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GAZETTE NOTICE NO. 9273

GAZETTE NOTICE NO. 9273

THE PETROLEUM ACT

(No. 2 of 2019)

NOTICE OF INTENTION


IN EXERCISE of the powers conferred by Section 101 of the Petroleum Act No. 2 of 2019, the Cabinet Secretary for Energy and Petroleum makes the following Regulations— THE PETROLEUM (MARINE REFUELLING) REGULATIONS, 2025 10th July, 2025 THE KENYA GAZETTE PART I—PRELIMINARY Citation 1. These Regulations may be cited as the Petroleum (Marine Refueling) Regulations, 2025. Interpretation 2. In these Regulations, unless the context otherwise requires – “Adulterated petroleum” means a refined grade of petroleum product mixed with another petroleum grade or a miscible solvent, thereby altering the product specifications and performance standards; “Agent” means a person appointed in writing by the Authority to perform any of its functions; “Authority” means the Energy and Petroleum Regulatory Authority established under Section 9 of the Energy Act No. 1 of 2019; “Cabinet Secretary” means Cabinet Secretary responsible for Petroleum appointed in accordance with Article 152 of the Constitution of Kenya, 2010. “Certificate” means a document issued by the Authority that serves as proof that the holder has met set requirements; “Class” in relation to contract works, means any of the tiers of contract works set out in the Third Schedule of the National Construction Authority Act Chapter 449A in respect of which a contractor may be licensed by the National Construction Authority; “Contractor” means a person registered under Section 15 of the National Construction Authority Act Chapter 449A; “Consumer” means any person who is supplied or entitled to be supplied with petroleum; “County Government” has the meaning assigned to it in Article 176 of the Constitution; “Designated Dock or Wharf” means a specific, officially assigned location where Petroleum Marine Transporataion Vessels can be moored while not in operation “Designated Marine Refuelling Location” means a specific location officially assigned exclusively to an operator of either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel for operations; “EMCA” means the Environmental Management and Coordination Act No. 8 of 1999; “Emergency Response Plan” means a documented set of procedures and instructions designed to mitigate the cause and effects of incidents or accidents involving petroleum, such as spills, fires, explosions, or leaks. “Energy Act” means the Energy Act No. 1 of 2019; “Engineer” means a person registered as such under Section 16 of the Engineers Act No. 43 of 2011; “Environment Liability Policy” means a statement of commitment by a party to the laws, regulations and other policy mechanisms concerning environmental issues; “Inboard Engine” means a propulsion system for boats comprising an engine, gearbox, and propeller unit mounted internally; “KCGS” or Kenya Coast Guard Service is a specialized maritime force of the Republic of Kenya, responsible for law enforcement on national waters, including on the oceans, lakes and rivers. The force is mandated to maintain maritime safety, security, pollution control and sanitation. “KEBS” or “Kenya Bureau of Standards” means a body corporate established under the Standards Act CAP 496 responsible for promotion of the standardisation of the specification of commodities, and provision for the standardisation of commodities and codes of practice; “KeFS” or “Kenya Fisheries Service” means a body corporate established under the Fisheries Management and Development Act CAP 378 responsible for the conservation, management and development of fisheries and other acquatic resources to enhance the livelihood of communities dependent on fishing; “KFS” or “Kenya Forest Service” means a body corporate established under the Forest Conservation and Management Act CAP 385 responsible for the deveoplement and sustainable management including conservation and rational utilization of all forest resources for the socio-economic development of the country and for connected purposes; “KMA” or “Kenya Maritime Authority” means a body corporate established under the Kenya Maritime Authority Act CAP 370 responsible for monitoring, regulating and coordinating activities in the maritime industry; “KMFRI” or Kenya Marine Fisheries Research Institute is a State Corporation established in 1979 by the Science and Technology Act, Cap 250 mandated to undertake research in marine and freshwater fisheries, aquaculture, environmental and ecological studies in order to provide scientific data and information for sustainable development of the Blue Economy “KPA” or “Kenya Ports Authority” means a body corporate established under the Kenya Ports Authority Act CAP 391 responsible for maintaining, operating, improving and regulating all scheduled seaports under act; “Kenya Standard” means a specification or code of practice declared by the Council under the Standards Act; “KWS” or “Kenya Wildlife Service” means a body corporate established under the Wildlife Conservation and Management Act CAP 376 responsible for the protection, conservation and management of wildlife in Kenya; “Licence” means a document granted under the Petroleum Act by the Authority to a person authorizing the sale and transport of petroleum; “Licensee” means a holder of any licence issued under these regulations; “Licensing Authority” means a body corporate, including the Authority, with powers to grant, revoke or suspend a licence issued under the Petroleum Act; “Marine Refuelling Business” means a concern carrying out the sale of petroleum products from either an Onshore Marine Refuelling Facility or a Marine Refuelling Vessel “Marine Refuelling Vessel” means a vessel dispensing site or premises where petroleum is received and stored in bulk in one or more tanks and dispensed to consumers for their own use; “Marine Refueling Service” means the retail and dispensing of petroleum products from either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel; “Ministry” means the Ministry for the time being responsible for petroleum in Kenya; “Modification” means any change in the facility that alters the existing technical design, storage capacity or impacts on compliance with local environmental, health and safety requirements or any change requiring County Government approval; “NEMA” or “National Environment Management Authority” means the body responsible for the management of the environment as established under the Environmental Management and Coordination Act, 1999; “NCA” or “National Construction Authority” means the body responsible for the accreditation and certification of skilled construction workers and construction site supervisors as established under the National Construction Authority Act Chapter 449A; “Non civilian” means natural or juridical persons who are part of the military or government agencies involved in defense and security. “Onshore Marine Refuelling Facility” means an onshore retail dispensing site or premises where petroleum is stored in bulk in one or more tanks and dispensed to consumers for their own use. “Outboard Engine” means a propulsion system for boats comprising an engine, gearbox, and propeller unit mounted externally; “OSHA” means Occupational Safety and Health Act 2007 “Permit” means an authorization document granted to a person to enable the carrying out of any activity in the petroleum marine business in accordance to these regulations 3:27 PM THE KENYA GAZETTE 10th July, 2025 4224 4224 “Person” means any natural or juridical person; “Petroleum Act” means the Petroleum Act No. 2 of 2019; “Petroleum business” means a concern carrying out the sale or transport of petroleum; "Petroleum Marine Transportation Business" means a concern to carry on the transportation of petroleum by marine vessel within Kenya’s inland and coastal waters for the purposes of supplying marine refuelling vessels or onshore marine refuelling facilities; “Petroleum Marine Transport Vessel” means a boat that transports petroleum within Kenya’s inland and coastal waters for the purposes of supplying marine refuelling vessels or onshore marine refuelling facilities; “Skipper” means a person who captains a marine refuelling vessel or a petroleum marine transport vessel; “Specifications” means a description of any commodity by reference to its nature, quality, strength, purity, composition, quantity, dimensions, weight, grade, durability, origin, age or other characteristics, or to any substance or material of or with which, or the manner in which, any commodity may be manufactured, produced, processed, treated, tested or sampled; “Spill Containment System” is a set of structures and devices designed to prevent, control, and mitigate the spread petroleum products to minimise environmental contamination and safety risks. “Third parties” means other petroleum business licensees and their agents carrying out business with a licensee “Tribunal” means the Energy and Petroleum Tribunal established under Section 25 of the Energy Act; “WRA” or “Water Resources Authority” means The state corporation established under Section 11 of the Water Act (Cao. 372) with the mandate of regulating the management and use of water resources in Kenya. Application 3. Unless otherwise stated, these Regulations shall apply to; (a) the construction and licencing of petroleum marine facilities; (b) the storage, trade, transportation, and dispensing of petroleum products to fuel Marine Vessels within Kenya’s inland and coastal waters; 4. Except as otherwise provided, these Regulations shall not apply to – (a) Petroleum contained in a marine vessel for consumption by the vessel’s engine; (b) Petroleum transported in containers whose combined volume does not exceed five hundred (500) litres for consumption by the vessel’s engine; (c) Marine petroleum tankers involved in the import and export of petroleum products; (d) Ships as defined under the Merchant Shipping Act CAP 389; and (e) Non civilian application; PART II –CONSTRUCTION PERMITS FOR ONSHORE MARINE REFUELLING FACILITIES, MARINE REFUELLING VESSELS, AND PETROLEUM MARINE TRANSPORT VESSELS Construction Permit 5. (1) A person shall not undertake construction works or modification of an Onshore Marine Refuelling Facility, Marine Refuelling Vessel or Petroleum Marine Transport Vessel except in accordance with the terms and conditions of a valid Construction Permit issued by the Authority under the Petroleum Act; (2) The Authority may direct a person to cease the construction of an Onshore Marine Refuelling Facility, Marine Refuelling Vessel or Petroleum Marine Transport Vessel where – (a) the construction is being undertaken without a valid Construction Permit issued by the Authority; (b) the construction is in breach of the terms and conditions set forth by the Authority; or (c) the approval of the Construction Permit was based on false information or forged documents. (3) A person who undertakes the construction of an Onshore Marine Refuelling Facility, Marine Refuelling Vessel or Petroleum Marine Transport Vessel without a valid Construction Permit issued by the Authority commits an offence and is liable on conviction to the fines and penalties set out in the Eighth Schedule. Application for a Construction Permit 6. (1) A person who wishes to construct an Onshore Marine Refuelling Facility, Marine Refuelling Vessel or Petroleum Marine Transport Vessel shall apply for a Construction Permit to the Authority in the prescribed manner. (2) An application under sub-regulation (1) and as set out in Part I of the First Schedule, shall be accompanied by:- (a) a copy of the detailed engineering designs and specifications prepared by a professional engineer or firm(s) registered as such; (b) the engineering designs in sub-regulation (2)(a) shall, at the minimum, take into consideration the provisions of the relevant Kenya Standards for Onshore Marine Refuelling Facility, Marine Refuelling Vessel or Petroleum Marine Transport Vessel; (c) a priced bill of quantities prepared by the respective class of Engineers; (d) an outline of the methods of financing the project; (e) proof of ownership of the land on which the Onshore Marine Refuelling Facility is to be built or ownership of the Marine Refuelling Vessel or Petroleum Marine Transport Vessel; (f) for Onshore Marine Refuelling Facilities a letter of allotment from the relevant Authority in case the title deed is yet to be issued; (g) for Onshore Marine Refuelling Facilities a duly registered lease for a minimum period of five (5) years shall be provided in case the title deed is not in the name of the entity undertaking the development; (h) an approved Environmental and Social Impact Assessment licence issued by NEMA; (i) an approval from the relevant County Government; (j) relavant permits, licences or approvals as the case may be from KMA, KPA, WRA, KeFS, KFS and KWS authorizing the construction of either Onshore Marine Refuelling Facility, Marine Refuelling Vessel or Petroleum Marine Transport Vessel (k) an environment liability policy; and (l) any other document that may assist the Authority to make proper determination on the application. (3) The application in sub-regulation (1) shall be accompanied by proof of payment of the prescribed fees set out in the Sixth Schedule. Form and Validity of a Construction Permit. 