Company rules out payment for land in oil search

An aerial view of a Tullow oil rig in Turkana County. Crafting of the law to govern sharing of revenue from oil and gas mining should be delayed until the actual quantity of the resources is known says IMF. FILE PHOTO

What you need to know:

  • Tullow will, instead, pay nearly 6,000 families for crops destroyed during seismic surveys. The payment would be made from July after some evaluation.
  • Local leaders from Muhoroni, Nyando and Nyakach had raised concern over non-payment for land used in the surveys.
  • Area politicians Aduma Owuor, James Koyoo and Fred Outa stressed that the residents should be involved in activities by the company to avoid conflicts.

An oil company has declared it will not compensate farmers for land on which it is exploring fuel in western Kenya.

Tullow will, instead, pay nearly 6,000 families for crops destroyed during seismic surveys. The payment would be made from July after some evaluation.

The firm’s officials told journalists in Kisumu that the farmers would not be compensated for land since they had not yet spotted sites for permanent oil drilling.

Tullow Kenya senior communications adviser Mercy Kabangi said there was no urgent need for land at the moment. She said the firm would wait until after the results of the seismic study are out.

SEISMIC STUDIES

“The people of western Kenya must bear in mind that we have not started serious drilling. We are currently conducting seismic studies. Communities are expected to grant the firm access to their land for the surveys,” said Ms Kabangi.

Local leaders from Muhoroni, Nyando and Nyakach had raised concern over non-payment for land used in the surveys.

Ms Kabangi said an independent valuation firm would be engaged to determine the compensation.

The firm, certified by the Valuation Board of Kenya, will assess the damage on crops and other installations on land where the studies were conducted, she added.

“There should be no cause for alarm. Compensation will be made for any crops that were damaged during the seismic surveys.”

She called on all landowners to sign temporary access forms before any activity on their property.

PERMANENT PRESENCE

Ms Kabangi said the outcome of the studies on the volume of oil available would further define the possibility of negotiating for a permanent presence.

“Should the prospects be high, we shall use a community engagement formula to avert loss of property, fossil damage and destruction of natural habitats,” said Ms Kabangi.

Area politicians Aduma Owuor, James Koyoo and Fred Outa stressed that the residents should be involved in activities by the company to avoid conflicts.

They want the company to engage local leaders, and county governments, at all stages of their work for smooth operations, especially in volatile borders where the works are set to begin.