,
agree on its validity and establish dates on which such rate shall be re-
examined and potentially revised.
(3) Sub-regulation (1) does not apply to a test production which
shall be performed in compliance with Regulation 69.
71. (1) Not later than two (2) months prior to the planned
commencement of petroleum production a contractor shall, apply for
an annual production permit.
(2) An application for a production permit shall include –
(a) a duly filled application form as provided in Schedule V;
(b) evidence of payment of applicable fees as prescribed in
Schedule IX
(c) supporting documents defined in Section 32 of the Act.
(3) Additionally, a contractor shall submit the following
documentation:
(d) the production plan and schedule for each reservoir unit;
(e) production forecast statement, broken down in calendar
quarters, showing the total quantity of petroleum that a
contractor estimates to produce, store, transport and sell during
each calendar year consistent with the approved field
10th July, 2025 THE KENYA GAZETTE
development plan. The production forecast statement shall also
include the following:
(i) proven reserves (developed and undeveloped);
(ii) probable reserves; (iii)possible reserves;
(iv) accumulated production (oil and gas);
(v) accumulated injection of natural gas;
(vi) stock of natural gas; and
(vii) volume withdrawn from the stock of natural gas.
(c) the monthly production reports for the last twelve (12) calendar
months, if applicable for each reservoir unit;
(d) historical and updated reservoir monitoring data, analysis and
other related data with comments on deviations from earlier
forecasts;
(e) proposed production rates;
(f) the estimated monthly production volumes for each reservoir
unit for the period applied for;
(g) the estimated total production volumes for each reservoir unit
for the period applied for;
(h) the estimated total injection of gas, water, fluids into the
reservoir for the purpose of pressure maintenance, secondary
or tertiary (enhanced) recovery;
(i) the estimated volumes requested to be flared, vented or
injected during the period applied for; and
(j) any other information the Authority may require
(4) The production permit may identify the quantity of
petroleum which may be extracted, consumed, injected, flared or
vented.
(5) An application for a renewal of production permit shall be
made to the Authority by a contractor not later than two (2) months
before the expiration of the existing permit and shall be in compliance
with requirements stipulated under sub-regulations (2) and (2)(3)
above.
72. (1) The Authority shall -
(a) arrange for a public participation in compliance with sub-
section 24 (9) of the Act and regulation 23; and
(b) inform a contractor in writing of the decision of the Authority
within two (2) months after the receipt of the application and all
required documents.
73. (1) The Authority shall issue a production permit if
satisfied that: -
(c) the information provided in the application is provided in
accordance with Regulation 71 and Schedule IV;
(d) a contractor has all necessary processes and procedures in
place to deliver safe construction and operations of facilities;
(e) an environmental and social impact assessment for the
proposed facilities and operations have been approved in
accordance with Kenya law; and
(f) any other matter it considers appropriate.
(2) The Authority in issuance of a production permit may consider
the following:
(a) the size of the reservoir;
(b) the type of petroleum;
(c) the projected rate of production; and
(d) other factors of importance for the optimal depletion of
petroleum from a field.
(e) (3) The Authority may consider any reasonable matter in
deciding to approve or reject an application for a production
permit and will provide a reasonable justification for its
decision.
74. (1) The Authority may reject an application for a
production permit on the basis of;
(a) public safety, or
(b) any other reasonable justification.
(2) A production permit issued by the Authority may be
subject to conditions specified in such permit.
(3) A contractor shall conduct petroleum production
operations in compliance with applicable Kenyan laws, standards and
best petroleum industry practices approved by the Authority and the
terms and conditions of the issued permit.
(4) A person shall not transfer a production permit
except with the prior approval in writing of the Authority.
75. (1) Production shall be for the period specified in the
permit and such permit shall be renewed annually.
(2) An application for the renewal of a production permit shall be
made not later than two (2) months before the expiration of the
existing permit.
76. (1) A production permit issued by the Authority under these
Regulations shall not be changed or modified without the prior
approval of the Authority.
(2) A contractor may apply to the Authority for the revision of a
production permit and such application shall be accompanied by the
documents required under regulation 71 explaining the reasons for
changes or modifications.
77. (1) A contractor shall use approved methods and practices
acceptable to the Authority for the production of petroleum from a
reservoir and shall in particular take all necessary steps to:
(a) obtain the initial physical characteristics of the reservoir fluids
and reservoir parameters including
(i) temperature;
(ii) Pressure;
(iii) gas-oil ratio;
(iv) bubble point pressure;
(v) porosity;
(vi) viscosity; and
(vii) relative permeability in relation to fluid saturations and
fluid gravities,
(viii) and submit to the Authority detailed data, results and
analyses as soon as possible after the commencement of
production from a reservoir;
(b) obtain periodic data required under these Regulations at
intervals approved by the Authority; and
(c) ensure that each reservoir produces within the limits of the
optimum potential rate of the reservoir.
(3) The Authority may give directions to a contractor to ensure the
proper exploitation of petroleum.
78. (1) A contractor shall produce and continually monitor the
reservoir performance, including pressure and flow conditions,
produced or injected volumes per well and composition of petroleum in
accordance with a reservoir management plan submitted and approved
as part of the field development plan.
(2) A contractor shall with the prior approval of the Authority,
produce in each calendar year the quantity that has been approved by
the Authority in the production permit and shall be required to comply
with domestic supply obligation as provided for in the Petroleum
Agreement.
(3) The total monthly production and injection volumes of the field
shall be apportioned to each well on a monthly basis
79. (1) A contractor shall with the approval of the Authority
commence a study to determine the economic practicability of
enhanced recovery and its recommended timing prior to or upon the
attainment of a ten percent (10%) decline or any other level of decline
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4264 4264
as may be applicable per field for the initial pressure of a reservoir
determined by the consideration of the average current reservoir
pressure weighted as appropriate.
(2) A full report of the study undertaken under sub-regulation (1)
shall be submitted to the Authority as soon as possible and in any case
not later than six (6) months after the attainment of the pressure decline
stipulated in sub-regulation (1).
(3) Where new methods for pressure maintenance, secondary or
tertiary (enhanced) recovery are proposed and such methods are not
specified in the approved field development plan, a contractor shall
apply to the Authority for revision of the field development plan in
compliance with these Regulations.
(4) When submitting the revised field development plan, a
contractor shall additionally provide the following information:
(a) information on the number of wells to be used for injection of
steam, liquids and gases and description of the injection systems
such as details of pumps, compressors, treatment plants and
their injection capacity;
(b) specification of flowlines to be used in the injection process;
and
(c) details on the timeline for construction and installation of any
equipment and plant necessary for pressure maintenance or
secondary or tertiary (enhanced) recovery upon commencement
of production.
(d) any other information the Authority may require.
(5) A contractor shall, in the annual development and production
work programme and budget, provide information on the volumes of
water and natural gas, steam and other liquids or chemicals to be
injected.
80. (1) A contractor shall not drill a disposal well or alter an
existing well to be a disposal well without prior obtainment of a disposal
well permit required under the Petroleum (Upstream and Midstream
Environment, Safety and Health) Regulations, 2024.
(2) A contractor shall not drill an injection well or alter an
existing well for the purpose of commercial injection, including for
purposes of–
(a) pressure maintenance;
(b) enhanced recovery;
(c) gas storage; and
(d) other commercial purpose.
without prior obtainment of a drilling permit or approval of
revision of a drilling permit and associated well plan, and approval of
a field development plan or its modification as provided in these
Regulations.
DIVISION 4 OPERATION AND MAINTENANCE OF
UPSTREAM PETROLEUM FACILITIES
77. (1) Every petroleum facility shall be operated in compliance with
the Act, any other applicable Kenyan laws, standards and best
petroleum industry practices approved by the Authority.
(2) Not later than ninety (90) days prior to commencement of
petroleum operations a contractor shall submit to the Authority for
approval a code of operations for the facility.
(3) Equipment and protective systems intended for use in
potentially explosive atmospheres on installations, and devices for use
outside the potentially explosive atmosphere, shall comply with the
requirements contained in any other written law.
(4) Prior to commencement of petroleum operations, a contractor
shall submit to the Authority for approval a code of operations for the
facility. The code shall be reviewed by contractor in accordance with a
schedule or triggers agreed with the Authority and substantial changes
implemented or to be implemented into facility operation shall be
approved by Authority.
78. (1) A contractor shall notify the Authority in writing not less
than thirty (30) days before any planned shut-down of a facility.
(2) A contractor shall, immediately notify the Authority and
Cabinet Secretary —
(a) on the occurrence of any operational incident resulting in the
shut-down of the facility or any part of the facility or resulting
in putting out of use of any plant, machinery or installation; or
(b) on the occurrence of any other emergency resulting in the shut-
down.
(3) The notification under sub-regulation (2) shall state—
(a) the reasons for the shut-down or putting out of use of the
facility, its estimated duration and its possible effect on the
production commitment of the facility; and
(b) the steps, if any, taken or proposed to be taken to avoid a
recurrence of the incidents or circumstances that led to the
shut-down or putting out of use.
(4) Based on notification received from a contractor the Cabinet
Secretary may, in accordance with section 71 of the Act order that the
petroleum activities be suspended to the extent necessary or may
impose particular conditions to allow continuation of the activities.
(5) Petroleum operations may be suspended by the Cabinet
Secretary, where any of the following circumstances exist—
(a) extreme weather conditions including floods, wind or any
other conditions that may affect the operation of the facility;
(b) political instability including war that may lead to disruption
of petroleum activities;
(c) operations resulting into acute pollution to the environment;
and
(d) any other condition likely to affect public or employee’s health
and safety or safety of property.
79. Any person responsible for structures, facilities, equipment
and any other property used for and in connection with petroleum
operations shall maintain such in good condition and repair.
80. (1) Process and auxiliary facilities with equipment and
components shall be subject to condition monitoring and maintenance
in accordance with a maintenance schedule.
(2) Maintenance shall comprise of routine, preventative,
scheduled, turn-around maintenance or any other type of maintenance
as a contractor may deem necessary.
(3) Preventative maintenance schedules on critical equipment shall
be prepared and submitted to the Authority annually at the beginning
of each calendar year.
(4) Testing conditions for facilities, equipment and components
shall be specified in the maintenance schedule.
(5) Registration of failures and replacements in order to ensure
compliance with specified criteria shall be included in the
maintenance schedule.
(6) The facilities shall be periodically examined for corrosion, and
corrosion protection systems and any devices installed shall be
checked regularly, in accordance with Kenya standards and best
petroleum industry practices approved by the Authority, to ensure
effective performance.
(7) Leak detection shall be carried out regularly. All scheduled turn-
around maintenance shall be submitted to the Authority at least three
(3) months prior to its commencement and a monthly progress report
of the maintenance shall be submitted to the Authority until
completion.
(8) As soon as practicable, but not later than forty-eight (48)
hours, a contractor shall notify the Authority of unplanned
maintenance works, causes for such maintenance and tentative
schedule for completion of maintenance works. Upon completion of the
unplanned maintenance works, a contractor shall furnish the Authority
with a report within fourteen (14) days.
(9) Operational experience may be collected and treated
systematically for use in regularity analyses and for improvements of
equipment and operations of importance to safety.
(10) A contractor shall document condition monitoring and
maintenance necessary for maintaining the specified safety level at the
facility.
10th July, 2025 THE KENYA GAZETTE
(11) A contractor shall define the responsibility for initiation,
implementation and verification of condition monitoring and
maintenance.
81. (1) A contractor shall take measures to prevent the occurrence
of leaks and promptly identify and stop any leaks from piping or other
equipment within the facility.
(2) A contractor shall document any leaks identified under sub-
regulation (1) and submit a report to the Authority within forty-eight
(48) hours after detection of the leak, indicating measures taken to
rectify the leak.
(3) Where a contractor detects a leak under sub-regulation (1), the
contractor shall;
(a) repair the leak immediately and in any case not more than
seven (7) days after the leak is detected; and
(b) undertake a component recheck after repair and if the leak is
still present or a new leak is created by the repair, perform
further maintenance until the leak is stopped.
82. (1) A contractor shall conduct monitoring of petroleum
facilities and associated equipment in accordance with the
manufacturer’s manual, Kenya standards and best petroleum industry
practices approved by the Authority and submit records to the
Authority.
(2) Pipeline valves and pressure relief valves shall be marked or
noted so that their location is readily obvious to a contractor and any
other person performing the monitoring.
(3) Where liquids are observed dripping from a pump seal, the seal
shall be checked promptly with a portable detector to determine if a
leak of volatile organic compound is present.
(4) Where a relief valve operates and venting to the atmosphere
occurs, a contractor shall monitor the valve promptly.
(5) The pressure relief devices which are tied in, to either a flare
header or vapour recovery device shall be exempted from the
monitoring requirements.
(6) When a leak is located, a weatherproof and readily visible tag
bearing an identification number and the date on which the leak was
identified shall be affixed to the leaking component and the location,
tag number, dates and stream composition of the leak shall be noted on a
survey log.
(7) When the leak is repaired, the date of repair and instrument
reading of component recheck after maintenance shall be entered in
the survey log and the tag discarded.
(8) A contractor shall retain the survey log for at least two (2)
years after the inspection is completed or any other period requested
by the Authority.
(9) Where the Authority requests, a contractor shall demonstrate
to the satisfaction of the Authority why the repairs could not be
completed within the initial seven (7) day period in Sub-Regulation
81(3)(a).
83. (1) A contractor may from time-to-time review leak
monitoring requirements and shall request the Authority in writing for
approval of the revised leak monitoring requirements.
(2) The request for approval under sub-regulation (1) shall include
data developed to justify modifications in the monitoring schedule.
(3) Where the Authority finds an excessive number of leaks
during an inspection, or where the person in charge of a facility finds
and reports an excessive number of leaks in a given area during
scheduled monitoring, the Authority may increase the required
frequency of contractor’s inspections for that part of the facility.
(4) Where the Authority is satisfied that the monitoring
requirements referred to under sub-regulation (1) complies with the
requirements of the Act and these Regulations, the Authority shall
approve the monitoring schedule within fourteen (14) days from the
date of submission by a contractor.
84. (1) A contractor shall use monitoring and testing methods that
meet Kenyan standards and best petroleum industry practices
approved by the Authority.
(2) A contractor may use alternative monitoring methods if it is
demonstrated to the satisfaction of the Authority that the alternative
methods shall achieve equivalent or higher control efficiency.
85. (1) The piping arrangement shall comply with applicable
Kenya standards or best petroleum industry practices as approved by
the Authority.
(2) In addition to loads prescribed in Kenya standards or best
petroleum industry practices approved by the Authority, loads caused
by abnormal conditions, such as fluids hammer, shall be taken into
account in analysis of load effect.
(3) In analyses of load effect, a contractor shall –
(a) take into consideration the loads transferred to associated
equipment; and
(b) in the case of piping arrangements on installations with large
movements, give special consideration to deformations and
movements of the installation under specified environmental
conditions.
86. (1) A contractor shall ensure that rigid pipes smaller than three
fourths (¾) inches are protected if exposed to the hazard of being
broken by an externally applied force.
(2) A contractor shall ensure that vessels used for the storage of
high-pressure petroleum have an allowance for thermal expansion in
accordance with Kenya standards and best petroleum industry
practices approved by the Authority.
87. (1) A contractor shall put in place measures and adopt
standards for fluid loading and unloading facilities and operations.
Such measures and standards shall be in compliance with Kenyan
laws, standards and best petroleum industry practices approved by the
Authority.
(2) The measures referred to under sub-regulation (1) shall provide
mechanisms for preventing and minimizing pollution to the
environment, accidents and the danger to the health and safety of the
employees.
88. (1) A contractor shall ensure that fired experimental
equipment, fired pilot plant units, and unfired equipment, which is a
part of, and adjacent to the experimental or pilot plant units, are
located in an open area or enclosure isolated from unrelated gas or
light oil processing equipment.