7. (1) A Construction Permit for an Onshore Marine Refuelling Facility, Marine Refuelling Vessel or Petroleum Marine Transport Vessel shall be in the form set out in Part II (A) , Part II(B) and Part II(C) of the First Schedule. (2) Where no construction works have commenced after issuance of a Construction Permit, the permit shall be valid for a period of twelve (12) months from the date of issue or until such date of extension as allowed by the Authority shall expire. (3) Where construction works have commenced within the validity period of the permit, the Construction Permit shall be valid for a maximum period of thirty-six (36) months from the date of issue. (4) The Construction Permit holder may make an application for extension of the validity period by providing documents as required by the Authority. 10th July, 2025 THE KENYA GAZETTE (5) The extension of the validity period of a Construction Permit shall be to a maximum of – (a) six(6) months where construction works have not commenced; and (b) twenty-four (24) months where construction works have commenced. (6) A Construction Permit holder shall be required to make a fresh application where the Construction Permit cannot be extended further as provided for in sub-regulation (5). Determination of application for a Construction Permit. 8. (1) The Authority shall determine an application for a Construction Permit within forty-five (45) days of receipt of such an application; (2) Provided that the application is materially complete, does not offend the provisions of any written law and meets the prescribed requirements, the Authority may grant a Construction Permit to the applicant; (3) The Authority may, prior to making a determination to grant a Construction Permit, take into consideration suitability of the site after due assessment; (4) The Construction Permit issued under sub-regulation (2) shall contain such terms and conditions that the Authority may deem fit based on the site location and scale of the project; (5) The Authority shall, prior to issuing the permit, notify the applicant of the nature of the terms and conditions proposed to be imposed in the construction permit; (6) The applicant shall within thirty (30) days of receiving a notification of the nature of the conditions proposed to be imposed, give a written undertaking to the Authority that as the permit holder, the applicant shall abide by the stipulated terms and conditions of the Construction Permit; (7) The undertaking in sub-regulation (6) shall be in the format prescribed in Part I , Part II and Part III of the Second Schedule; (8) The Authority shall only issue the Construction Permit once the applicant has executed the undertaking in sub-regulation (6) failing which any Construction Permit granted shall be null and void; (9) The Authority shall reject an application under these Regulations where the application does not meet the requirements for granting a Construction Permit; (10) The Authority shall notify the applicant of such rejection in sub- regulation (9), specifying the reasons thereof within seven (7) days of such rejection; (11) Where the rejection in sub-regulation (10) relates to – (a) incomplete information, the applicant may make a fresh application providing the requisite information or documents; and (b) the unsuitability of the site, the decision of the Authority shall be final and if the applicant is not satisfied with the Authority’s decision, they may appeal to the Tribunal; Obligations of a Construction Permit holder. 9. (1) In undertaking construction of an Onshore Marine Refuelling Facility, Marine Refuelling Vessel or Petroleum Marine Transport Vessel, the Construction Permit holder shall – (a) comply with the terms and conditions of the Construction Permit as stipulated by the Authority; (b) as applicable, engage only contractors who are licensed by the National Construction Authority (NCA), Kenya Maritime Authority (KMA) and the Kenya Ports Authority (KPA) for their class of work; (c) ensure that the construction project is supervised by a practising Professional Engineer; (d) comply with the Environmental Impacts Mitigation Plan approved by NEMA; (e) comply with Government policy on local content; and (f) comply with directions issued by the Authority from time to time; Compliance with Statutory Obligations 10. (1) The Construction Permit holder shall, notwithstanding anything contained in the permit, comply with the provisions of the Petroleum Act and all other written laws. PART III – LICENCING OF ONSHORE MARINE REFUELLING FACILITIES AND MARINE REFUELLING VESSELS Licencing of Onshore Marine Refuelling Facilities and Marine Refuelling Vessels 11. (1) A person shall not sell or store petroleum products on either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel without a valid licence issued by the Authority under the Petroleum Act. (2) A person who undertakes the business of selling or storing of petroleum products on either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel without a valid licence commits an offence and shall on conviction be liable to the fines and penalties as set out in the Eighth Schedule. Application for Licence to operate Onshore Marine Refuelling Facilities and Marine Refuelling Vessels 12. (1) A person wishing to apply for a Licence to operate an Onshore Marine Refuelling Facility or Marine Refuelling Vessel shall do so in the prescribed manner and the application shall be accompanied by the documents set out in the Part I of the Third Schedule. (2) The application in sub-regulation (1) shall also be accompanied by: (a) Proof of payment of the applicable fees as set out in the Sixth Schedule; and (b) An environment liability policy in the form set out in the Seventh Schedule. (3) The Authority may request for additional documents to enable satisfactory review of the licence application. (4) The Authority shall review an application for a Licence to operate an Onshore Marine Refuelling Facility or Marine Refuelling Vessel within thirty (30) days of receipt. (5) Provided that the application is materially complete, does not offend the provisions of any written law, and meets the prescribed requirements, the Authority may grant a Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel to the