‘Shocking Details’ Emerge as Sifuna Lifts Lid on Turkana Oil Deal Controversy
Nairobi Senator Edwin Sifuna has launched a stinging attack on the government over Kenya’s long-awaited commercial oil plans, branding the proposed Turkana Oil Field Development Plan (FDP) as “President William Ruto’s biggest scandal yet” and warning that the agreements could leave ordinary Kenyans with little to show for the country’s natural resources.
In a strongly worded statement shared on X (formerly Twitter) on December 29, 2025, the Orange Democratic Movement (ODM) Secretary General accused the government of pushing through opaque and potentially exploitative contracts linked to the South Lokichar oil project in Turkana County. Sifuna urged Kenyans to take advantage of the ongoing parliamentary review process, during which the Senate has invited public memoranda on the FDP and revised Production Sharing Contracts (PSCs) for Blocks T6 and T7. Submissions are due by mid-January 2026.
The senator alleged that key amendments to the contracts overwhelmingly favour the investor, Gulf Energy E&P B.V., a firm that acquired the Turkana assets from UK-based Tullow Oil in 2025 following years of stalled development.
‘Red flags everywhere’
According to Sifuna, one of the most troubling aspects of the deal is what he described as a series of rapid and opaque changes in the ownership and identity of Gulf Energy shortly before the FDP received government approval.
“The company changed names and ownership several times in a matter of weeks — in some cases days — just before approval,” Sifuna claimed. “That is a classic tactic to hide the real beneficiaries. The timing alone should alarm every Kenyan.”
He further pointed to a major contractual amendment signed on November 25, 2025, which increased the cost recovery ceiling — the portion of oil revenues a company can reclaim to recover its expenses before sharing profits — from 55 per cent to 85 per cent.
“This means the company can take almost everything from early production before Kenya sees any meaningful benefit,” Sifuna said. “In practical terms, this could lock out the Kenyan people from their own oil for years.”
On the same date, the scope of what qualifies as recoverable costs was also expanded. Clause 27(2)(b) of the revised PSC now reportedly includes items such as labour, fuel, repairs, maintenance, transport, mobilisation, supplies, materials and even decommissioning expenses.
“With such a wide definition of capital expenditure, Kenyans may basically never see a coin from our oil,” the senator warned.
Local content concerns
Sifuna also accused the government of deliberately weakening local content protections. Despite Parliament recently passing the Local Content Act — designed to ensure Kenyan workers, suppliers and service providers benefit from extractive industries — he claimed the new oil agreements effectively exempt Gulf Energy from these obligations.
“They have cleverly drafted the contracts to sidestep the law,” he said, accusing officials of prioritising private interests over national benefit.
Sifuna concluded his online thread with a scathing assessment of Kenya’s political leadership, writing: “We don’t have leaders. We have dealers in government who don’t care about anything other than themselves.”
Kenya’s oil journey
Commercially viable oil deposits were first discovered in Turkana in 2012 by Tullow Oil, raising hopes that Kenya could join the ranks of Africa’s oil-producing nations. However, progress towards full-scale production has been repeatedly delayed by financing challenges, infrastructure gaps — including the absence of a crude export pipeline — and disputes with local communities over compensation and environmental concerns.
Gulf Energy’s takeover of the assets in 2025 was presented by the government as a turning point, with officials expressing optimism that Kenya could achieve “First Oil” and begin exports as early as late 2026. The revised PSCs include a range of incentives, such as exemptions on value-added tax, withholding tax and import duties, which authorities argue are necessary to make the project commercially viable.
Growing scrutiny
Sifuna’s claims have reignited debate over transparency, accountability and resource governance, with his post attracting thousands of likes, reposts and comments. Several local media outlets, including Capital FM, People Daily and Eastleigh Voice, have since highlighted the allegations.
As of December 30, neither the Ministry of Energy, the government nor Gulf Energy had issued a detailed response addressing the specific concerns raised by the senator.
With Parliament now reviewing the FDP and related contracts, pressure is mounting on lawmakers to scrutinise the agreements closely. For critics like Sifuna, the stakes could not be higher — determining whether Kenya’s oil becomes a catalyst for national development or, as he fears, a resource that enriches only a select few.
‘Shocking Details’ Emerge as Sifuna Lifts Lid on Turkana Oil Deal Controversy