(2) The requirement of sub-regulation (1) does not exclude the
temporary use of operating equipment for experimental or pilot plant
purposes when protection equivalent to isolation is provided.
(3) For purposes of these Regulations, “experimental equipment”
does not include equipment used in routine testing or analysis.
(4) A contractor shall make provision for the handling of oil and
samples with a minimum release of gases and vapours.
(5) A contractor shall ensure that safe access is provided to
elevated parts of equipment where employees are required to perform
work.
Sub-division 3 - Measurement of petroleum
89. (1) A person shall not bypass a metering system.
(2) Contractors shall be responsible for ensuring that all
metering equipment comply with these Regulations.
(3) A contractor shall implement redundancy or backup
systems to ensure continuous metering accuracy and data integrity in
the event of equipment failure.
90. (1) A contractor shall for the purposes including but not
limited to a custody transfer, fiscal metering, reservoir management
measure or weigh all petroleum produced and saved from the contract
area, by a method or methods approved by the Authority.
(2) When technology or methods not described in recognised
standards are to be used, criteria for development, testing and
operation are required to be submitted to the Authority.
(3) A contractor shall submit for approval to the Authority the
system of measurement, proposed methods, equipment and procedures
to be used to measure production and sales of petroleum.
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(4) An application referred to in sub-regulation (2) shall be
accompanied by at least the following information:
(a) full specification, with dimensioned drawings and relevant
descriptive material;
(b) proposed operating procedures, including calibration and
routine control;
(c) method for taking and keeping samples; and
(d) methods of laboratory analysis proposed for the determination
of all physical and chemical parameters.
(5) The Authority shall be given unrestricted access to the
metering stations, the control room, other equipment and systems used
for measurement of petroleum.
(6) A contractor shall not make any alteration in the method or
methods of measuring or weighing or any appliances used for that
purpose without the written approval of the Authority.
(7) The frequency at which metering equipment or appliances are
calibrated or tested shall be in accordance with the recommendation of
the manufacturer and shall meet Kenya standards and best petroleum
industry practices approved by Authority.
(8) The Authority shall at all times be present when an equipment
or appliance for metering petroleum is being calibrated, re-calibrated,
tested, verified, compared or measured to ensure that the equipment or
appliance is in accordance with Kenya standards and best petroleum
industry practices accepted methods and procedures agreed to by the
Authority.
(9) The Authority shall have the right to test and establish the
accuracy of fiscal metering appliances or equipment at any time
without prior notice to a contractor.
(10) The measuring or weighing equipment shall not be
repaired, altered or undergo maintenance without prior authorisation
from the Authority. The Authority representative shall be present
during repairs, maintenance or alterations of such equipment.
91. (1) A contractor, shall develop, implement and maintain a
quality management system for petroleum measurement in accordance
with these Regulations, Kenya standards and best petroleum industry
practices approved by the Authority.
(2) A contractor shall prepare a quality assurance manual for the
operation of the metering systems in accordance with best petroleum
industry practices approved by the Authority.
(3) A contractor shall ensure that procedures relating to operation,
maintenance, calibration, verification and control are followed.
(4) A contractor shall document the functional scope and areas of
responsibility of the personnel who carry out tasks in connection with
the metering system and shall describe the duties, responsibilities and
authority of the personnel.
(5) A contractor shall nominate a person responsible for the
metering system. The nominated person shall be responsible for
ensuring that procedures relating to operation, maintenance,
calibration, and control are followed.
(6) All personnel carrying out tasks related to the metering
systems shall possess documented qualifications within the relevant
technical field.
92. (1) The readings of a metering system shall be in SI units,
pressure may be in bar, and temperature may be in degree Celsius.
(2) The net volume of crude oil shall be determined in units of
cubic metres at a temperature of 15ºC and pressure of 1 atmosphere
(101325 Pa). The volume in barrels at 60ºF and 14.696 Psi shall also
be reported.
(3) The volume of gas shall be determined in units of cubic metres
at a temperature of 0ºC and a pressure of 1 atmosphere (101325Pa).
The volume in cubic feet at 60ºF and 14.696 psi shall also be reported.
(4) The alternative readings in oil field units may be determined
by the Authority.
(5) A contractor shall report petroleum measurements to the
Authority in SI units; and convert and report to the Authority the net
volume of oil in barrels.
93. (1) A contractor shall use gas composition from continuous
flow proportional gas chromatography or from automatic flow
proportional sampling for determining energy content.
(2) A contractor shall ensure that two independent systems are
installed for sales gas metering stations.
(3) When oil or gas is analysed to determine physical and/or
chemical properties and the analysis results are used for sale or
allocation purposes, this shall be carried out by an accredited
laboratory approved by the Authority.
(4) In determining barrels of oil equivalent for gas, a conversion
factor of 5.8 million British Thermal Units (BTU) per barrel shall be
used except as otherwise determined by the Authority.
94. (1) In-field metering of produced Petroleum for allocation to
field(s) or Blocks shall adhere to measurement uncertainty thresholds
not exceeding ±1% for liquid hydrocarbons and ±2% for natural gas.
(2) Any deviation from the specified measurement uncertainty
thresholds or industry standards shall be reported within twenty-four
(24) hours to the Authority.
(3) Reports submitted in accordance with sub-regulation ((2) shall
include information regarding the nature of the deviation, its potential
impact on measurement accuracy, and corrective actions taken to
address the issue.
(4) In-field metering equipment shall undergo regular calibration
at intervals specified by the manufacturer or as dictated by industry
best practices, but not less than once per year.
(5) Detailed records of all metering data, calibration results, and
maintenance activities shall be maintained and kept for a minimum of
ten (10) years or as otherwise provided in these Regulations.
(6) Such information, kept as prescribed under sub-regulation ((5)
above, shall be readily available to the Authority.
95. (1) The metering system shall be designed so that metering
errors are avoided or compensated for.
(2) The maximum allowable measurement uncertainty for flow
meters shall not exceed:
(a) for crude oil meters used for fiscal and custody transfer- 0.3%
of standard volume;
(b) for gas meters used for fiscal and custody transfer - 0.1
% of mass;
(c) for fuel gas meters – 1.5% of standard volume;
(d) for flare gas meters – 5.0% of standard volume;
(e) for liquified natural gas (LNG) used for sales measurement –
0.50 % of measured energy contents per ship load.
(3) A contractor shall document the total uncertainty of the
metering system and prepare an uncertainty analysis for the metering
that gives a confidence level of 95 % or higher.
(4) LNG shall be measured and analysed at the place of loading. A
contractor shall be responsible for, and shall document, that the
measurement system is in accordance with Kenya standards and best
petroleum industry practices approved by the Authority.
(5) A contractor may determine liquefied natural gas volumes in
connection with loading by use of traceable measured vessel tanks and
calibrated level gauges or any other method approved by the
Authority.
(6) The allowable uncertainty with respect to individual
components of the metering system shall meet Kenya standards and
best petroleum industry practices approved by the Authority.
(7) A contractor may use a linearity band as a test criterion when
accepting meters.
(8) The repeatability requirement shall meet Kenya standards and
best petroleum industry practices approved by the Authority.
96. The Authority shall place seals on all valves, downstream of a
metering station, to prevent offloading of petroleum without
authorization.
10th July, 2025 THE KENYA GAZETTE
97. (1) The installations of a fiscal metering system for the custody
transfer of liquids shall include the following key components
compatible with the fluid being measured:
(a) main inlet pipe;
(b) main outlet pipe;
(c) with a flow metering device;
(d) a calibrated closed verification circuit (bidirectional tester),
verification tank or connections to third party certification
equipment, such as a transfer meter, a portable calibration
verification closed circuit or other meter verification device;
(e) a sampling device actuated by the meter outlet flow;
(f) temperature and pressure measuring or compensating devices;
(g) computer system, prover and man-machine interface (MMI)
system.
(h) any other component as the Authority may require.
(2) The installations of fiscal metering system for custody transfer
of gas shall include the following key components and shall be
compatible with the gas to be measured:
(a) an orifice plate meter or other equipped with a flow computer
or similar device;
(b) a set of measuring tubes duly configured and with the
necessary straight extensions both upstream and downstream;
(c) a sampling device actuated by the meter outlet flow;
(d) a temperature and pressure measuring or compensating device.
(e) any other component as the Authority may require.
98. (1) A contractor shall ensure that a metering system, including
installation and equipment, comply with Kenya laws, Kenya standards
and best petroleum industry practices approved by the Authority.
(2) A contractor shall ensure that
(a) the metering system is suitable for
(i) the relevant type of measuring,
(ii) the liquid or gas properties, and
(iii) the petroleum quantities to be measured.
(b) the metering system can measure the full range of planned
petroleum flow without any component operating outside the
specified working range;
(c) errors in measurement that may be caused by similar drifting
in duplicated instruments due to process conditions are
minimised;
(d) each part of the metering system is easily accessible for
maintenance, inspection and calibration;
(e) external conditions do not affect the operation and
maintenance of the metering system;
(f) it is possible to safely remove an individual element from a
metering system for custody transfer measurements without a
shut-down of the production system;
(g) the metering system shall, to the extent possible, be equipped
with duplicated instrument functions for signals from primary
meters and instrumentation for facilitating condition-based
monitoring and reducing the need for preventive maintenance;
(h) signals from parallel metering runs shall be used in connection
with condition monitoring.
(i) wireless communication between different parts of the fiscal
metering system may be used ensuring that the metering
system integrity is maintained.
(j) parameters related to the fiscal calculations are readily
accessible in the computer part of the metering system or
through a service computer; and
(k) provision is made for condition monitoring.
99. (1) Multiphase meters shall not be used for fiscal metering.
(2) Notwithstanding sub-regulation (1), the Authority may, in
circumstances where single-phase metering of petroleum is not
possible, approve the use of multiphase meters for fiscal metering.
(3) A contractor shall present a concept with an estimate of the
expected measurement uncertainty to the Authority before submitting
a field development plan.
(4) A contractor shall document to the satisfaction of an Authority
the following elements of multiphase meters to allow its use -
(a) the description of the main principles of the operations and
maintenance philosophy;
(b) the possibility to calibrate meters against test separator or other
reference;
(c) redundancy in sensors and robustness in the design of the
metering concept;
(d) relevant pressure, volume and temperature model and
representative sampling opportunity to be able to perform a
sound pressure, volume and temperature model (PVT)
calculation;
(e) design of inlet pipes to ensure similar conditions if multiple
meters are used in parallel;
(f) flexibility in the system for handling varying gas volume
fraction (GVF);
(g) a description of the planned method for condition monitoring
and planned calibration interval;
(h) a description of the planned method and interval for sampling
and updating PVT data; and
(i) any other information that the Authority may require.
(5) Where multiphase meters are part of the fiscal metering
system, they shall be treated as other fiscal metering equipment and
shall be in accordance with these Regulations, Kenya standards and best
petroleum industry practices approved by Authority.
100. (1) A contractor shall ensure that—
(a) the mechanical part of the metering system is designed to meet
Kenya standards and best petroleum industry practices
approved by the Authority;
(b) during design, provision is made for necessary redundancy
and the possibility of verification of the gas and liquid
metering devices;
(c) when turbine meters are used for liquid metering, a permanent
prover is available for calibration of the metering devices and it
is possible to calibrate the prover at the place of operation; and
(d) where other types of flow meters are used for liquid metering,
permanent equipment for calibration of the metering device is
available.
(2) A contractor shall ensure that surrounding equipment do not
affect the measured signals.
101. A contractor shall ensure that the metering system
instrumentation is able to measure pressure, temperature, density and
composition of petroleum to ensure representative input signals for the
fiscal calculations.
102. (1) A contractor shall ensure that the computer part of the
metering system shall be designed to ensure that fiscal calculations
can be carried out within the stipulated maximum allowable
measurement uncertainty;
(2) The computer part of the metering system shall be equipped
with various security functions to ensure that the fiscal values cannot
be changed as a result of incidents of a technical nature or as a result of
a manual fault.
(3) The computer part shall have uninterruptible power supply. A
power failure shall not be able to cause measured fiscal data to be lost
from the storing unit of the computer.
(4) The computer part shall be capable of detecting any faults and
documenting the various fiscal parameters, and the fiscal volumes
calculated.
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(5) Any fault detection shall trigger an alarm and activate an
automatic back-up of the system.
103. (1) A contractor shall carry out sampling in a manner that
will ensure that representative samples are collected.
(2) Sampling shall be automatic and flow proportional with
additional functionality for sampling to be carried out manually.
(3) A contractor shall ensure that for oil and condensate the
necessary mixing equipment is installed upstream of the sampling
probe.
(4) The Authority shall prescribe the frequency and manner in
which sampling in done.
104. (1) A contractor shall ensure calibration and
verification of a metering system is undertaken at the place of
operation prior to start-up.
(2) The Authority shall be present when calibrations and
verifications are carried out.
(3) When calibration of a mechanical part of a metering system is
taking place a contractor shall ensure –
(a) the prover volume shall be calibrated:
(i) before the metering system is delivered from the place of
manufacture;
(ii) prior to start-up at the place of operation.
(b) the mechanical parts that are critical to measurement
uncertainty shall be measured or subjected to flow calibration
in order to document calibration curve.
(c) the fully assembled fluid metering system shall be flow tested
at the place of manufacture and a functional test shall be
performed upon installation and prior to start-up at the place of
operation.
(4) When calibration of the instrument part of the metering system
is taking place a contractor shall ensure –
(a) the instrument loops are calibrated and the calibration results
are accessible;
(b) the instrument loops are calibrated at a number of values
necessary to detect any non-linearity errors within its working
range.
(c) calibration of the instrument loops shall be carried out using
the display reading of the visual signal from the computer part.
(5) When verification of computer part of the metering system is
taking place a contractor shall ensure –
(a) verification is carried out for each metering tube to confirm
that all functions are operational.
(b) each independent program routine is verified to show that
calculations are carried out with accuracy requirements equal
to or better than those in Regulation 95.
(c) integration shall be verified with at least three values in the
flow range.
(d) calculations for calibrations provided in paragraph 3 of these
sub-regulation shall be verified. This includes K-factor in
respect of the individual calibration and the average value
within the predetermined range of variation.
(6) The Authority may develop guidelines for any aspect of
metering not covered under these Regulations.
105. (1) A contractor shall ensure that the metering
system is maintained to the standard according to which it is designed.
(2) A contractor shall ensure that the equipment which is an
integral part of the metering system, and which is of significant
importance to the measuring uncertainty, shall be calibrated using
traceable equipment before start of operation, and subsequently be
maintained to that standard.
(3) A contractor shall ensure that a meter prover volume is
calibrated annually. Calibration shall also be carried out if the volume
may have changed as a result of equipment failure.
(4) For operation of the flow meters a contractor shall ensure
that—
(a) where turbine meters are used for metering of petroleum, they
are calibrated against the permanent meter prover with a
repeatability that conforms with the manufacturer’s
recommendation; Kenya standards and best petroleum industry
practices approved by the Authority;
(b) the calibration factor for the flow meters is within the control
limits according to the recommendation of the manufacturer
standards, Kenya standards and best petroleum industry
practices approved by the Authority;
(c) flow meters installed after a work-over, modification or
replacement are immediately calibrated to verify that they
meet the requirements for linearity and repeatability.