applicant. (6) The Authority shall reject an application under these Regulations where the application does not meet the requirements for granting a Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel. (7) Where the Authority rejects an application for the grant of a Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel, the Authority shall give the applicant reasons for the refusal in writing within seven (7) days of such rejection. Form and Duration of a Licence to operate an Onshore Marine Refuelling Facility or Marine Refuelling Vessel 13. (1) A Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel shall be in the form set out in Part I and Part II of the Fifth Schedule respectively. (2) A Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel shall be valid for the period of one year shall be subject to such conditions as the Authority may prescribe. (3) Notwithstanding sub-regulation (2), the Authority may at any time suspend or revoke a Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel if the licensee commits breach of the Petroleum Act, these Regulations or the conditions of the Licence. (4) Unless otherwise specified in the a Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel, the 3:27 PM THE KENYA GAZETTE 10th July, 2025 4226 4226 Authority may give a licensee fourteen (14) days’ notice to show cause why the licence should not be suspended or revoked. (5) The Authority shall determine the matter in sub-regulation (4) within thirty (30) days from the date of expiry of the notice period. (6) The suspension or revocation of a Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel shall not indemnify the licensee from any penalties for which the licensee may have become liable under the Petroleum Act or any other written law. Renewal of a Licence to operate an Onshore Marine Refuelling Facility or Marine Refuelling Vessel 14. (1) An application for renewal of a Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel shall be made to the Authority at least thirty (30) days before the expiry date. (2) The application in sub-regulation (1) shall be accompanied by the documents set out in the Fourth Schedule and proof of payment of the prescribed fees as set out in the Sixth Schedule. (3) Where an application for renewal is made thirty (30) days before expiry, and the Authority has not made a determination by the date of expiry, the Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel shall be deemed to be valid until a determination on the application for renewal is made. Amendment of a Licence to operate an Onshore Marine Refuelling 15. (1) A person may make an application for amendment of a Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel. (2) A licence may be amended where – Facility or Marine Refuelling Vessel (a) the details captured are erroneous; (b) there is a change in the licence details that were unforeseen at the time of making the application. (3) The reason for amendment in sub-regulation (2) shall not include transfer of an Onshore Marine Refuelling Facility or Marine Refuelling Vessel business or change in control. (4) An application under sub-regulation (1) shall be submitted in the prescribed manner as set out in Part IV of the Third Schedule (5) An application for amendment shall be accompanied by the prescribed fees as set out in the Sixth Schedule. (6) A Licence to operate either an Onshore Marine Refuelling Facility or Marine Refuelling Vessel amended under these Regulations shall retain the existing expiry date. (7) A Licence to operate either Onshore Marine Refuelling Facility or Marine Refuelling Vessel amended under sub-regulation (6) shall contain the word “Amended”. Obligations of the Licensee. 16. (1) A licensee authorized to operate an Onshore Marine Refuelling Facility or Marine Refuelling Vessel shall – (a) sell petroleum products specified in the licence; (b) purchase petroleum or petroleum products from a holder of a valid Petroleum Business Licence; (c) purchase or sell petroleum that meets KS EAS 158, KS EAS 177, any other relevant Kenya Standard or International Standard ratified by KEBS; (d) not offer for sale adulterated petroleum products or petroleum products meant for export; (e) shall display EPRA approved prices and adhere to the pricing guidelines set by the Authority; (f) ensure that the petroleum dispensing pumps are calibrated and provided with valid calibration certificates within the time period specified by law; (g) not under-dispense or sell petroleum products at prices above those determined by the Authority; (h) not hoard petroleum products; (i) ensure that the construction or operations of either Onshore Marine Refuelling Facility or Marine Refuelling Vessel comply with all applicable laws; (j) institute appropriate environmental, health and safety control measures; (k) Obtain consent from the Authority prior to transferring or otherwise divesting any rights, powers or obligations conferred or imposed upon the licensee by the licence or permit; (l) Inform the Authority or its agents in writing of any changes of address or any other material particulars submitted as part of the application for the licence within thirty (30) days of the relevant change taking effect; and (m) ensure compliance with petroleum road tanker, jetty or berge, discharge procedures to maintain quality of product and safety on the Onshore Marine Refuelling Facility or Marine Refuelling Vessel (2) A person who fails to meet the conditions in sub-regulation (1) commits an offence and shall be liable to penalties specified in the Eighth Schedule and, where such an offence is not specifically listed, the general penalty specified under the Petroleum Act. Suspension and Revocation of a Licence 17. (1) The Authority may at any time revoke or suspend a licence issued under the Petroleum Act and these Regulations if the licensee commits breach of the Petroleum Act, these Regulations, or the terms and conditions specified in the licence. (2) Unless otherwise specified in the licence, the Authority may give the licensee fourteen days (14) days to show because why the licence should not be suspended or revoked setting out the specific breach. (3) The Authority shall determine the matter in sub-regulation (2) within thirty (30) days from the expiry of the notice period. (4) The Authority or its agent may reinstate a licence revoked or suspended under sub-regulation (1) if satisfied that the reasons for the revocation or suspension no longer exist. (5) Any suspension or revocation of a licence shall not indemnify the