(5) For operation of the instrument part a contractor shall ensure
that—
(a) sensors are monitored continually and regularly calibrated in
accordance with these Regulations, Kenya standards and best
petroleum industry practices approved by the Authority;
(b) calibration comprises of several values in the sensor’s
operating range;
(c) where the outlet signals from the sensors deviate from the pre-
set limits, necessary maintenance and subsequent new
calibration is undertaken;
(d) calibration methods used ensure that systematic metering
errors are avoided or compensated for;
(e) gas densitometers are verified against calculated density or
other relevant methods;
(f) online gas chromatographs are validated against a traceable
reference gas with a stipulated frequency;
(g) pursuant to the uncertainty statement referred to in Regulation
95, validation criteria are stipulated and if a gas chromatograph
is outside the stated criteria during validation, calibration is
performed and new factors are established;
(h) new validation is performed following a correction to confirm
that the gas chromatograph is within the given test criteria; and
(i) variations in gas composition are monitored and, where
variations exceed ± 5%, a reference gas with a different calorific
value and a new linearity test is considered.
(6) For operation of the computer part a contractor shall ensure
that-
(a) all data is filed regularly.
(b) procedures are in place for handling of fault messages from the
computer part or faults otherwise discovered.
(c) where software changes and replacement of computer parts are
done, an independent verification is carried out for the
calculation requirements of the computer part.
106. (1) The Authority shall have an unrestricted access to
petroleum installations for inspection of metering systems, verification
of the operations and measurement reports.
(2) The inspections shall include:
(a) verification of the metering systems installed according to
these Regulations, Best Petroleum Industry Practices approved
by the Authority and in accordance with the manufacturers’
recommendations;
(b) inspection of the state of the metering systems and
instruments;
(c) verification of seals and respective control sheets;
(d) monitoring of inspections of tanks and metering systems;
(e) monitoring of calibration of the systems and instruments;
(f) monitoring of the measuring operations;
(g) verification of calculations of the volumes;
(h) verifications of computer systems;
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(i) monitoring of the sampling and laboratory analysis operations;
(j) verification of the measurement, testing and calibration
reports; and
(k) Any other matter the Authority may deem necessary to inspect.
(3) The contractor shall provide all the information, instruments
and equipment necessary for the inspections and should fully
cooperate with the Authority.
107.
(2) when a fault is detected in a meter, such meter shall be removed
from operation for its adjustment or calibration and replaced by
another calibrated meter approved by the Authority.
(3) when the fault is detected the production affected will be
considered to be production from the preceding calibration or during
the twenty-one (21) days immediately prior to calibration; and
(4) A contractor shall notify the Authority in writing within
twenty-four (24) hours of the occurrence of a fault in the production
measuring system, and of any other operational incidents that may
cause an error in measurement or when there is total or partial
interruption of measurement. A notification shall include an estimate
of the volumes affected.
108. (1) The measuring points of petroleum shall be operated
and maintained in such a way as to prevent any loss or theft of
production and guarantee precise and adequate measurement.
(2) The components of the measuring devices for sales (measuring
units and tanks) shall be sealed in order to prevent any falsification.
(3) Any tamper proof seals shall be approved by the Authority,
numbered and recorded.
(4) A list of the numbers on the seals and the location of the
measuring installations shall be kept at the field installations and be
available for inspection by the Authority.
(5) The computer part of the metering system shall include
sufficient security functions to ensure that the fiscal values cannot be
changed as a result of incidents of a technical nature or as a result of a
manual fault.
Sub-division 4 – Viable use and sustainable markets for associated
and/or non- associated natural gas
109. (1) The terms and conditions related to development and
production of natural gas shall be specified in the relevant petroleum
agreements;
(2) A contractor may use natural gas in operations as a fuel and for
re-injection, provided that the use is made in reasonable quantities and
the re-injection is carried out in a manner compatible with the best
petroleum industry practices and is subject to approval of the field
development plan and the requirements set out in Regulation 38(2).
(3) Where any excess natural gas may require flaring, a contractor
shall submit the request for consideration of approval by the Authority
in accordance with the Act and any other written laws.
110. (1) Where a contractor makes a natural gas
discovery under the terms of a petroleum agreement, within a period
specified in such agreement, a contractor shall prepare and submit to
Cabinet Secretary and the Authority a report that shall include, among
others:
(a) potential market for natural gas,
(b) expected volumes for such market,
(c) infrastructure potentially required to access such market,
(d) expectations of price for the natural gas supplied to such
market, and
(e) identify options including time frames for marketing the
natural gas within three (3) years after the discovery evaluation
is completed.
(2) A contractor shall be responsible for investigating market
opportunities and seek to develop a market for natural gas produced
from the relevant development area and may sell such natural gas in
accordance with the petroleum agreement and any other written law.
(3) The Cabinet Secretary shall review and approve all natural gas
contracts prior to execution.
DIVISION 4 – DECOMMISSIONING AND ABANDONMENT
OPERATIONS
Sub- division 1 - Plugging and abandonment of wells
111. (1) A contractor shall not plug and abandon a well without
a plugging and abandonment permit for the well.
(2) Notwithstanding of the sub-regulation (1), a contractor may
suspend a well upon approval of the Authority for the purpose of
conversion to production wells, injection wells, mitigating an
emergency or for any other reason.
112. (1) A contractor shall apply for a well plugging and
abandonment permit to the Authority in writing at least two (2)
months before the commencement of plugging and abandonment
operations and shall be accompanied by an abandonment plan.
(2) An application for well plugging and abandonment permit
shall include:
(a) a duly filled application form as provided in Schedule VI;
(b) evidence of payment of applicable fees as prescribed in
Schedule IX;
(c) the global positioning system (GPS) location of each well;
(d) a well plugging and abandonment plan as provided in
Schedule VI;
(e) a list of relevant stakeholders and the local community likely
to be affected by the operations and their respective contact
details, and
(f) any other relevant information required by the Authority.
(3) Where it is determined based on best petroleum industry
practices that a well requires to be immediately plugged and
abandoned, the contractor shall apply to the Authority for approval
before commencement of such plugging and abandonment operations.
The application shall contain all available information under sub-
regulation (2).
(4) The Authority shall within seven (7) days upon receipt of an
application under sub-regulation (3), approve or reject the application.
Regulations 113, 114, 115, 116, 117, and 118 shall apply as far as
practicable based on the available information and prevailing
circumstances.
113. The Authority shall
(a) submit a copy of the well plugging and abandonment plan to
the Government agency responsible for environmental
management in accordance with Section 24(5)(e) of the Act
for review and approval;
(b) arrange for a public participation in compliance with
subsection 24(9) of the Act and Regulation 23.
(c) inform a contractor in writing of the decision of the Authority
within two (2) months upon submission of an application.
114. (1) The Authority shall issue a plugging and abandonment
permit if the Authority is satisfied that -
(a) the information and the well plugging and abandonment plan
include the information specified in Schedule VI;
(b) the well plugging and abandonment plan is appropriate for the
nature and scale of plugging and abandonment operation; and
(c) the Health, Safety and Environment components of the well
plugging and abandonment plan is approved by the
Government agency responsible for environmental
management.
(2) The Authority shall not approve a well plugging and
abandonment permit if it is not satisfied that it meets the requirements
of sub-regulation (1).
(3) The Authority may consider any reasonable matter in deciding
to approve or reject an application for a well plugging and
abandonment permit and will provide a reasonable justification for its
decision.
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115. (1) The Authority may reject a well plugging and
abandonment permit for the following reasons:
(a) public safety or
(b) other reasonable justification.
(2) A well plugging and abandonment permit issued by the
Authority is subject to conditions specified in such well plugging and
abandonment permit.
(3) A well plugging and abandonment permit shall be for the
period required to complete all required well plugging, abandonment,
reclamation and restoration operations.
(4) A contractor is required to conduct well plugging,
abandonment and restoration operations in compliance with applicable
laws, standards, terms and conditions of the issued permit.
(5) A person shall not transfer a well plugging and abandonment
permit except with the prior approval in writing by the Authority.
116. (1) A well plugging and abandonment permit
issued by the Authority under these Regulations shall not be changed
or modified without the prior approval of the Authority.
(2) A contractor may apply to the Authority for the revision of
well plugging and abandonment permit accompanied by the
documents required under sub-Regulation 112(2) explaining the
reasons for changes or modifications.
117. (1) Where a well is to be plugged and abandoned, the
plugging and abandonment shall be done in a safe and efficient
manner and shall be in accordance with the well plugging and
abandonment plan approved by the Authority.
(2) The abandonment of a well must guarantee the isolation of
geological formations by means of cement plugs or appropriate
alternatives, to prevent the leakage and migration of fluids.
(3) The removal of equipment from wells must be preceded by
diagnoses to assess the technical conditions.
(4) Well abandonment must be differentiated according to the
architecture and path of the well and the characteristics of the
reservoirs.
(5) A risk assessment shall be carried out in relation to all wells
which must be permanently abandoned as a consequence of
radioactive sources which may have been left in the well.
(6) Well plugging and abandonment shall be undertaken in
accordance with applicable Kenyan laws, standards, and Best
Petroleum Industry Practices approved by the Authority.
(7) The location of an abandoned well shall be restored
immediately after the abandonment, unless otherwise authorized by the
Authority, to near the original site condition to the extent possible.
(8) Onshore wells shall be marked with the well name and number
in a manner approved by the Authority.
(9) A contractor shall obtain an independent verification from an
independent and competent entity approved by the Authority that well
plugging and abandonment have been completed in accordance with
the approved well plugging and abandonment plan.
118. (1) An inspection shall be carried out by the Authority after
the well has been plugged and abandoned.
(2) The scope and frequency of post-abandonment inspections
shall be determined by a contractor but, as a minimum, twice within
fifteen (15) months from the completion of the abandonment.
(3) Any requirement for an additional inspection shall be based on
the stability, degradation and environmental impact.
Sub- division 2 – Decommissioning and abandonment of
petroleum facilities
119. A contractor or permit holder shall comply with the
following requirements in execution of decommissioning and
abandonment operations of petroleum facilities:
(a) decommissioning operations shall be conducted in accordance
with applicable Kenya laws, standards, or best petroleum
industry practices approved by Authority and provisions of
petroleum agreements to guarantee integrity of the abandoned
wells and decommissioned facilities;
(b) ensure, to the satisfaction of the Authority, safety of local
communities in the areas previously subjected to the petroleum
operations;
(c) ensure, to the satisfaction of the Authority, funding of the
amount necessary for the decommissioning operations in
compliance with Kenya law and terms of a petroleum
agreement;
(d) ensure, to the satisfaction of the Authority, the adequate
removal, reuse, recycling and disposal of materials and
equipment resulting from the dismantling of the installations;
(e) ensure, to the satisfaction of the Authority, correct handling,
treatment, transport and final disposal of all the waste
produced, including naturally occurring radioactive material
and drill cuttings in compliance with applicable law.2024
(f) any other requirement the Authority may prescribe.
120. (1) A contractor shall prepare and submit a field
decommissioning plan to the Authority as part of the field
development plan, which shall be the preliminary field
decommissioning plan.
(2) A contractor shall update the preliminary field
decommissioning plan and shall submit it to the Authority as part of
the application for a production permit in accordance with Section 32 of
the Act and these Regulations.
(3) The field decommissioning plan shall include the forecast of
the funds necessary for its implementation, including a breakdown of
the calculation of the cost of abandonment of the wells and
dismantling of facilities, which forms an integral part thereof.
(4) Upon commencement of production, a contractor shall review
and update field decommissioning plan and submit it to the Authority
90 (ninety) days prior to the beginning of each subsequent calendar
year. If the Authority recommends an amendment to the updated
field decommissioning plan, a contractor shall submit the amended
plan for approval.
(5) The Authority shall review the updated field decommissioning
plan or an amendment within 60 (sixty) days from the date of
submission of the plan or amendment.
(6) The Authority shall upon the review under Sub-regulations (2)
or (5) issue its decision in writing. In the case of a rejection, the
reasons shall be provided to by the contractor and the contractor shall
within thirty (30) days resubmit a revised plan to the Authority for
review within sixty (60) days of such resubmission.
(7) Resubmission of the revised plan out of time or non-
compliance with directions given by the Authority to the contractor
amounts to an offence under Regulation 155.
121. A contractor shall not decommission or abandon an
upstream petroleum facility without a permit. Such a permit shall also
amount to an approval of the final decommissioning plan.
122. (1) A contractor shall apply for a permit to decommission or
abandon an upstream petroleum facility to the Authority in writing at
least twelve (12) months before commencement of decommissioning
or abandonment operations and the application shall be accompanied
by a final decommissioning plan.
(2) An application for a permit a permit to decommission or
abandon shall include:
(a) a duly filled application form as provided in Schedule VII;
(b) evidence of payment of applicable fees as prescribed in
Schedule IX;
(c) a final field decommissioning plan as provided in Schedule
VII;
(d) an environmental and social impact licence;
(e) a list of relevant stakeholders and the local community likely
to be affected by the operations and their respective contact
details; and
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(f) (f) any other relevant information required by the Authority.
123. The Authority shall
(a) arrange for a public participation in compliance with sub-
section 24 (9) of the Act and regulation 23; and
(b) inform a contractor in writing of the decision of the Authority
within six (6) months upon submission of an application.
124. (1) The Authority shall not grant a permit to decommission
or abandon an upstream petroleum facility if it is not satisfied that it
meets the requirements of sub-regulation 122(2).
(2) The Authority may reject an application for a permit to
decommission or abandon an upstream petroleum facility for reasons
of;
(a) public safety, or
(b) other reasonable justification.
(3) A permit to decommission or abandon an upstream petroleum
facility issued by the Authority is subject to conditions specified in
such permit.
(4) A permit to decommission or abandon an upstream petroleum
facility shall be for the period required to complete all required
decommissioning, abandonment and restoration operations.
(5) A contractor is required to conduct decommissioning or
abandonment operations in compliance with applicable laws,
standards and terms and conditions of the permit.
(6) A person shall not transfer a permit to decommission or
abandon an upstream petroleum facility except with the prior approval
in writing of the Authority.
125. The Authority shall approve an application by issuing a
permit to decommission or abandon an upstream petroleum facility
under Regulation 122 if the Authority is satisfied that
(a) the information and the final decommissioning plan include
the information specified in Schedule VII;
(b) the final decommissioning plan is appropriate for the nature
and scope of decommissioning and abandonment operation; and
(c) the environmental impact assessment is approved by the
Government agency responsible for environmental
management.
126. (1) A permit to decommission or abandon an upstream
petroleum facility issued by the Authority under these Regulations
shall not be changed or modified without the prior approval of the
Authority.
(2) A contractor may apply to the Authority for the revision of
decommissioning and abandonment permit accompanied by the
documents required under sub-regulation 122(2) explaining the
reasons for changes or modifications.
127. (1) A contractor is required to conduct decommissioning,
abandonment and restoration operations of upstream petroleum
facilities in compliance with applicable Kenya laws, standards, terms
and conditions of the issued permit and best international practices
approved by the Authority.
(2) On execution of a decommissioning plan a contractor shall
ensure that all areas affected by the petroleum operations are restored
to as near original state as possible, unless otherwise provided in the
approved final decommissioning plan.
(3) Upon completion of decommissioning, abandonment and
restoration operations of upstream petroleum facilities a contractor
shall obtain an independent verification, from an independent and
competent entity approved by the Authority, that the decommissioning
has been completed in accordance with the approved final
decommissioning plan.
128. (1) The Authority may direct a contractor to dismantle
petroleum facilities in total or partially in compliance with the
framework provided in Schedule VII. Such dismantling options shall
be approved by the Authority in the final decommissioning plan.
(2) In the process of decommissioning and dismantling onshore or
offshore petroleum facilities a contractor shall comply with Kenyan
laws, standards, and Best Petroleum Industry Practices approved by
the Authority.
129. (1) A decommissioning fund shall be established in
compliance with the Act and requirements of the petroleum
agreement.
(2) A contractor shall pay the funds in accordance with the
requirements of the Act and respective petroleum agreement.
(3) Decommissioning funds shall be set aside in a separate US
Dollar interest bearing escrow account in the joint names of the
contractor and the Government, established at a mutually acceptable
financial institution in Nairobi, Kenya to be used solely for paying the
decommissioning costs.
(4) The escrow account shall be controlled by a committee
comprised of one (1) representatives of the contractor, one (1) official
of the Ministry, one (1) official of the Authority, and one (1)
representative of the County Government within which a major
portion of a field(s) is located.
(5) The committee members shall administer and account for the
funds in the escrow account only for activities outlined in the final
field decommissioning plan.
(6) An escrow agent shall comply, at all times, with the minimum
credit rating requirements determined by the Central Bank of Kenya
(7) An escrow agreement shall complement the petroleum
agreement and shall be implemented to meet the decommissioning and
abandonment requirements.
130. (1) A contractor shall submit the report on implementation
of a decommissioning plan, not later than three (3) months after
decommissioning has been completed.
(2) The report specified in sub-regulation (1) shall include:
(a) information on the decommissioning work carried out;
(b) how the plugging and abandonment of wells was executed;
(c) the description of final abandonment or dismantling of
petroleum facilities covered by the decommissioning plan,
where applicable;
(d) an overview of actual expenditures;
(e) monitoring activities;
(f) an independent verification report as required under sub-
regulation 127(3); and
(g) any other information that may be required by the Authority.
(3) The Authority may, on receipt of a report under this regulation,
request for additional information.
(4) Subject to sub-regulation 131(2), where the Authority is
satisfied that all decommissioning work completed in compliance with
approved field decommissioning plan and terms and conditions of the
permit to decommission or abandon an upstream petroleum facility the
Authority shall issue a completion certificate to a contractor.
(5) Where the Authority is not satisfied that all decommissioning
operations were completed in compliance with the final field
decommissioning plan or terms and conditions of the permit to
decommission or abandon an upstream petroleum facility, it may
require a contractor, in writing, to rectify deficiencies within the
period specified in such requirement.
131. (1) A contractor or permit holder shall be liable for damage or
loss arising in connection with decommissioning of upstream petroleum
facilities in compliance with Section 44 of the Act and any other
applicable Kenyan law.
(2) Notwithstanding sub-regulation 130(4) , and subject to sub-
regulation 127(3) a contractor or permit holder shall retain residual
liability in perpetuity for abandoned facilities in compliance with
Kenyan law.
(3) Where upstream petroleum facilities are transferred to the
National Government their maintenance and liability is assumed by
the National Government upon financial compensation by the
contractor to the National Government for future decommissioning
and abandonment. Such financial compensation shall be determined
by the Cabinet Secretary with the advisory of the Authority.
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(4) Where upstream petroleum facilities are transferred to the
National Government the decommissioning fund shall also be
transferred and the slot of the contractor in the committee established
under 129(4) shall be taken over by the National Government.
PART III - DATA MANAGEMENT AND REPORTING
Division 1 – General requirements applicable to data management
and reporting
132. The ownership of all data shall be vested in the National
Government.
133. The Authority may license a person who wishes to obtain
any proprietary data rights under such terms and conditions as may be
prescribed in a licensing agreement.
134. (1) A contractor or a non-exclusive exploration permit
holder shall -
(a) prepare, document and retain data, documents and information
necessary to ensure that petroleum operations are planned and
executed in a prudent manner as from time to time defined by
the Cabinet Secretary or the Authority; and
(b) ensure that documents demonstrating compliance with
requirements stipulated under these Regulations and any other
applicable law can be provided.
(2) The documents and information specified in sub-regulation (1)
shall be -
(a) available in Kenya; and
(b) provided to the Authority and an authorised person in
compliance with Kenya laws.
(3) Unless otherwise provided, a contractor shall keep the
documents and information for as long as the documents provide
necessary information about the petroleum operations of that
contractor, sub-contractor, or a non-exclusive exploration permit
holder, but in any case, for a minimum period of not less than ten (10)
years.
(4) Where a contractor wishes to destroy any data or documents or
information relating to petroleum operations it shall submit to the
Authority a list of the documents and information prior to the
destruction of the documents or information.
(5) Upon the receipt of the list specified in sub-regulation (4), the
Authority may within a reasonable time request a contractor to submit
the documents or information specified in the list for safekeeping.
(6) A contractor or a non-exclusive exploration permit holder shall
provide all data to the Authority upon surrender or termination of
petroleum rights granting instruments.
(7) No person shall publish, distribute, share, sell, license or
otherwise deal in data acquired in Kenya without prior written
approval of the Cabinet Secretary.
135. (1) A contractor or a non-exclusive exploration permit
holder shall ensure that all reports and data submitted to the Authority or
Cabinet Secretary is submitted in the manner specified by the
Authority or Cabinet Secretary.
(2) Unless otherwise provided, all reports and data required to be
submitted to the Cabinet Secretary or the Authority under the Act,
these Regulations, petroleum agreements, shall be submitted in
physical, hard, and electronic format where applicable.
(3) Subject to sub-regulation (1) the Cabinet Secretary or the
Authority may require a contractor or non-exclusive exploration
permit holder to submit data and information to an authorised person
in a manner directed by the Authority.
(4) A contractor or a non-exclusive exploration permit holder shall
keep the Cabinet Secretary, or the Authority regularly and
fully informed about petroleum operations conducted under
petroleum agreement or a permit.
(5) A contractor and where applicable a non-exclusive exploration
permit holder shall provide the Authority with all information, data,
samples, interpretations and reports, including, but not limited to -
(a) progress and completion reports;
(b) reports which deal with location surveys, seabed conditions
and seafloor hazards and any other report which deals with the
location of wells, platforms or pipelines;
(c) reservoir investigations and estimates regarding reserves, field
limits and economic evaluations relating to future operations;
(d) daily, weekly, monthly, and other regular reports on petroleum
operations;
(e) comprehensive final reports upon the completion of each
specific project or operation; and
(f) contingency programmes and reports on safety and accidents;
(g) final well reports,
(h) PVT reports,
(i) measurement and calibration reports,
(j) report on natural gas market study,
(k) well tests reports,
(l) core analysis,
(m) well surveys,
(n) velocity surveys, and
(o) health safety and environment report.
(6) A contractor or a non-exclusive exploration permit holder shall
submit to the Authority and may retain for itself copies of the
following data during the petroleum agreement period: -
(a) data,
(b) well logs,
(c) maps,
(d) seismic tapes,
(e) other geological, geochemical and geophysical information,
(f) portions of core samples,
(g) cuttings and fluid samples and
(h) copies of reports, studies and analyses.
(7) A contractor shall, within ninety (90) days after the end of
each calendar year, or other period which may be prescribed in
petroleum agreement, submit to the Authority a report covering
petroleum operations performed in the contract area during that
calendar year.
(8) A report under sub-regulation (7) shall include
(a) a statement of
(i) the number of exploration wells, appraisal wells and
development wells drilled,
(ii) the depth of each well specified in sub-paragraph (i), and
(iii) a map on which drilling locations are indicated;
(b) a statement of any
(i) petroleum encountered during petroleum activities,
(ii) fresh-water layers encountered, and
(iii) other minerals discovered;
(c) a statement of the quantity of petroleum produced and of all
other minerals produced from the same reservoir or field;
(d) a statement of the quantity of petroleum flared and re-injected
and on the quantity of produced water;
(e) a summary of the nature and extent of all exploration activities
in the contract area; and
(f) a general summary of all petroleum activities in the contract
area.
10th July, 2025 THE KENYA GAZETTE
(g) Any other information as may be required by the Authority.
136. (1) A contractor or non-exclusive exploration permit
holder shall submit to the Authority all raw data arising out of
petroleum operations within the time frame and manner prescribed
under these Regulations, petroleum agreement, permit or as may be
specified by the Authority.
(2) Geological, geochemical, geophysical and engineering data to
be submitted to the Authority shall include a set of the raw data and a
set of processed data from all work carried out and all samples taken
together with interpretive material whether resulting from the survey or
from the integration of other regional geological, geochemical,
geophysical and engineering surveys, data and interpretations, with
that or other surveys or other work both within or outside of Kenya.
(3) A contractor shall submit to the Authority gravity and
magnetic data respectively which shall include—
(a) the position, elevation and value of gravity relative to a
recognized datum, stated for every observation point;
(b) where raw field gravity data has been recorded on magnetic
tape or any other storage media, one copy of the media in
standard industry format or as may be specified by the
Authority;
(c) the position, elevation, and the value of the magnetic field
intensity relative to a recognized datum, for every observation
point; and
(d) where raw field magnetic data has been recorded on magnetic
tape or any other storage media, one copy of the media in
standard industry format or as may be specified by the
Authority.
(e) Any other data as the Authority may require
(4) Seismic data submitted to the Authority shall include—
(a) copies of observer’s daily reports;
(b) a navigation tape on format approved by the Authority;
(c) a copy of all record sections on the producible film which shall
show all stacking velocities used, clearly displayed on the
record section, together with the results of all weathered zone
and velocity surveys acquired for whatever purpose;
(d) copies of all field tapes made before brute stack in formats
prescribed by the Authority;
(e) final stack tape of all seismic lines in a readable format that
shows all stacking velocities above the record section and
processing parameters on the header;
(f) copies of shot point base maps on appropriate scales on
reproducible film; and
(g) any other data as the Authority may require.
(5) A contractor or non-exclusive exploration permit holder shall
submit to the Authority all data, whether processed, interpreted,
reprocessed or re-interpreted, at no cost to the Authority.
137. (1) A non-exclusive exploration permit holder shall submit
in a form acceptable to the Authority
(a) a daily and quarterly activity reports in such detail as to allow an
assessment of the progress of the work programme;
(b) within three (3) months from the cessation of the Permit all
relevant data, reports and results of the activities carried out
under the permit; and
(c) submit a copy of all data acquired during a non- exclusive
exploration activity.
(d) Any other information as the Authority may require.
(2) Nothing in this section shall prevent the Authority from
attaching additional reporting conditions to the permit and which
relate to the management and reporting of data.
138. A contractor shall submit in a form acceptable to the
Authority -
(a) All daily reports, including drilling logs, from a drilling and well
activity providing a summary of the day’s operations
specifying the present depth of any drilling operation,
lithologies penetrated, mud gas shows, testing operations,
drilling difficulties and associated cost, and at least a twenty-
four (24) hour forecast of the operations;
(b) a well completion report within ninety (90) days after the
completion of any well;
(c) well repair, recompletion or modification reports detailing the
operation and the results, in a form acceptable to the Authority,
within forty-five (45) days after the completion of the
operation; and
(d) an end of well test report after testing the well.
(e) directional survey, measurement while drilling, kick sheet;
(f) Any other information as the Authority may require.
139. (1) A contractor shall report all raw well-log data acquired
from both open and cased-hole sections, whether acquired by electric
wireline methods, associated surface systems or any other methods
approved by the Authority.
(2) A contractor shall complete all appropriate well log data in
accordance with applicable American Petroleum Institute (API)
Header and support attribute information.
(3) A contractor shall submit raw data without additional editing,
filtering, or making other corrections to the data set acquired from the
well.
(4) A contractor shall report all field prints of the acquired logs at
1:200 and or 1:500 scale including hard copies and digital copies of the
logs.
(5) A contractor shall create for each well a logging summary
which shall contain information for all well-logging operations as
prescribed in guidelines issued by the Authority.
(6) The logging summary file incorporating all logging activities
shall be cumulatively generated and stored.
(7) In reporting the well log data contractor shall use the format and
quality specified in guidelines issued by the Authority
(8) Contractor shall acquire caliper, bit size, neutron, density,
acoustic, gamma ray, resistivity, Spontaneous Potential, and cement
bond logs as a minimum in every well.
140. (1) A contractor or where applicable a non-exclusive
exploration permit holder shall submit to the Authority complete
copies of all final reports prepared from the results of field
investigations, specialised studies, or other activities relating to the
contract or permit area within three (3) months after the completion of
the activities or progress reports within three (3) months after the
completion of a twelve (12) month period of a continuing survey,
whichever is sooner.
(2) Reports required under sub-regulation (1) shall contain, where
applicable, the following information—
(a) the location of the survey, including the method of determining
the positions of metering or observations with estimates of
their accuracy, including, for marine or airborne surveys, the
method of navigation used;
(b) the composition of the field party;
(c) the dates when the surveys were commenced and finished;
(d) the type of survey, and the methods and equipment used;
(e) the purpose of laboratory or desktop studies, its results and
conclusions, together with all supporting geological and
engineering data, whether raw,
corrective or interpretive that a contractor has used in
carrying out the work both within or outside Kenya; and
(f) the records of data, including where applicable, the time and
location of an observation or metering, together with
observational data in their original form, and in their processed
or corrected form, with a complete and adequate description of
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4274 4274
the method of processing or correction applied, and methods of
analysis.
(3) Geological reports shall include—
(a) the interpretation of the stratigraphy, structure, tectonics and
any other factors related to the petroleum potential of the area
as well as correlation with other areas;
(b) the geological maps, sections, and columns prepared from the
results of the surveys; and
(c) any other information pertinent to the survey or the report or as
may be required by the Authority.
(4) Geophysical surveys shall, without limitation, include seismic
surveys, ground magnetic surveys, ground gravity surveys, electrical
surveys, aeromagnetic surveys, airborne gravity surveys and other air-
borne surveys.
(5) The seismic survey reports shall without limitation, include—
(a) the type and characteristics of the explosives or other source of
seismic energy and characteristics of the signal generated;
(b) for offshore surveys, a map or maps showing the positions of
shot points and the depths of operation of seismic energy
source;
(c) copies of fathometer records;
(d) for onshore surveys, a map or maps showing the positions of
shot points, the elevation of shot points with reference to mean
sea level, and the depth below surface of the seismic energy
source, together with the locations of all weathered zone
surveys, up-hole surveys and velocity surveys;
(e) where a shot hole is used, the depth to ground water and a
driller’s lithological log;
(f) results of all interpretations made on seismic data, including
velocity maps and seismic maps in time and depth; and
(g) sections, prospect montages, and interpretive integrations with
all geological and engineering data used of whatever kind both
within and outside Kenya.
(6) Gravity survey reports shall without limitation, include—
(a) a description of every gravity base station, including the
position, elevation, and adopted gravity value;
(b) the value of any terrain or topographic correction which may
have been evaluated including the method used to evaluate it;
(c) in the case of marine or airborne surveys, the course and speed
of the vessel or aircraft, together with the depth of the water or
height above terrain, as the case may be;
(d) the density determination on rocks, or derived values;
(e) the gravity-meter closure charts showing misclosures or
adjustments; and
(f) all gravity anomaly maps and profiles prepared as part of the
survey, all interpretive material, whether resulting from the
survey or integration of other surveys or other work or data
both within and outside Kenya.
(7) The magnetic survey reports shall without limitation, include—
(a) for marine surveys, the water depth and the position of the
magnetometer sensor relative to the vessel;
(b) for magnetic vector metering, the values of observed
components or directions;
(c) a description of every magnetic base station, including the
position, elevation and adopted magnetic values;
(d) the magnetic properties of all rock samples measured;
(e) the magnetometer drift curves, calibration details, and loop
closure charts, showing misclosures and adjustments; and
(f) all magnetic anomaly maps and profiles prepared as part of the
survey.
141. (1) Notwithstanding any confidentiality requirements a
contractor shall report to the Authority estimates of petroleum
resources and reserves on an annual basis, irrespective if they have not
changed from when they were last reported.
(2) The report referred to under sub-regulation (1) shall contain—
(a) a brief description of a contract area including a geological
description, prospectively of the area, activities undertaken
during the year and planned activities for the following year,
which shall lead to a better understanding of the resource
potential;
(b) petroleum initially-in-place;
(c) estimated ultimate recovery;
(d) remaining recoverable resources including—
(i) estimates of petroleum reserves;
(ii) contingent resources; (iii)prospective resources;
(iv) unconventional resources; and
(v) whether and how each of the resource classes in the
summation were adjusted for risk.