licensee from any penalties for which the licensee may have become liable under the Petroleum Act or any other law. (6) The Authority may publish a list of names of Onshore Marine Refuelling Facilities or Marine Refuelling Vessels which may have Designation and Location Requirements committed any offence under the Petroleum Act or of these Regulations. Transfer of a Licence 18. (1) A licensee shall not transfer or otherwise divest any rights, powers, or obligations without the consent of the Authority as prescribed under Section 83 of the Petroleum Act. (2) An application to transfer a licence shall be lodged in the form and manner prescribed by the Authority. PART IV – MARINE REFUELLING OPERATIONS Designation and Location Requirements 19. (1) Marine refuelling vessels shall— (a) only be designated as such upon approval by the Authority; (b) have its permanent location designated by a relevant State bodies; (c) be exempted from (20) (1) (b) for the purposes of; (i) replenishment of petroleum stocks from a licenced fuel loading facility (ii) maintenance (iii)inspection and calibration (iv) mitigation against adverse events such as natural calamities or security threats (v) translocation authorized by the Authority (d) maintain a minimum distance of 300 metres away from jetties, quay, pier jetty, wharf, dock, harbor, passenger embarkation areas, boat traffic routes, piers, and ecologically sensitive areas 10th July, 2025 THE KENYA GAZETTE such as mangroves, animal breeding sites, and protected areas, as designated by the relevant State bodies or agencies; (e) maintain a minimum distance of 75 metres from the shore and at least 75 metres apart from each other; and (f) with respect to (20) (1) (e) for inland waterways with a width of less than 150m, the minimum distance from the shore shall be half the width of the waterways at the point of location; (g) The marine refuelling boats operator shall at all times ensure that the vessel is well anchored so as to prevent straying away. (2) Onshore Marine refuelling facilities shall— (a) only be designated as such upon approval by the Authority; (b) maintain a minimum distance of 300 metres away from jetties, quay, pier jetty, wharf, dock, harbor, passenger embarkation areas, boat traffic routes, piers, and ecologically sensitive areas such as mangroves, animal breeding sites, and protected areas, as designated by the relevant State bodies or agencies; (c) maintain a minimum distance of 150 metres apart from each other or any marine refuelling vessel; (d) with respect to (20) (2) (c) for enclosed inland waterways with a shoreline of less than 150m, the minimum distance from another Onshore Marine refuelling facility shall be half the length of the shoreline; (3) no marine vessels except for the purposes of refuelling shall be allowed to operate or be anchored within a designated marine refuelling location; (4) no open ignition source shall be allowed within a designated marine refuelling location; (a) smoking is prohibited on boats and vessels and in the dispensing area during fuelling. (b) all open flames shall be extinguished; engines, motors shall be shut down; and all ports, windows, doors, and hatches shall be closed. (5) Fuelling shall not take place at night except under the following conditions; (a) well-lit conditions using intrisically safe lighting equipment (b) active emergency preparedness and response Regulatory Compliance to Marine, Port and relevant Authorities 20. (1) Marine refuelling vessels shall; (a) Comply with applicable requirements of the Merchant Shipping Act of 2019 and the Merchant Shipping (Vessel Safety) Regulations of 2012, Merchant Shipping (Vessel Licensing) Regulations of 2012, and in particular; (i) Carry on board a valid Vessel License, (ii) Carry on board a valid Local Safety Certificate, (iii) Carry on board a valid insurance cover. (b) Be constructed from materials that do not react or deteriorate when in contact with fuels or oils, (c) As much as applicable maintain oil spill contingency plan and equipment; (d) Provide within the vessel a sludge tank or a means to collect oil spillage and water run offs, (e) crew competency in firefighting and oil spill containment. Refuelling Operations and Safety Measures 21. (1) refuelling shall only be permitted in designated refuelling locations and using storage tanks conforming to Kenya Standards or provided as part of the marine outboard engine by the marine outboard engine manufacturer (2) A designated refuelling area shall either be; (a) A marine refuelling vessel at its designated location (b) An onshore marine refuelling facility (c) A marine vessel propelled by a marine outboard engine not carrying passengers conveying petroleum products from a fuel storage container to the outboard engines fuel storage tank via a hand-crank fuel pump through a petroleum grade hose. (3) With regard to (22) (2) (c); (a) the fuel storage containers must be securely stored in a designated section of the marine vessel isolated from passengers, other cargo and direct sunlight, rain or water ingress. (b) At the point of refuelling all passengers must disembark from the marine vessel (4) When refuelling, the fuel vendor shall follow the below basic procedures as a minimum; (a) ensure that the marine vessel being refuelled is moored next to the marine refuelling vessel or onshore refuelling facility and remains stable throughout the refuelling process. (b) ensure that the retail dispensing pump(s) and equipment is suitable for operations in marine environment as per KS EAS 977, any other relevant Kenya Standard or International Standard ratified by KEBS; (c) ensure that the hoses from the dispenser to the dispensing nozzle meets the KS EAS 977, KS EAS 978 and any other relevant Kenya or international Standards in particular the length, material and safety provisions; (d) prior to fuelling, ensure that the engine of the vessel being fuelled is turned off and there are no signs of leaks from the tanks or fuel lines. (e) supply an absorbent cloth or a fuel catch to prevent spillage of fuel from the dispensing nozzle prior to and after refuelling (f) to avoid and manage any build up of static electricity during the refuelling process, the dispensing nozzle must be kept in contact with the fuel tank being refilled. (5) dosing of fuel with engine lubricant shall be done on the marine vessel as per manufacturer's recommendations prior to refuelling. (6) The Marine Refueling Vessel or Onshore Marine Refueling Facility must display clear legible instructions