(3) The Authority may require a contractor to provide further
information relating to petroleum resources and reserves.
(4) The reserves referred to under sub-regulation (1) shall be
presented as proven, possible and probable in accordance with the
Society of Petroleum Engineers Petroleum Resource Management
System or any other system approved by the Authority.
(5) In presentation of reserves, a contractor shall provide a detailed
description of the types of tests performed including—
(a) production and formation testing;
(b) well logs and core analysis that indicates that the zone is
petroleum-bearing and other analyses undertaken to determine
commercial producibility of the accumulation;
(c) analogues that have demonstrated commercial producibility by
actual production and formation testing; and
(d) economic assumptions used to calculate the reserve estimates.
(e) any other information as the Authority may require.
(6) The annual petroleum reserve estimates shall include—
(a) a reconciliation of a contractor’s reported petroleum reserve
estimates for the current year against the corresponding
petroleum reserve estimates for the previous year; and
(b) an explanation of any changes between the two.
(c) any other information as the Authority may require.
142. (1) A contractor shall submit to the Authority, the
following information on production parameters:
(a) gross or net production;
(b) individual well performance;
(c) wellhead pressures;
(d) bottom hole pressure/and water and gas injection volumes;
(e) oil production rate, injection rate, gas-oil ratio and water oil
ratio, water produced,
(f) survey report of reservoir pressure,
(g) date and type of any well servicing,
(h) method used for quality control and treatment of the injected
fluid,
(i) report on unusual performance problems and remedial
measures taken or considered;
(j) history matching and production forecasts;
(k) production statement;
10th July, 2025 THE KENYA GAZETTE
(l) annual petroleum production reports
(m) any other information as the Authority may require
(3) A production statement submitted to the Authority under Sub-
Regulation 142(1)(k) shall be on a monthly basis showing the
following information separately for each producing field and in
aggregate for the development area: -
(a) the quantity and quality of petroleum produced and saved;
(b) the quantities of Petroleum used for the purposes of carrying
on drilling and production operations and pumping to field
storage as well as quantities injected into the formation
(c) the quantities of petroleum lost due to spills, leakages, or any
other unforeseeable circumstances
(d) the quantities of Natural Gas flared and/or vented
(e) the size of Petroleum stocks held at the beginning of the
Month in question;
(f) the size of petroleum stocks held at the end of the Month in
question;
(g) The quantities of natural gas re-injected
(h) The number of days in the Month during which Petroleum was
produced from each Field.
(i) The Gas-Oil ratio for each Reservoir and Field for the relevant
Month
(j) Water production, water injection and Reservoir pressure data
for each Reservoir and Field
(k) The number of days in the Month during which Petroleum was
produced from each Development Area within the Contract
Area
(4) All quantities shown in the production statement shall be
expressed in both volumetric terms (barrels of Oil and standard cubic
metres of Gas) and in the case of Oil in weight (metric tonnes).
(5) Notwithstanding sub regulation (4) above, the contractor shall
additionally report measured volumes, temperature, and pressure at
the time of measurement (ambient conditions)
(6) At the end of each month aggregated statements in respect of
the three Months comprising that Quarter shall be submitted for each
of the items (a) to (k) in sub-regulation (3) above. Additionally, the
average daily production rate for the Quarter shall be calculated.
(7) The Production Statement for each Month shall be submitted
Authority not later than seven (7) days after the end of such Month
(8) The Operator shall use all reasonable effort to ensure that
Daily, Weekly and Monthly production targets shall be met without
detrimentally affecting the reservoir.
(9) Where a contractor does not meet monthly production
threshold, justifications shall be provided to the Authority within
seven (7) days with a plan outlining how the threshold for the quarter
of occurrence shall be met.
(10) Where the reservoir has been detrimentally affected, the
operator shall also outline remedial measures undertaken or under
consideration in the justification for failing to meet the target
production for consideration by the Authority.
143. (1) Notwithstanding Regulation 142 above the contractor
shall prepare a daily production statement which shall include:
(a) Petroleum volumes produced every day from different fields;
(b) Planned or unplanned Downtime;
(c) Causes of unplanned downtime; and
(d) Preventive and/or remedial measures for unplanned
downtimes.
(e) Any other additional information
(2) The Contractor shall submit an aggregated weekly production
statement clearly outlining petroleum volumes produced every day
from each field for that week and any outstanding issues as identified
in the daily production statement.
144. (1) A Contractor shall evaluate and maintain well integrity
where unusual well performance problems are identified for the safety
of all personnel and equipment.
(2) The Operator shall notify the Authority within forty-eight
(48) hours of identifying unusual well or reservoir performance
behaviour duly reporting the following;
(a) any resulting Non-Productive Time
(b) corresponding increase or decrease in production.
(c) detailed description of remedial measures already undertaken
or being considered for implementation
(3) Where the unusual performance potentially constitutes a
departure from the parameters outlined in the Field Development Plan
or dynamic model predictions for either the well or the reservoir
performance the Authority may request for additional data necessary
for the review of whether the unusual performance constitutes a
material departure from predicted behavior.
145. (1) A contractor prior to start-up of the metering system
shall poses, maintain and provide to the Authority documentation
including -
(a) safety reports outlining emergency response plans, risk
assessments, and safety equipment documentation
(b) engineering reports which shall include but not be limited to;
i. Design reports with layout, equipment specifications, piping
and instrumentation diagrams (P&IDs), and other technical
design details;
ii. Instrumentation and Control (I&C) report with sufficient
detail on selection, installation, calibration, and integration
of sensors, transmitters, controllers, and other I&C device
iii. Commissioning and Testing Plan outlining the procedures
for commissioning, testing, and validating the performance
of the metering station.
iv. Any other engineering report the Authority may request.
(c) operational plans detailing how the metering station will be
operated, including procedures for routine maintenance,
monitoring, and troubleshooting.
(d) documentation for all equipment installed at the metering
station, including meters, valves, pumps, and control systems.
(e) progress plan for the project up to the time of application for
consent to use;
(f) quality assurance reports demonstrating compliance with
quality standards and protocols. these shall include regular
audits and inspections to ensure that processes and equipment
meet quality requirements.; and
(g) startup plan outlining the steps and procedures for bringing the
metering station online safely and efficiently. This plan shall
include testing procedures, commissioning activities, and
contingency plans for addressing any issues that may arise
during startup.
(2) A contractor shall establish and maintain an archive which
shall contain documentation in respect of the metering system.
(3) A contractor shall notify the Authority of any changes to the
metering system that affect the quality of fiscal metering or figures
reported from the metering including the following—
(a) an annual plan for activities within the technical field in
question;
(b) procedure for ownership allocation of petroleum between
licensees in production licences;
(c) metering errors;
(d) fiscal metering data that have been corrected based on
calculations;
(e) changes in calibration intervals;
(f) changes in calculation software; and
3:27 PM THE KENYA GAZETTE 10th July, 2025
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(g) changes in aspects that formed the basis of the consent for
start-up
(4) A contractor shall provide to the Authority quarterly reports on
its petroleum measurement. Such reports shall contain the following
information as a minimum:
(a) all measurements, analyses and calculations made for the
determination of production in a field;
(b) information relating to daily production and respective
transportation or storage;
(c) when a measurement is carried out in a tank with a volume
greater than daily production, the measurement shall be
adjusted according to the production of each day;
(d) the measurement report forms shall be presented to the
Authority for approval, and in the case of reports prepared
using electronic means, they shall contain all the calculation
formulas used;
(e) all the measurements, inspections, analyses and calculations
made during the calibration of measurement instruments and
systems shall be recorded in reports, which shall be drafted
immediately following calibration and shall include
information to enable the Authority to check traceability; and
(f) Any other information the Authority may require.
(5) Without limiting sub-regulation (4), the reports shall include in
particular:
(a) a contractor’s name;
(b) identification of the field or installation;
(c) date and time the report was produced;
(d) period of production or movement of fluid;
(e) identification of the measuring points;
(f) values recorded (totals, levels, temperatures, pressures);
(g) gross, corrected and net volumes of production or transfer;
(h) results of laboratory analyses;
(i) correction factors with the parameters and methods used for
their determination;
(j) names, designations and signatures of all persons responsible
for the report
(6) Measurement, test and calibration reports shall be filed and be
available for examination by the Authority or an authorised person.
Division 2- Samples
146. (1) A contractor shall correctly collect, label, preserve,
retain in Kenya and submit to Authority the samples in the nature of:
(a) cuttings;
(b) conventional cores;
(c) sidewall cores;
(d) liquid and gas;
(e) logs; and
(f) test data.
(g) any other substance or data the Authority may require.
(2) A contractor may remove for examination and analysis
samples and specimens of rock and petroleum found in the course of
petroleum operations.
(3) A contractor shall correctly label and preserve for reference of
r a period of at least two (2) years any samples of the strata or water
encountered in any borehole or well taken by a contractor and samples
of petroleum or other fluids in a contractor area.
(4) A contractor shall submit to the Authority a representative
specimen of any sample obtained in conduct of petroleum operation as
detailed in Schedule VIII, where the quantity of the core, cutting or
sample is available to a contractor.
(5) The Authority shall have access to the samples taken under
sub-regulation (1) at all times; and may require that representative
specimens not exceeding one half of any sample be delivered to the
Authority.
(6) The Authority upon a receipt of a written request may
authorise a contractor to export a specimen or sample abroad for the
purposes of analysis, subject to such conditions as the Authority may
determine. A contractor shall provide the Authority a report about the
progress of the analysis within twelve (12) months after the
authorisation being given or such other period the Authority may
determine.
(7) Upon a receipt of a written request the Authority may provide
access to samples in its possession to prospective contractors, subject
to receipt of justifications and payment of a fee stipulated in Schedule
IX of these Regulations.
147. (1) A contractor shall collect samples of drill cuttings from
geological formations during the drilling operations for purposes of
analysis.
(2) Sampling shall commence as soon as returns of the drilling
fluid have been established.
(3) A contractor shall collect samples of drill cuttings from a
development well from the reservoir section for purposes of analysis.
(4) The sampling interval shall not exceed five (5) metres for an
exploration well.
(5) The sampling interval in the reservoir shall not exceed five (5)
metres for an appraisal and development well if a conventional core is
not taken.
148. (1) A contractor may collect a conventional core
(a) for purposes of determining the reservoir properties; and
(b) from the entire reservoir section from
(i) each of the selected appraisal wells, and
(ii) a selected development well after a discovery has been
made.
(2) The contractor may take a sidewall core where necessary.
(3) The core samples shall be placed in core boxes or other boxes
approved by the Authority, with accurate labels of—
(a) the well number;
(b) the number of the core box; and
(c) the interval of coring.
149. (1) A contractor shall sample all formation fluid recovered
from formation or other nonroutine production tests.
(2) A contractor shall provide as soon as possible the Authority with
a copy of the results of the analysis of any sample made under sub-
regulation (1).
(3) A sample of all formation fluids recovered shall be submitted
to the Authority, the quantity of which shall be determined by the
quantity available and by mutual agreement between a contractor and
the Authority.
(4) Samples shall be labelled with waterproof ink and packaged in
sample bottles as agreed to by the Authority.
150. (1) A contractor shall carry out well logging in each well for
analysis. As a minimum this shall comprise caliper, bit size, neutron,
density, gamma ray, resistivity and spontaneous potential logs.
(2) A contractor shall carry out formation testing to establish-
(a) the pressure gradient and type of fluids in a formation; and
(b) the production capability of the well,
(c) the reservoir properties,
(d) any other information as may be required.
10th July, 2025 THE KENYA GAZETTE
PART IV – INSPECTIONS OF UPSTREAM PETROLEUM
OPERATIONS AND FACILITIES
151. The Cabinet Secretary, the Authority or a person
authorized in writing by them, may inspect any upstream petroleum
operations, facilities document and records and other related matters.
152. (1) In compliance with Regulation 151 the Cabinet
Secretary or the Authority may appoint qualified representatives to act
as inspectors and provide them an identification document stating–
(a) that a person is an inspector for the purposes of the Act and
these Regulations;
(b) the term of inspector’s appointment; and
(c) any other relevant information.
(2) A technical inspector may–
(a) enter any permit or contract area;
(b) inspect and test any upstream petroleum operations and
facilities;
(c) take samples;
(d) require a contractor or a permit holder to produce books,
records, documents, maps, or plans relating to any upstream
petroleum operations and facilities;
(e) inspect, take extracts from, and make copies of any of books,
records, documents, maps, or plans under paragraph (d); and
(f) conduct other activities to effect regulation 151.
153. (1) The Cabinet Secretary, the Authority or an inspector
may at any time and upon at least a twenty-four (24)-hours’ notice to a
contractor and permit holder to enter the contract area or its premises
to —
(a) examine or check anything which a contractor or permit holder
is authorised by the Act and these Regulations to perform,
install, construct, abandon, decommission or take possession
of;
(b) inspect and make abstracts or copies of any logs, records,
maps, accounts or other documents which a contractor is
required to make or keep in accordance with the Act and these
Regulations; and
(c) carry out any other function under the Act and these
Regulations.
(2) Notwithstanding sub-regulation (1) the Cabinet Secretary, the
Authority or an inspector may at any time and without notice inspect
upstream petroleum operations, facilities, and related matters for the
purpose of ascertaining compliance with these Regulations or any
other applicable law.
(3) An inspector shall identify himself or herself upon arrival at
the contract area, a facility or any other location, premises, structure,
or place where upstream petroleum operations and related matters are
undertaken.
(4) An inspector shall not, in exercising his or her powers under
these Regulations, unreasonably interfere with or delay the operations
of a contractor or permit holder.
(5) An inspector may make any investigation necessary to
determine compliance with these Regulations or any other applicable
law.
(6) Where an inspector suspects or finds that any upstream
petroleum operations or facilities are not compliant with these
Regulations or any other applicable law, the inspector shall issue
notice in writing to the person-in charge to remedy the non-
compliance immediately.
154. (1) A contractor or permit holder shall allow an inspector at
any time, to have access to and to take notes from samples,
documents, data, reports and records concerning upstream petroleum
operations.
(2) Where information obtained under sub-regulation (1) is subject
to applicable confidentiality requirements such information shall be
treated as confidential and shall not be disclosed to any other party
except where the information is required to be used or published in
accordance with applicable laws, petroleum agreement or by a lawful
order to disclose.
PART V – OFFENCES AND PENALTIES
155. (1) Subject to any other offence or penalty specifically
prescribed under the Act or these Regulations, a person who—
(a) contravenes any provision of these Regulations for which no
specific penalty is provided under relevant laws or the Act as
may be relevant;
(b) fails to comply with any direction given under these
Regulations;
(c) fails to allow any inspection authorised under these
Regulations;
(d) fails to make an application, notification, report or other
submission required by these Regulations; or
(e) unlawfully publishes, distributes, shares, sells, licences or
otherwise deals in data acquired in Kenya,
commits an offence and shall on conviction be liable to the penalty
prescribed in section 124 of the Act.
(2) Where a continuing offence is committed, a person shall on
conviction be liable to a fine or imprisonment as determined by the
Act or these Regulations, and in addition, a fine of the amount prescribed in
section 124 of the Act in respect of each day the offence continues to be
committed.
(3) The penalties imposed under these Regulations shall be in
addition to and not in derogation of any liabilities in respect of
payment of compensation, suspension or revocation of any permit,
consent or approval granted under these Regulations or such other
remedy provided for in law, a petroleum agreement or permit.
PART VI – MISCELLANEOUS
156. (1) The Authority shall keep a register of all permits,
certificates, consents and approval and changes thereto and shall
individually record their—
(a) terms and conditions;
(b) amendments;
(c) duplicates;
(d) suspensions, revocations or termination;
(e) accompanying fees paid to the Authority; and
(f) Any other relevant information.
(2) Any person may, during the Authority’s working hours,
inspect the register subject to paying a fee prescribed in Schedule IX.
(3) The fee under sub-regulation (2) above does not apply to
officers of the National Government, parliament, judiciary or the
Authority or the Authority’s authorised representatives, for official
purposes while on duty.
157. (1) A contractor, permit holder or other such person
dissatisfied with a decision of the Authority in respect of any matter
provided for under these Regulations may make a complaint to the
Authority in writing.
(2) The Authority shall acknowledge the receipt of the complaint
in writing within five (5) days and attend to the complaint within thirty
(30) days.
(3) Where a contractor is not satisfied with the Authority’s
response to the complaint, a contractor may appeal to the Tribunal
within thirty (30) days of the receipt of the Authority’s response to the
complaint.
158. (1) The Cabinet Secretary in consultation with the
Authority may, from time to time, revise any fees or forms to capture
any material escalation of its administrative costs, currency
fluctuation, inflation or such other matter as the Authority may deem
necessary.
(2) The Cabinet Secretary may, from time to time, update fines set
under the Act concerning these Regulations with the aim of improving
retribution and reparation.
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(3) Fees under these Regulations shall be paid via bank transfer
into a designated government account to be informed by the
Authority.
159. Matters not covered in the Act, these Regulations, permits
or approvals and which concern upstream petroleum operations shall
be determined by the Cabinet Secretary or the Authority as the case
may be, on a case-by-case basis.
160. The Cabinet Secretary and the Authority may update
guidelines from time to time for the implementation of these
Regulations.
SCHEDULE I – SURVEY APPROVAL APPLICATION FORM
Regulation 14(1)(a)
This application is hereby submitted under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 for approval of petroleum
survey as follows:
Applicant’s details:
1. Name of applicant (full corporate name):
2. Applicant’s Address (full corporate address):
3. Petroleum Agreement/Permit name and number:
4. Phone number:
5. Fax:
6. Email address:
Survey details:
1. Type of the survey:
2. Purpose of the survey
3. Area to be covered by the survey:
4. Proposed start and finish date for the survey:
5. Methodology and equipment to be used:
6. Name of the person conducting the survey:
7. Contact details of the person conducting the survey:
8. Name of the person responsible for communications
with the Authority
regarding the survey application
9. Contact details of the person responsible for
communications with the Authority regarding the survey
application (full name, address,
telephone number and email address
Enclosed documents: (tick the boxes as appropriate)
copy of the applicant’s registration documents
survey program
map of the operational area
environmental impact statement
cadastral map
copy of fee payment receipt
other supporting documents (specify, where applicable)
Declaration:
1. I/We have read and understood the relevant sections of the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024 and other relevant laws or applicable laws as may be
relevant and agree to abide by them.
2. I/We hereby confirm that the information provided in this
application is to my knowledge true and accurate.
3. I/We understand that it is an offence to give false information in an
application for a survey approval.
4. I/We acknowledge that our company shall conduct surveys as
approved by the Authority.
5. I/We hereby confirm that we and our contractors have technical
and financial capability to conduct operations subject to the approval.
6. I/We acknowledge that our company shall not commence and
conduct any survey operations prior to obtaining an approval from the
Authority.
Date: (dd-mm-yyyy)
Name of Authorised Applicant’s representative
Signature:
FOR OFFICIAL USE ONLY
Date application received
Name of Authorized Authority Representative
Signature and stamp
FORM OF SURVEY APPROVAL
Regulation 14(1)(a)
Survey Approval no.: xxxx/yyyy
This survey approval is hereby issued under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 exclusively to the named
applicant to conduct the survey (-es) as follows:
Applicant name:
Address: (full corporate address) ----------------------------------------------------
Phone number: ____________________________________________
Email address: _______________________________________________
Type and purpose of survey: (description of the survey): ________
Area to be covered by survey: (description of the area or distance of
survey): _________________________________________________
Expiry date: (dd-mm-yyyy of first expiry date): _____________________
Renewal: (dd-mm-yyyy of new expiry date in case of renewal): _____
Terms and conditions:
1. The applicant or a person conducting a survey on behalf of
the applicant shall—
a. commence work within ( )
months from issuance of this approval, unless when an unforeseen
circumstance arises;
b. inform the Authority about an unforeseen circumstance
that can delay the start of works and may request an extension to the
period of ( ) months mentioned above;
c. execute survey works under submitted survey program
and not deviate from its approval except for during an emergency;
d. comply with all applicable laws and regulations and best industry
practices;
e. procure and maintain an adequate insurance cover;
f. provide data, reports and information in compliance with the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024, Petroleum Agreement;
g. submit the amended survey programme, where an applicant
intends to deviate from the approved program.
h. other terms and conditions
2. This approval is valid for
(
)
and may not be altered, revised, or modified, except with the
consent of the Applicant and the Authority.
Date of issuance: (dd-mm-yyyy of issuance)
Signature and stamp: (Authority’s representative)
SCHEDULE II – DRILLING PERMIT APPLICATION FORM
Regulation 17(2)(a)
This application is hereby submitted under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 for the drilling permit as
follows:
Applicant’s details:
1. Name of applicant (full corporate name):
2. Applicant’s Address (full corporate address):
3. Petroleum Agreement name and number:
4. Phone number:
5. Fax:
6. Email address:
Permit details:
1. Type of permit requested
2.Well(s) name and description
3.Description of well activities
4. Proposed start and finish date of work
5. Description of methodology to be used
10th July, 2025 THE KENYA GAZETTE
6. Description of equipment to be used
7. Name of a sub-contractor (where such person is
not a contractor
8. Address of a sub-contractor
9. Name of the person responsible for
communications with the Authority regarding the
permit application
10. Contact details of the person responsible for
communications with the Authority regarding the
permit
application (full name, address, telephone number
and email address
Enclosed documents: (tick the boxes as appropriate)
copy of the applicant’s registration documents
complete well plan
global positioning system (GPS) location of each well
environmental impact statement license
copy of fee payment receipt
other supporting documents (specify, where applicable)
Declaration:
1. I/We have read and understood the relevant sections of the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024 and other relevant laws or applicable laws as may be
relevant and agree to abide by them.
2. I/We hereby confirm that the information provided in this
application is to my knowledge true and accurate.
3. I/We hereby undertake that our company, its contractors and sub-
contractors poses the ability to construct a well site, access road to the
well site, facilitate mobility of equipment, supplies, and materials to
the well site during drilling, monitoring, appraisal and evaluation
activities
4. I/We hereby confirm that we and our contractors have technical and
financial capability to conduct operations subject to the approval.
5. I/We understand that it is an offence to give false information in an
application for a drilling permit.
6. I/We acknowledge that our company and our contractors and sub-
contractors shall conduct drilling operations as approved by the
Authority.
7. I/We acknowledge that our company and our contractors and sub-
contractors shall not commence and conduct drilling operations and
drill a well prior to obtaining a drilling permit from the Authority.
Date: (dd-mm-yyyy)
Name of Authorised Applicant’s representative
Signature:
FOR OFFICIAL USE ONLY
Date application received
Name of Authorized Authority Representative
Signature and stamp
Date: (dd-mm-yyyy)
Authorised Applicant’s representative:(full name)
Authorized Signature: (Applicant’s representative)
CONTENTS OF THE WELL PLAN
Regulation 17(2)(e)
Description of information
1. The name and number of the well(s).
2. The location of the well(s), in the form of
a. the elevation, latitude and longitude of the well; and
b. the basin and sub-basin (if applicable) in which the well is located;
and
c. the map sheet name; and
d. A map showing the location of the well within the block in which
it will be drilled.
3. A description of each well activity.
4. A description of
a. the philosophy of and description of the design, construction and
conduct of drilling operations and management of the well; and
b. the possible production or injection activities of the well, showing
that each well activity will be carried out in accordance with
applicable law and best petroleum industry practices, codes,
standards and specifications.
5. The proposed timelines for carrying out each well activity, including
estimated commencement and cessation dates.
6. Well performance objectives against which the performance of
each well activity is to be measured and measurement criteria that
define those performance objectives.
7. An explanation of how a contractor identified and will mitigate
risks, including how a contractor will identify, monitor, mitigate and
otherwise deal with -
a. a well integrity hazard; and
b. a significant increase in an existing risk for the well,
including the possibility of continuing a well activity for the purpose of
dealing with the well integrity hazard or the risk.
8. Details of chemicals and other substances that may be –
a. in, or added to, treatment materials to be used for the purposes of
drilling or hydraulic fracturing undertaken in the course of each
well activity; or
b. otherwise introduced into a well or underground formation in the
course of each well activity; or
c. otherwise used in the course of each well activity.
9. The proposed total volume and composition of fluids and other
materials to be used in the course of each well activity.
10. The estimated total volume and composition of returned fluids and
other materials from the well and arrangements for the management of
those fluids and materials.
11. Arrangements for the management of any produced formation
materials that result from drilling, well testing or production.
12. Details of when and how a Contractor will notify the Authority,
and give the Authority reports and information, about
a. each well activity; and
b. well integrity hazards; and
c. significant increases in existing risks for the well; and
d. other matters relevant to the conduct of each well activity.
13. An explanation of the way that a Contractor will keep information
required by the well management plan.
14. A list of the principal Kenya and international standards that apply
in relation to each well activity and plant used in connection with each
well activity.
15. If the well management plan relates to a drilling activity, the
following –
a. Anticipated total depth (TD) in measured depth (MD) and TVD
(true vertical depth) of the well.
b. well objectives or well targets
c. the proposed path of the well;
d. the estimated spud date and completion date for the well;
e. a description of the rig and configuration of any blow-out
prevention equipment and their method of operation;
f. contingency plan for operational problems
g. Well prognosis
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h. the casing programme, including design safety factors for burst,
collapse or tension;
i. the complete casing cementation programme;
j. a description of downhole barriers and procedures for testing those
barriers;
k. the formation evaluation programme (including cutting and fluid
sampling, coring, wireline logging and mud logging);
l. the drilling fluids programme;
m. the geological prognosis for the well;
n. the name and address of the drilling contractor;
o. the names and addresses of other contractors and subcontractors
involved in the drilling activity and the nature of the services that
they are to provide;
p. the name and contact details of the person who will have
responsibility for communications with the Authority regarding the
drilling activity;
q. details of the insurance held by a Contractor in relation to the well
and the drilling activity.
Drilling Permit no.: xxxx/yyyy
FORM OF DRILLING PERMIT
Regulation 20
This drilling permit is hereby issued under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 exclusively to the named
applicant to conduct the drilling and well operations as follows:
Applicant name:
Address: (full corporate address):
Type and purpose permit: (description of issued permit):
Commencement date (dd-mm-yyyy of permit issue date):
Expiry date: (dd-mm-yyyy of first expiry date):
Renewal: (dd-mm-yyyy of new expiry date in case of renewal):
Terms and conditions:
1. The applicant or a person conducting drilling operations on behalf
of the operator shall—
(a) commence work within ( )
months from issuance of this permit, unless when an unforeseen
circumstance arises;
(b) conduct drilling operations under submitted well program except
for during an emergency or reapproval by Authority;
(c) comply with all applicable laws and regulations and best industry
practices;
(d) procure and maintain an adequate insurance cover;
(e) provide data, reports and information in compliance with the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024, Petroleum Agreement;
(f) submit the amended well programme, where an applicant intends to
deviate from the approved program;
(g) other terms and conditions
2. This permit is valid for ( ) and
may not be altered, revised, or modified, except with the consent of the
Applicant and the Authority.
Date of issuance: (dd-mm-yyyy of issuance)
Signature and stamp: (Authority’s representative)
SCHEDULE III – FIELD DEVELOPMENT PLAN
Structure and Content of Field Development Plan
Regulation 38(2)(b)
Section 1. Executive summary
The Executive Summary should state the essential features of the
development including:
(a) a brief description of the petroleum reservoirs, reserves,
development strategy, facilities and pipelines
(b) an outline map showing the field limits, Development Area
boundary contours of fluid contacts, existing and proposed contract
boundaries
(c) an estimate of base ultimate recovery, and the minimum, base and
maximum petroleum production profiles of:
(i) gas, in thousand cubic metres and billion cubic feet per year
(ii) oil, in thousand metric tonnes and in million US barrels per
year
(d) a statement of intent towards any parts of the field not addressed by
the plan, including any commitment for later development of that
area, or to the later stages of a phased development. Any provision
for the development of other hydrocarbons in the area should also
be identified.
(e) the essential elements of the Field Management Plan
(f) project schedule and total capital cost
(g) a statement of the provision for decommissioning and an
undertaking that the field will be decommissioned in accordance
with the requirements of the applicable law.
Section 2. Field description, which shall include -
A Field description should include the description of the field on which the
development has been based, including a baseline for future
modifications as development proceeds.
2.1 Seismic Interpretation and Structural Configuration, which
shall include -
(a) a brief summary of the extent and quality of the seismic survey and
(b) the structural configuration of the field presented using appropriate
figures and maps.
2.2 Geological Interpretation and Reservoir Description, which
shall include -
(a) the stratigraphy of the reservoirs,
(b) facies variations,
(c) the geological correlation within the reservoir and any other relevant
geological factors that may affect the reservoir parameters (both
vertically and horizontally) and thereby influence reservoir
continuity within the field should be described in summary form.
Figures and maps should be provided where appropriate. The geological
data provided should reflect the basis of reservoir subdivision,
2.3 Geological Model which shall describe –
how the seismic mapping of surfaces and faults, the reservoir
subdivision and the log analysis were integrated to build a 3D geological
model of the field.
2.4 Petrophysics and Reservoir Fluids, which shall include –
(a) a brief summary of the key field petrophysical parameters
incorporating log, core, Special Core Analysis (SCAL) and well test
data.
A summary of the field Pressure-Volume Temperature (PVT)
description and fluid analyses should be included.
2.5 Petroleum Initially in Place, which shall include -
(a) The volumetric and any material balance estimates of petroleum
initially in place for each reservoir unit together with a description
of the cause and degree of uncertainty in these estimates.
The basis of these estimates should be available and referenced.
2.6 Reservoir Modelling Approach, which shall include -
10th July, 2025 THE KENYA GAZETTE
(a) Description of the means of representing the field, either by an
analytical method, some form(s) of numerical simulation, or by a
combination of these, should be briefly described.
(b) Where the reservoir has been subdivided for reservoir modelling
into flow units and compartments stating the basis for division.
(c) A description of the extent and strength of any aquifer(s).
(d) Where Drill Stem or Extended Well Tests (DSTs or EWTs) have
been performed, the implications of these on history matching and
predicted production performance should be given.
2.7 Reservoir Development, Improved and Enhanced Recovery
Processes (as and where applicable), which shall include-
(a) The chosen recovery process should be described and justified (e.g.,
depletion, pressure maintenance, aquifer support).
(b) Description of methods for targeting IOR (either mechanical or
operational). Where none are proposed this should be justified.
(c) For all oil or condensate reservoirs, the potential for application of
improved recovery processes beyond conventional methods (EOR)
should be described.
(d) Where a field demonstrates economic potential for EOR, a
Contractor should set out their firm plans to implement this.
(e) For phased development, the expected recovery rate and
recoverable volumes presented for each phase;
2.8 Wells Design and Production Technology, which shall include
-
(a) A description of selected production strategy for the field that shall
include the long- and short-term production plans
(b) The basic requirements for well-completion design, including the
potential for water shut off, artificial lift, stimulation and sand
production should be discussed. A reference to a Wells Basis of
Design document should be provided.
(c) The methods used to optimise production should be summarised,
including reference to the methods used for integrated modelling
of wells, flowlines and production facilities.
Section 3. Development and management plan
This section should set out the form of the development, describe the
facilities and infrastructure, and establish the basis for field management
during the construction and production phases.
3.1 Preferred Development Plan, Reserves and Production Profiles,
which shall include -
(a) The proposed reservoir development which indicates the drilling
programme, well locations, expected reservoir sweep and any
provision for a better-than-expected geological outcome.