printed in red capital letters on a white background. These signs shall be prominently posted in the dispensing area and shall provide specific guidelines for “Before Fueling,” “During Fueling,” and “After Fueling.” Environmental Protection Measures 22. (1) Any person licenced to provide Marine Refueling Services shall implement pollution control measures, including: (a) installation of Spill Containment Systems; (i) for above ground storage at Onshore Marine Refuelling Facilities, spill containment shall include bund systems; (ii) for Marine Refuelling Vessels, spill containment shall include double walled hulls in the vessel design and a boom system permanently placed around the vessel; and (iii) provide a product recovery system to collect oil spillages and contaminated fuel such as an oil water separator compliant with effluent discharge requirements as set by EMCA (Water Quality Regulation, 2024). (b) provision of oil-absorbent materials and spill kits for emergency use during refuelling; (c) shall secure spill containment booms, absorbent material, and other weather-sensitive equipment under his ownership; (d) implementing proper waste management measures, including: (i) proper procedures must be in place for the handling, storage, and disposal of hazardous wastes, including used oil and contaminated materials as required under Environmental Management and Coordination Act (Waste Management Regulation, 2024); and (ii) providing adequate facilities for the disposal of waste associated with marine refuelling from refuelled vessels to prevent marine pollution as provided under Environmental Management and Co-ordination Act (Waste Management Regulation, 2024 ) 3:27 PM THE KENYA GAZETTE 10th July, 2025 4228 4228 (e) conduct water quality tests for monitoring purposes on annual basis or post remediation as provided under Environmental Management and Coordination Act (Water Quality Regulation, 2024). Safety 23. (1) Any person licenced to provide Marine Fueling Services shall comply with all provisions of the Occupational Safety and Health Act 2007 and any subsequent legislation. The licensee shall; (a) establish, implement and maintain an Emergency Response Plan (b) conduct safety drills at least annually (c) comply with fire risk reductions rules (d) maintain and replenish first aid kit (2) provide visible and audible high level alarm for monitoring fuel levels in the fuel storage tanks on the Marine Refuelling Vessel or Onshore Marine Refuelling Facility (3) The Marine Refuelling Vessels shall have suitably designed energy absorbing fenders system on the side (4) Onshore Marine Refuelling Facilities or Marine Refuelling Vessels; (a) shall be fitted with safety warning signages and placards indicating the risk levels, zoning and hazards as set out in the Ninth Schedule (b) shall be of a unique colour as set out in the Ninth Schedule (c) shall be fitted with strobe lights of colour and flashing pattern as set out in the Ninth Schedule (d) Shall be equipped with a radio communication device as prescrided by the Merchant Shipping Radio Communications Regulations 2012 or any other subsidiary regulations (e) The operators shall at all times adhere to the safety and weathers alerts from relevant State bodies. (5) An attendant or supervisor shall be on-duty at all times when the vessel is offshore and be responsible for supervising, observing, or controlling the dispensing of petroleum products. (6) The person in sub-regulation (5) shall: (a) Be familiar with the dispensing system and emergency shutoff controls. (b) Ensure the marine craft is properly moored and all connections are made. (c) Prevent the filling of petroleum products into non- compliant portable containers. (d) Be within 2 metres of the dispensing controls during the fuelling operation; and (e) Maintain a direct, clear, unobstructed view of both the vessel fuel filler neck and the emergency fuel shutoff control. Training 24. The boat owners shall designate, train, and certify operators as required by KMA regulations. PART V—PETROLEUM MARINE TRANSPORTATION BUSINESS LICENCE Requirement for Licence 25. (1) A person shall not carry out the business of transportation of petroleum by Marine Vessel except in accordance with a licence issued under the Petroleum Act and these Regulations. (2) A person who undertakes the business of transportation of petroleum by a Marine Vessel without a valid licence commits an offence and shall on conviction be liable to the fines and penalties as set out in the Eighth Schedule. Application for Licence 26. (1) A person who intends to carry out the business of transportation of petroleum by a Marine Vessel shall make an application to the Authority for a licence in the prescribed manner. (2) The application in sub-regulation (1) shall be accompanied by the documents listed in the Part I of the Third Schedule.. (3) The Authority may from time to time request for additional documents to those listed in the Part I of the Third Schedule.. (4) The application in sub-Regulation (1) shall be accompanied by the fees set out in the Sixth Schedule. (5) The Authority shall review an application submitted under sub- regulation (1) within thirty (30) days of receipt. (6) Provided that the application is materially complete, does not offend the provisions of any written law and meets the prescribed requirements, the Authority, upon consideration of the application, may grant a Petroleum Marine Transportation Business Licence without conditions or subject to such conditions as the Authority may deem fit. (7) The Authority shall reject an application where such an application fails to meet the requirements for granting of a Petroleum Marine Transportation Business Licence. (8) Where the Authority rejects an application for a Petroleum Marine Transportation Business Licence, the Authority shall give the applicant reasons for the rejection in writing within seven (7) days of such rejection. Environment Liability Policy 27. An application for a Petroleum Marine Transportation Business Licence shall be accompanied by an Environment Liability Policy in the format set out in the Seventh Schedule. Form and duration of licence 28. (1) A Petroleum Marine Transportation Business Licence shall be in the format set out in the Part III of the Fifth Schedule. (2) The licence in sub-regulation (1) shall contain such conditions as may be determined by the Authority from time to time. (3) A licence issued under these Regulations shall be valid for the period of one year Renewal of licence 29. (1) An