(b) An estimate of the range of reserves for each reservoir should be
given with a brief explanation of how the uncertainty was
determined and explicit statements of probability where appropriate.
For more complex reservoirs, in particular where EOR processes
need to be considered, the range of reserves for each reservoir flow
unit and compartment should be given. The assumed economic cut
off should be stated.
(c) Expected production profiles, for total liquids, oil, gas, gas usage
and flare, associated gas liquids and produced water for the life of
the field are required. Where fluids are to be injected, annual and
cumulative injection profiles should be provided.
(d) The measurement point at which production shall be measured and
the respective shares of petroleum allocated.
(e) The anticipated date for Cessation of Production (CoP), together
with the underlying assumptions,
3.2 Drilling and Production Facilities, which shall include –
(a) The drilling section should briefly describe the drilling package
and well workover capability. There should be a description of the
proposed well-completion philosophy and figure(s) showing casing
and completion, with main components’ diameters and depths
relative to the lithological main units and reservoir depths. A
reference to a wells Basis of Design (which is consistent with the
reservoir development and management plan, section 2.7 and 2.8).
(b) The production facilities section should describe the major
equipment and infrastructure items and identify the design and
operating parameters used as the basis of design. Estimated jacket
and topsides weights should be provided for platform
developments. A clear indication of system bottlenecks and
limitations that can give rise to production constraints should also
be given together with details of the contingencies available to
maintain production in the event of major equipment failure(s). The
scope and flexibility for future modification and expansion to
address any potential for upside, incremental and satellite field
development should also be identified, including any spare
capacity provided for in the facilities/pipelines design to allow for
future development (including the application of improved oil
recovery techniques) or third-party tie-ins.
3.3 Process Facilities
This section should provide a brief description of the operating envelope
and limitations of the processing plant. The use and disposal of separator
gas should be described. The section should also include:
(a) A summary of the main and standby capacities of major utility
and service systems, together with the limitations and restrictions on
operation. The design and operating philosophy for key equipment
items should be discussed. A process flow diagram and a piping
and instrumentation diagram should both be provided;
(b) A summary of the methods of well testing and metering
petroleum produced and utilised
(с) Plant layout
(d) A brief description of systems for collecting and treating oil,
water and other discharges
(e) A brief description of any fluid treatment and injection facilities
(f) A brief description of the main control systems and their
interconnections with other onshore or offshore facilities, where
applicable
(g) Provision of space or utilities for future EOR facilities or future
developments
(h) Expected production efficiency and a brief description of any new
technologies to be deployed
A reference to a facilities Basis of Design (which is consistent with the
reservoir development and management plan) should be provided.
3.4 Project Planning, which shall include -
(a) Schedules defining key events and decision dates in the detailed
design, procurement, construction and commissioning stages of
major elements of the development should be provided.
(b) The schedules should be provided in addition to work programs
and budgets that are developed and approved as required by
petroleum agreement.
3.5 Operation and maintenance strategy which shall include –
(a) A description of the facilities operations and maintenance strategy
that the company would expect to adopt and
(b) high level maintenance schedule.
3.6 Preliminary decommissioning plan, which shall include -
(a) A description of the proposed methods of decommissioning and
decommissioning plan should be included to show the basis for the
decommissioning expenditure estimates. Steps taken in the design
to facilitate eventual decommissioning of the production petroleum
facilities should be identified.
(b) A calculation of the quarterly accrual charges to be paid by a
Contractor to the decommissioning fund for the overall field
decommissioning costs.;
3.7 Costs, which shall include -
(a) Cost information is required by the Authority to assess the
economics of the development. Capital (capex), operational (opex)
3:27 PM THE KENYA GAZETTE 10th July, 2025
4282 4282
and decommissioning expenditure profiles are required to be
provided.
(b) The costs should be provided in addition to work programs and
budgets that are developed and approved as required by petroleum
agreement.
(c) The cost breakdown shall be accompanied with the economic
justification for the proposed development option.
3.8 Field Management Plan, which shall include -
(a) Principles and objectives that a Contractor will hold to when making
field-management decisions and conducting field operations and,
in particular, how economic recovery of oil and gas will be
maximised over field life.
(b) The plan, as described here and in different sections of the FDP,
shall show clear and consistent linkage, between reservoir
development plans, well designs and subsea facilities, and process
facilities.
(c) The rationale behind the data gathering and analysis proposed in
order to resolve the existing uncertainties and understand dynamic
performance of the field during both the development drilling and
production phases should be outlined.
(d) The potential for workover, re-completion, re-perforation and
further drilling should be described.
(e) Where developments include common user facilities assessment of
capacity constraints shall be assessed.
(f) The methods to be used to set production priorities should be
given.
(g) For gas reservoirs the criteria for installation of additional
compression should be identified.
3.9 Brief description of alternative development concepts that were
considered and reasons and justification for selection of preferred
development concept.
Section 4. Environmental impact assessment, which shall include -
(a) A detailed environmental impact assessment for the field, which
identifies current and possible environmental issues and concerns
and
(b) a plan for ensuring environmental compliance during the life of the
field.
This Environmental Impact Assessment shall be prepared and approved
in compliance with relevant laws or applicable laws as may be relevant.
Section 5 Health, Safety, Sustainability and Security provision, which
shall include -
(a) A contractor’s proposal for ensuring the sustainability, safety, health,
security and welfare of persons and facilities in or about the
proposed upstream petroleum operations.
Section 6 Local content provisions, which shall include –
(a) A Contractor’s proposals for stimulating local content, which shall
cover:
(i) employment, including employment of local personnel and
training,
(ii) knowledge and technology transfer
(iii) local goods and services
References
In addition to content provided in this Annex, Contractor may be
required to provide any such other data and information as the law
requires and as the Cabinet Secretary otherwise requires that is relevant to
the field development plan.
SCHEDULE IV – PERMIT TO CONSTRUCT UPSTREAM
PETROLEUM FACILITIES
APPLICATION FORM
Regulation 50(2)(a)
This application is hereby submitted under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 for the permit to construct
selected upstream petroleum facilities.
Applicant’s details:
1. Name of applicant (full corporate name):
2. Applicant’s Address (full corporate address):
3. Petroleum Agreement name and number:
4. Phone number:
5. Fax:
6. Email address:
Permit details:
1. Type of permit requested
2. Description of proposed petroleum facilities
3. Proposed start and finish date of work
4. Name of a sub-contractor (where such person
is not a contractor)
5. Address of a sub-contractor
6. Name of the person responsible for
communications with the Authority regarding
the permit application
7. Contact details of the person responsible for
communications with the Authority regarding
the permit
application (full name, address, telephone
number and email address
Enclosed documents:
(Tick the boxes as appropriate)
copy of the applicant’s registration documents
facility design
copies of design approval (where applicable)
copies of procedures to deliver safe construction and operations
of facilities
environmental impact assessment
copies of environmental impact assessment approval
copies of other approvals required under the law
copy of fee payment receipt
other supporting documents (specify, where applicable)
Declaration:
1. I/We have read and understood the relevant sections of the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024 and other relevant laws or applicable laws as may be
relevant and agree to abide by them.
2. I/We hereby confirm that the information provided in this
application is to my knowledge true and accurate.
3. I/We hereby confirm that we and our contractors have technical
and financial capability to conduct operations subject to the permit.
4. I/We understand that it is an offence to give false information in an
application for a permit to construct.
5. I/We acknowledge that our company shall conduct construction
operations as approved by the Authority and other state bodies of
Kenya.
6. I/We acknowledge that our company shall not conduct any
construction operations prior to obtaining an approval from the
Authority.
Date: (dd-mm-yyyy)
Name of Authorised
Applicant’s representative
Signature:
FOR OFFICIAL USE ONLY
Date application received
Name of
Authorized Authority Representative
Signature and stamp
FORM OF PERMIT TO CONSTRUCT SELECTED PETROLEUM
FACILITIES
Regulation 50(2)(a)
10th July, 2025 THE KENYA GAZETTE
Permit no.: xxxx/yyyy
This permit to construct is hereby issued under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 exclusively to the named
applicant to construct facilities specified in this permit as follows:
Applicant name:
Address: (full corporate address):
hone number:
Email address:
Facilities to be built/constructed:(description of the
survey):
Location: (description of the area or distance of survey):
Expiry date: (dd-mm-yyyy of first expiry date): Renewal: (dd-mm-
yyyy of new expiry date in case of renewal):
Terms and conditions:
1. The applicant or a person conducting a survey on behalf of
the applicant shall—
a. commence work within ( ) months
from issuance of this permit, unless when an unforeseen circumstance
arises;
b. inform the Authority about an unforeseen circumstance that can
delay the start of works and may request an extension to the period of ( ) months mentioned above;
c. execute construction works under the application and not deviate
from its approval except for during an emergency;
d. comply with all applicable laws and regulations and best industry
practices;
e. procure and maintain an adequate insurance cover;
f. provide data, reports and information in compliance with the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024, Petroleum Agreement;
g. other conditions (specify here):
2. This permit is valid for ( ) and
may not be altered, revised, or modified, except with the consent of the
Applicant and the Authority.
Date of issuance: (dd-mm-yyyy of issuance)
Signature and stamp:
(Authority’s representative)
SCHEDULE V – PRODUCTION PERMIT
APPLICATION FORM
Regulation 71(2)(a)
This application is hereby submitted under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 for the production permit.
Applicant’s details:
1. Name of applicant (full corporate name):
2. Applicant’s Address (full corporate
address):
3. Petroleum Agreement name and number:
4. Phone number:
5. Fax:
6. Email address:
Permit details:
1. Type of permit requested
2.Name of the field
3. Name of production wells
4. Proposed start date of production
5. Proposed production rate (maximum efficient
production rate):
6. Estimated monthly production volumes for each
reservoir units
7. Estimated total production volumes for each reservoir
unit
8. Estimated total of injection of gas, water, special fluids
for pressure
maintenance and/or secondary of tertiary (enhanced)
recovery
9. Estimated volumes requested to be flared, vented or
injected
10. Name of the person responsible for communications
with the Authority regarding the permit
application
11. Contact details of the person responsible for
communications with the Authority regarding the survey
(full name, address, telephone number and email address
Enclosed documents:
(Tick the boxes as appropriate)
copy of applicant’s registration documents
report on the petroleum reservoir
copy of approved field development plan
copy of approved environmental impact assessment study
report of the upstream petroleum operations
production plan and schedule for each reservoir unit
production forecast statement
historical and updated reservoir monitoring data, analysis and
other related data
field decommissioning plan
all relevant environmental licenses and reports as maybe
required by law
copy of fee payment receipt
other supporting documents (specify, where applicable)
Declaration:
1. I/We have read and understood the relevant sections of the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024 and other relevant laws or applicable laws as may be
relevant and agree to abide by them.
2. I/We hereby confirm that the information provided in this
application is to my knowledge true and accurate.
3. I/We hereby confirm that we and our contractors have technical
and financial capability to conduct operations subject to the permit.
4. I understand that it is an offence to give false information in an
application for a survey approval.
5. I acknowledge that our company shall conduct petroleum
production operations as approved by the Authority and other state
bodies of Kenya.
6. I acknowledge that our company shall not commence and conduct
any petroleum production operations prior to obtaining an approval
from the Authority.
Date: (dd-mm-yyyy)
Name of Authorised
Applicant’s representative
Signature:
FOR OFFICIAL USE ONLY
Date application received
Name of Authorized Authority Representative
Signature and stamp
Permit no.: xxxx/yyyy
FORM OF PRODUCTION PERMIT
Regulation 71(2)(a)
This production permit is hereby issued under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 exclusively to the named
applicant to construct facilities specified in this permit as follows:
Applicant name:
Address: (full corporate address)
Phone number:
Email address: Petroleum Agreement name and number:
Block/field/reservoir:
Commencement date: (dd-mm-yyyy):
Expiry date: (dd-mm-yyyy of first expiry date)
Renewal: (dd-mm-yyyy of new expiry date in case of renewal):
Proposed production rate (maximum efficient production rate):
Estimated monthly production volumes for each reservoir units
Estimated total production volumes for each reservoir unit
3:27 PM THE KENYA GAZETTE 10th July, 2025
4284 4284
Estimated total of injection of gas, water, special fluids for pressure
maintenance and/or secondary of tertiary (enhanced) recovery:
Estimated volumes requested to be flared, vented, or injected:
Terms and conditions:
1. The applicant or a person conducting petroleum production
operations shall -
a. commence production operations within ( ) months from issuance of this permit, unless when an unforeseen circumstance arises;
b. execute production operation under the application and not deviate
from its approval except for during an emergency;
c. comply with all applicable laws and regulations and best industry
practices;
d. procure and maintain an adequate insurance cover;
e. provide data, reports and information in compliance with the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024, Petroleum Agreement;
f. other conditions (specify here):
2. This permit is valid for ( ) and
may not be altered, revised, or modified, except with the consent of the
Applicant and the Authority.
Date of issuance: (dd-mm-yyyy of issuance)
Signature and stamp:
(Authority’s representative)
SCHEDULE VI – WELL PLUGGING AND ABANDONMENT
PERMIT
APPLICATION FORM
Regulation 112(2)(2)(a)
This application is hereby submitted under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 for the well plugging and
abandonment permit.
Applicant’s details:
1. Name of applicant (full corporate name):
2. Applicant’s Address (full corporate address):
3. Petroleum Agreement name and number:
4. Phone number:
5. Fax:
6. Email address:
Permit details:
1. Type of permit requested
2. Name/Type of well(s) to be plugged and abandoned
3. Total depth or the measured depth of the well
4. Description of associated facilities to be
decommissioned (if applicable):
5. Methodology and equipment to be used
6. Proposed start and finish date of work
7. Name of a sub-contractor responsible for well plugging
and abandonment (where such person is not an applicant)
8. Address of a sub-contractor responsible for well
plugging and abandonment (where such person is
not an applicant)
9. Name and Contact Details of the person responsible for
communications with the Authority regarding the permit
application
10.
Enclosed documents: (tick the boxes as appropriate)
copy of applicant’s registration documents
copy of well plugging and abandonment plan
global positioning system (GPS) location of each well
description of well associated facilities to be abandoned
environmental impact assessment license
copy of fee payment receipt
other supporting documents (specify, where applicable)
Declaration:
1. I/We have read and understood the relevant sections of the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024 and other relevant laws or applicable laws as may be
relevant and agree to abide by them.
2. I/We hereby confirm that the information provided in this
application is to my knowledge true and accurate.
3. I/We hereby confirm that we and our contractors have technical and
financial capability to conduct operations subject to the permit.
4. I/We understand that it is an offence to give false information in an
application for a drilling permit.
5. I/We acknowledge that our company and our contractors and sub-
contractors shall conduct well plugging and abandonment operations
as approved by the Authority.
6. I/We acknowledge that our company and our contractors and sub-
contractors shall not commence and conduct well plugging and
abandonment operations prior to obtaining a permit from the
Authority.
7. Date: (dd-mm-yyyy)
Name of Authorised Applicant’s representative
Signature:
FOR OFFICIAL USE ONLY
Date application received
Name of Authorized Authority Representative
Signature and stamp
CONTENTS OF A WELL PLUGGING AND ABANDONMENT
PLAN
Regulation 112(2)(2)(d)
Description of information
1. The name and number of the well(s).
2. The location of the well(s), in the form of
a) the elevation, latitude and longitude of the well; and
b) the basin and sub-basin (if applicable) in which the well is
located; and
c) the map sheet name and block number.
3. Total depth or measured depth of the well
4. Justification for the plug and abandonment of each well;
5. The name and address of contractors and sub-contractor(s)
responsible for well plugging and abandonment and the nature of the
services that they are to provide;
6. The name and contact details of the person who will have
responsibility for communications with the Authority regarding the well
plugging and abandonment activity;
7. The proposed timeline for well plugging and abandonment
activity, including estimated commencement and cessation dates.
8. A list of the principal Kenya and international standards that
apply in relation to well plugging and abandonment.
9. Description of well plugging and abandonment methodology
including methodology for restoration of the individual well site, well
site access road and removal of all equipment, supplies and materials
which shall include among others:
a) details of the sequence of the operations
b) preliminary results of the well
c) current status and proposed plugging and abandonment well
schematic
d) the number and the proposed depth of plugs
e) the type of cement to be used
f) the post abandonment well status
g) the health, safety and environment plan
10th July, 2025 THE KENYA GAZETTE
h) well barriers
i) site remediation and restoration plan
j) the proposed method, scope and timing for the survey of
plugged and abandoned wells.
10. Such methodology is subject to approval by the Authority.
FORM OF WELL PLUGGING AND ABANDONMENT PERMIT
Well Plugging and Abandonment Permit
Regulation 115
Permit no.: xxxx/yyyy
This plugging and abandonment permit is hereby issued under the
Petroleum (Upstream Petroleum Operations) Regulations, 2024
exclusively to the named applicant to conduct the plugging and
abandonment operations as follows:
Applicant name:
Address: (full corporate address)
Type and purpose permit: (description of issued permit):
Name/Type of well(s) to be plugged and abandoned:
Commencement date (dd-mm-yyyy of permit issue date):
Expiry date: (dd-mm-yyyy of first expiry date)
Renewal: (dd-mm-yyyy of new expiry date in case of renewal)
Terms and conditions:
1. The applicant or a person conducting well plugging and
abandonment operations on behalf of the operator shall—
(a) commence work within ( )
months from issuance of this permit, unless when an unforeseen
circumstance arises;
(b) conduct well plugging and abandonment operations under
submitted well program except for during an emergency or reapproval
by Authority;
(c) comply with all applicable laws and regulations and best
industry practices;
(d) procure and maintain an adequate insurance cover;
(e) provide data, reports and information in compliance with the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024, Petroleum Agreement;
(f) submit the amended well plugging and abandonment plan,
where an applicant intends to deviate from the approved program;
(g) other terms and conditions (specify)
2. This permit is valid for ( ) and
may not be altered, revised, or modified, except with the consent of the
Applicant and the Authority.
Date of issuance: (dd-mm-yyyy of issuance)
Signature and stamp: (Authority’s representative)
SCHEDULE VII – PERMIT TO DECOMMISSION OR ABANDON
AN UPSTREAM PETROLEUM FACILITY
APPLICATION FORM
Regulation 122(2)(a)
This application is hereby submitted under the Petroleum (Upstream
Petroleum Operations) Regulations, 2024 for the permit to
decommission or abandon an upstream petroleum facility.
Applicant’s details:
1. Name of applicant (full corporate name):
2. Applicant’s Address (full corporate address):
3. Petroleum Agreement name and number:
4. Phone number:
5. Fax:
6. Email address:
Permit details:
1. Type of permit requested
2. Description of facilities to be decommissioned
3. Proposed start and finish date of work
4. Description of methodology to be used
5. Description of equipment to be used
6. Name of a sub-contractor (where such person is
not a contractor) responsible to execute work
7. Address of a sub-contractor
8. Name of the person responsible for
communications with the Authority
regarding the survey
9. Contact details of the person responsible for
communications with the Authority regarding the
survey(full name, address, telephone number and
email address
Enclosed documents: (tick the boxes as appropriate)
copy of applicant’s registration documents
copy of final abandonment plan
environmental impact statement
copy of fee payment receipt
other supporting documents (specify, where applicable)
Declaration:
1. I/We have read and understood the relevant sections of the
Petroleum Act, 2019, Petroleum (Upstream Petroleum Operations)
Regulations, 2024 and other relevant laws or applicable laws as may
be relevant and agree to abide by them.
2. I/We hereby confirm that the information provided in this
application is to my knowledge true and accurate.
3. I/We hereby confirm that we and our contractors have
technical and financial capability to conduct operations subject to the
permit.
4. I/We understand that it is an offence to give false information
in an application for a permit to decommission or abandon an
upstream petroleum facility.
5. I/We acknowledge that our company and our contractors and
sub-contractors shall conduct decommissioning and abandonment of
facilities as approved by the Authority.
6. I/We acknowledge that our company and our contractors and
sub-contractors shall not commence and conduct well plugging and
abandonment operations prior to obtaining a permit from the
Authority.
1. Date: (dd-mm-yyyy)
Name of Authorised Applicant’s representative
Signature:
FOR OFFICIAL USE ONLY
Date application received
Name of Authorized Authority Representative
Signature and stamp
STRUCTURE AND CONTENT OF FINAL DECOMMISSIONING
AND ABANDONMENT PLAN
Regulation 122(2)(c)
The Final Abandonment Plan shall contain the following minimum
content:
1. Description of the history of the oilfield;
2. Geographical location of the installations and wells;
3. Complete inventory and description of the installation, oil
pipelines and wells, including the location, depth and type of material
of the Installations to be abandoned;
4. Variation of climatic conditions in the region;
5. Environmental and Socio-economic Impact Study, including
the results of specific studies relating to fauna, hydrocarbons and
heavy metals resulting from the operational activities;
6. Inventory of hazardous chemical materials found in the
installations and plans for their removal;
3:27 PM THE KENYA GAZETTE 10th July, 2025
4286 4286
g) description of production logs and deposits;
7. Consideration about the possibility of continuing the production
operations, covering technical, financial, safety, environmental and
socio-economic aspects;
8. Description of the dismantling options, in relation to the
technical, economic, environmental and safety aspects, and assessment
of the impact on other users of the sea and land (including the
possibility of use of the installation for other activities in the area, such
as fishing, agriculture and industrial activities);
9. Presentation of the preliminary process of public engagement
to the respective users.
10. Detailed description of the recommended dismantling solution,
including:
a) Description of the methodology of comparative assessment and
the results of all the compared assessments;
b) Measures and procedures for the correct dismantling, removal
and disposal/reuse of the installations, in accordance with
current practice in the petroleum industry;
c) Measures and procedures to mitigate the environmental impact
and appropriately rehabilitate the landscape, in accordance with
the applicable law and current practice in the petroleum
industry;
d) Procedures for the removal of hazardous chemical materials,
neutralisation and disposal;
e) List of safety measures on the basis of a documented risk
analysis;
f) Aspects related with the management and supervision of
abandonment plans;
g) Time horizon and schedule for the implementation of the
dismantling activities.
11. Methodology used for preparing the estimate of abandonment
costs, estimate of costs and opportunities/vulnerabilities in relation to
costs.
12. Post-abandonment monitoring plans.
13. Measures to manage potential risks arising post
decommissioning.
FORM OF PERMIT TO DECOMMISSION OR ABANDON AN
UPSTREAM PETROLEUM FACILITY
Permit to Decommission or Abandon an Upstream Petroleum Facility
Regulation 123(a)
Permit no.: xxxx/yyyy
This permit to decommission or abandon an upstream petroleum
facility is hereby issued under the Petroleum (Upstream Petroleum
Operations) Regulations, 2024 exclusively to the named applicant to
decommission or abandon an upstream petroleum facility as follows:
Applicant name:
Address: (full corporate address)
Petroleum Agreement name and number:
Type and purpose permit: (description of issued permit):
Description of facilities to be decommissioned or abandoned:
Commencement date (dd-mm-yyyy of permit issue date):
Expiry date: (dd-mm-yyyy of first expiry date)
Renewal: (dd-mm-yyyy of new expiry date in case of renewal)
Terms and conditions:
1. The applicant or a person conducting decommissioning and
abandonment operations on behalf of the operator shall—
(a) commence work within ( ) months
from issuance of this permit, unless when an unforeseen
circumstance arises;
(b) conduct decommissioning and abandonment operations under
submitted final decommissioning plan except for during an
emergency or reapproval by Authority;
(c) comply with all applicable laws and regulations and best
industry practices;
(d) procure and maintain an adequate insurance cover;
(e) provide data, reports and information in compliance with the
Petroleum Act, 2019, Petroleum (Upstream Petroleum
Operations) Regulations, 2024, Petroleum Agreement;
(f) submit the amended final decommissioning plan, where an
applicant intends to deviate from the approved plan;
(g) other terms and conditions (specify)
2. This permit is valid for ( ) and
may not be altered, revised, or modified, except with the consent of the
Applicant and the Authority.
Date of issuance: (dd-mm-yyyy of issuance)
Signature and stamp:
(Authority’s representative)
SCHEDULE VII - FRAMEWORK FOR DISMANTLING OF
ONSHORE PETROLEUM FACILITIES
Regulation 128
Component of the
Installation
Use on Land
Inside Nature
Reserves
<800m (1) from
Dwellings or Community Buildings
Other
Locations
Storage tanks Remove Remove Remove
Surface equipment
(e.g., separators,
generators, pumps,
motors)
Remove Remove Remove
Surface tubing Remove Remove Remove
Underground tubing
(<0.9 m below the
surface) (2)
Best Option (3) Best Option (3) Best Option
(3)
Underground tubing
(>0.9 m below the
surface) (2)
Best Option (3) Keep Keep
Buildings Best Option (3,
4)
Best Option (3,
4)
Best Option
(3, 4)
Infrastructures inside
installations (for
example, roads,
galleries, land work,
electricity
transmission lines,
services)
Best Option (3,
4)
Best Option (3,
4)
Best Option
(3, 4)
Removal of
Foundations and
Underground
Equipment (e.g.,
stakes, cement, cable
supports, power
supply cable,
instrument cable)
Best Option (3,
4)
Best Option (3,
4)
Best Option
(3, 4)
Water wells Best Option (3,
4)
Best Option (3,
4)
Best Option
(3, 4)
Notes:
1. ASTM E1527 Phase 1 (Standard Practice for Environmental
Site Assessments: Phase I Environmental Site Assessment Process)
minimum distance from brownfields or voluntary cleaning.
2. Pipes buried at a depth of at least 0.9 metres may be safely
abandoned on site after cleaning/purification.
3. The most viable option to be determined by a contractor on the
basis of a specific comparative assessment of each site.
4. Without prejudice to these requirements, the installations may be
left wholly or partially at the site where they will have a new use (such
as the recovery of live resources) or may be left without causing
unjustified interference with other users, in accordance with Note 3.
10th July, 2025 THE KENYA GAZETTE
SCHEDULE VII - FRAMEWORK FOR DISMANTLING
OFFSHORE PETROLEUM FACILITIES
Regulation 128
Component of the
Installation
Water Depth
< 400 m > 400 m
Topsides Remove Remove
Floating Units (FPSO, TLP,
FSO, FPU, CALM, etc.)
Remove Remove
Oil offloading lines (OOLs),
fluid transfer lines (FTLs),
other connections between
Floating Units
Remove Remove
Substructures (SPJ, SCPT,
all others fixed to the seabed
Total or partial
removal (1, 2, 4)
Total or partial
removal (1, 2)
Subsea well head and
production equipment
Best Option (2) Best Option (2, 6)
Umbilicals including
associated risers and
structures, such as SCM,
SDU, UTA, etc.
Best Option (2) Best Option (2, 6)
Mooring systems for floating
installations (wire & chain,
tendons, suction piles etc.)
Best Option (3) Keep
Export pipes, field flow lines Best Option (3, 5, 8) Keep
Risers/riser components and
associated structures with
pipes/flow lines, such as
F/PLET, F/PLEM, valve
manifolds etc.
Best Option (7) Keep
Notes:
1. Partial removal is permitted if it is determined to be the best
option on the basis of the specific comparative assessment of the
location. The options of reefs are applicable in both cases of total or
partial removal. The directives of IMO Resolution A.672(16) establish
the necessity of an unobstructed column of water of not less than 55 m
above any partially removed installation or structure.
2. A contractor will determine the most viable option on the basis
of a specific comparative analysis of the site.
3. Establish the necessity that there is an unobstructed water
column at a depth of under 55 m above any partially removed
installation or structure.
4. In the case of fixed installations in less than 400 m of water and
weighing more than 4000 MT in air, excluding the deck and
superstructure, they may be partially removed. Notwithstanding these
requirements, the installations may be kept totally or partially at the site
where they will have a new use (such as the recovery of a live
resource) or may be left without causing unjustifiable interference
with other users of the sea in accordance with Note 2.
5. The Entities under Contract will determine the most viable option
for the correction of each crossing of the coast. A crossing of the coast
is defined as the region in which a pipe transits from the sea to land.
6. In depths of water >400 m, the Entities under Contract may select
an abandonment in situ or "Keep" as the Best Option, and they must
present a comparative evaluation of the specific site.
7. For risers/riser components and structures only at <400 m (such
as F/PLET, F/PLEM, valve manifolds etc.), the Entities under Contract
must carry out a comparative assessment of the specific site in order to
determine the Best Option.
8. In the case of export pipes and flow lines located in areas where
trawling is not usually practised, and in areas where these lines are
buried, partially buried or corroded, the Entities under Contract may
select abandonment on site or "Keep" as the Best Option.
9. SCHEDULE VIII - QUANTITY OF THE CORE, CUTTING
OR SAMPLE TO BE PROVIDED TO THE AUTHORITY
Regulation 146(4)
Item Core, cutting or
sample
Quantity of core,
cutting or
sample
Period for giving core,
cutting or sample
1 Drill cuttings 200 g dry weight
per sample
interval
Six (6) months after the rig
release date.
2 Full hole
conventional
core
One-third of the core Six (6) months after the rig
release date
3 Full hole
conventional
core
Remainder of
the core
As soon as practicable after
the expiry, surrender,
cancellation, revocation or
termination of right granting
instrument
4 Gaseous
petroleum
samples
300 cm3 As soon as practicable after
the expiry, surrender,
cancellation, revocation or
termination of the relevant
instrument
5 Fluid petroleum
samples
1 L For a sample collected during
the drilling of a well — the
period ending on the day 6
months after the rig release
date. For a sample collected
during a test on a completed
well — as soon as practicable
after the expiry, surrender,
cancellation, revocation or
termination of the relevant
instrument.
6 Sidewall core
material
All material collected Eighteen (18) months after
the rig release date.
7 Palynological,
paleontological
or petrological
material
All material collected Eighteen (18) months after
the rig release date
SCHEDULE IX – APPLICATION/APPROVAL FEES
The Authority may update any and all fees from time in accordance with
regulation 146, and the updated fees shall take effect on the day of their
publication on the Authority’s website or in the Gazette, whichever
occurs first.
Anchor
Regulation
Description Fee (USD)
14(1)(b) Survey approval, renewal or
modification
5,000.00
17(2)(b) Drilling permit or modification 10,000.00
38(3) Field development plan approval or
modification
25,000.00
50(2)(b) Permit to construct upstream
petroleum facilities
20,000.00
54(2), 55(5) Design approval or modification of
permit to construct
10,000.00
66(1)(f) Permit construct, install fixed platform
or to place mobile platforms offshore
20,000.00
69(2)(2)(i) Test production 1,000.00
71(2)(b) Production permit 30,000.00
112(2)(b) Plugging and abandonment permit 5,000.00
122(2)(b) Permit to decommission or abandon
an upstream petroleum facility
15,000.00
156(2) Access to register of permits and
approvals
100.00
Dated the 10th July, 2025.
54(2),
55(5) Design approval or modification of.
Extracted Entities (1)
previous_gazette_ref
9274
Details
- Act / Legislation
- THE PETROLEUM ACT
- Reference
- Cap. 308
- Section
- section 24 (8)
- Signed By
- 54(2)
- Title
- 55(5) Design approval or modification of
- Date Signed
- 10th July 2025
- Page
- 40
- Extraction Method
- regex
Source Gazette
Vol. CXXVII No. 150
Published 11th June 2025