application for renewal of a Petroleum Marine Transportation Business Licence shall be made to the Authority at least thirty (30) days prior to the expiry date. (2) An application for renewal in sub-regulation (1) shall be made in the prescribed format and shall be accompanied by the documents set out in the Fourth Schedule and proof of payment of the prescribed fees as set out in the Sixth Schedule. Obligations of Marine Transportation Business licensees 30. (1) In carrying out Petroleum Marine Transportation Business, a licensee shall — (a) transport petroleum products specified in the licence that meet the Kenya Standard; (b) ensure that the business complies with the requirements of the Petroleum Act and all other applicable laws; (c) transport petroleum for persons who hold valid Petroleum Business Licences issued under the Petroleum Act; (d) load petroleum from logistics facilities licensed under the Petroleum Act; (e) discharge petroleum only to licensed Marine Refuelling Vessels or Onshore Marine Refuelling Facilities, or to end-users for own consumption (f) ensure that all marine vessels used in the transportation of petroleum have valid Petroleum Marine Transport Vessel Permits issued by the Authority; (g) ensure that the marine vessels used in the transportation of petroleum are piloted by persons in possession of valid Skipper Certificates issued under this regulation; (h) ensure that there is an Emergency Response Plan that meets the criteria set by the Authority; 10th July, 2025 THE KENYA GAZETTE (i) implement regular pre-loading Petrorelum Marine Transport Vessel inspection in accordance with a checklist approved by the Authority from time to time; (j) ensure that the provisions of these Regulations and the conditions of the licence and Petrorelum Marine Transport Vessel permits are known to, and understood by all persons employed in or about the licensed premises or the petroleum marine vessels; (k) ensure that unauthorized persons do not have access to the Petroleum Marine Transport Vessels. (l) Ensure no passenger shall be allowed to board the Petroleum Marine Transport Vessels. (m) Petroleum Marine Transport Vessels; (i) shall be fitted with safety warning signages and placards indicating the risk levels, zoning and hazards as prescribed by the Authority on the Ninth Schedule (ii) shall be of a unique colour as prescribed by the Authority on the Ninth Schedule (iii) shall be fitted with strobe lights of colour and flashing pattern as prescribed by the Authority on the Ninth Schedule (iv) Shall be equipped with a radio communication device as prescrided by the Merchant Shipping Radio Communications Regulations 2012 or any other subsidiary regulations (v) the operators shall at all times adhere to the safety and weathers alerts from relevant State bodies. (vi) Shall have signage , placards reflective tapes and chevrons mounted as prescribed by the Authority on the Ninth Schedule (2) A petroleum marine transportation business licensee who fails to comply with the requirements listed in sub-regulation (1) commits an offence and shall on conviction be liable to the fines and penalties set out in the Eighth Schedule. Journey Plans 31. (1) A Petroleum Marine Transportation Business licensee shall ensure that a Journey Plan duly signed by the licensee or the authorized representative accompanies each petroleum delivery. (2) The Journey Plan in sub-regulation (1) shall specify the: (a) registration number of the marine vessel; (b) date and time of travel; (c) type of cargo on board; (d) name and national identification card number of the skipper; (e) name of the authorizing officer; (f) route of travel, designated stopping and resting points; (g) maximum allowed continuous piloting time by an individual skipper which shall not exceed four (4) hours; (h) rest period after continuous piloting, which shall not be less than thirty (30) minutes; (i) combined piloting hours including rest period(s) shall not exceed ten (10) hours in any twenty-four (24) hour period PART VI– PETROLEUM MARINE TRANSPORT VESSEL PERMIT Prohibition against use of petroleum marine transport vessel without permit 32. (1) A person shall not use or cause to be used a Petroleum Marine Transport Vessel for transportation of petroleum on inland and coastal waters unless it is in possession of a valid Petroleum Marine Transport Vessel Permit issued under the Petroleum Act. (2) A person who operates or causes to be used a petroleum marine vessel without a valid permit shall commit an offence and shall on conviction be liable to the fines and penalties set out in the Eighth Schedule. Application for a permit 33. (1) A person intending to use or cause to be used a Petroleum Marine Transport Vessel shall apply to the Authority for a permit in the prescribed manner accompanied by the documents listed in Part IV of the Fifth Schedule. (2) The application in sub-regulation (1) shall be accompanied by the fees set out in the Sixth Schedule. (3) The Authority shall review an application submitted under sub- regulation (1) within thirty (30) days of receipt. (4) The Authority shall reject an application for a Petroleum Marine Transport Vessel Permit where such an application does not meet the requirements. (5) Where the Authority rejects an application for a Petroleum Marine Tranport Vessel Permit, the Authority shall give the applicant reasons for the rejection in writing within seven (7) days of such rejection. Form and duration of permit 34. (1) A person applying for a Petroleum Marine Transport Vessel Permit shall be guided by the requirements set out in Part II of the Third Schedule (2) A Petroleum Marine Transport Vessel Permit shall be in the format set out in Part IV of the Fifth Schedule (3) The permit in sub-regulation (1) shall be valid for the period specified in the permit. Renewal of a Permit 35. (1) An application for renewal of a permit shall be made to the Authority at least thirty (30) days prior to the expiry date. (2) An application for renewal in sub-regulation (1) shall be in the prescribed manner and shall be accompanied by the documents set out in Part II of the Third Schedule. (3) The application in sub-regulation (1) shall be accompanied by proof of payment of the fees as set out in the Sixth Schedule. Vessel tracking 36. (1) A licensed Petroleum Marine Transport Vessel shall be equipped with a properly functioning vessel tracking device with a Global Positioning System (GPS) capable of generating reports of distance, location and speed. (2) The reports in sub-regulation (1) shall be availed to the Authority whenever required. (3) Evidence of installation of the tracking system in sub-regulation (1) shall be provided as part of the requirements for licence application as specified in the Part II of the Third Schedule. Designated Dock or Wharf 37. (1) A person shall not cause a Petroleum Marine Transport Vessel to be berthed or anchored in an area other than a designated dock or wharf. (2) Where a Petroleum Marine Transportation Business licensee has developed an exclusive dock or wharf for their Petroleum Marine Transport Vessel(s), the licensee shall ensure that it is constructed in a manner such as to minimize impacts on safety, health and the environment. (3) No person shall cause a Petroleum Marine Transport Vessel to be docked within one hundred (100) metres from a residential area. Designated Dock or Wharf 38. (1) A dock or wharf for Petroleum Marine Transport Vessels shall: (a) only be designated as such upon approval by the Authority; (b) have its location designated by a relevant State bodies or County Governments; (c) be located at a minimum distance of; (i) 500 metres away from jetties, quay, pier jetty, wharf, dock, harbor, passenger embarkation areas, boat traffic routes, piers, and 3:27 PM THE KENYA GAZETTE 10th July, 2025 4230 4230 ecologically sensitive areas such as mangroves, animal breeding sites, and protected areas, as designated by the relevant State bodies or agencies; (ii) 500 metres from an onshore marine refueling facility (iii) 500 metres from an marine refueling vessel (iv) 200 metres from one another (d) with respect (39) (1)(c) for inland waterways with shore lengths of less than the distances specified, the minimum distances shall be half the length of the waterways at the point of location; 39. (1) no marine vessels except for Petroleum Marine Transport Vessels shall be allowed to operate or be anchored within a designated dock or wharf. 40. (1) No open ignition source shall be allowed within a designated dock or wharf and: (a) smoking shall be prohibited on boats, vessels and in the designated dock or wharf; (b) all open flames shall be extinguished; (c) engines and motors shall be shut down and all electrical ports, windows, doors, and hatches shall be closed. 41. (1) All designated docks or wharfs shall be; (a) well marked with bouys and strobe lights as set out in the Ninth Schedule (b) well lit using intrisically safe lighting equipment Skipper Certificate PART VII – SKIPPER CERTIFICATION Skipper Certificate 42. (1) A person shall not pilot a Petroleum Marine Transport Vessel unless he is in possession of a valid Skipper Certificate (2) A person who pilots A Petroleum Marine Transport Vessel without a valid Skipper Certificate commits an offence and shall on conviction be liable to the fines and penalties as set out in the Eighth Schedule. Application for Certificate 43. (1) A person who intends to pilot a Petroleum Marine Transport Vessel shall make an application to the Authority for a Skipper Certificate in the prescribed manner as set out in Part V of the Fifth Schedule. (2) The application in sub-regulation (1) shall be accompanied by the documents listed in Part III of the Third Schedule and the fees set out in the Sixth Schedule. (3) The Authority may from time to time request additional documents to those listed in the Part III of the Third Schedule. (4) The Authority shall review an application submitted under sub- regulation (1) within thirty (30) days of receipt. (5) The Authority shall reject an application where such an application fails to meet the requirements for granting a Skipper Certificate. (6) Where the Authority rejects an application for a Skipper Certificate, the Authority shall give the applicant reasons for the rejection in writing within seven (7) days of such rejection. Form of Certificate 44. (1) A Skipper Certificate shall be in the format set out in Part V of the Fifth Schedule. (2) A Skipper Certificate issued under these Regulations shall be valid for the period of one year. Possession of Skipper Certificate 45. (1) A Skipper shall at all times when piloting or in any way controlling a Petroleum Marine Transport Vessel have in his possession the Skipper Certificate, or a certified copy thereof. (2) A Skipper Certificate issued under these Regulations: (a) remains the property of the Authority; (b) may be modified, suspended, revoked or amended at any time in accordance with the provisions of the Petroleum Act, 2019; (c) may not be tampered with or defaced in any manner; and (d) is not transferable. Renewal of a Skipper Certificate 46. (1) An application for renewal of a Skipper Certificate shall be made at least thirty (30) days prior to its expiry. (2) An application for renewal in sub-regulation (1) shall be in the prescribed manner and shall be accompanied by the documents set out in Part III of the Third Schedule and proof of payment of the fees set out in the Sixth Schedule. Obligations of Certificate Holder 47. (1) A Skipper shall: (a) not pilot a Petroleum Marine Transport Vessel unless such a vessel has a valid Petroleum Marine Transport Vessel Permit issued by the Authority; (b) not allow another person who is not in possession of a valid Skipper Certificate to pilot or take control of a Petroleum Marine Transport Vessel in his custody; (c) not tamper with the quality of the petroleum products in his custody; (d) not divert petroleum destined for export into the local market; (e) ensure operation of the Petroleum Marine Transport Vessel in accordance with the requirements of the Petroleum Act and pertinent regulations; (f) transport petroleum for petroleum business licensee(s) in possession of valid licences issued under the Petroleum Act; (g) load petroleum from petroleum logistics facilities in possession of a valid licence issued under the Petroleum Act; (h) discharge petroleum to a facility in respect of which a licence has been issued under the Petroleum Act, to an end-user for own consumption (i) comply with the Emergency Response Plan that has been developed by the Petroleum Marine Transportation Business Licensee (j) implement regular pre-loading vessel inspection in accordance with a checklist approved by the Authority; (k) comply with arrangements for the safe Docking or Berthing of Petroleum Marine Transport Vessel in accordance with the Emergency Response Plan; (l) dock a Petroleum Marine Transport Vessel in designated docking or berthing areas; (m) not to berth a Petroleum Marine Transport Vessel outside Designated Dock or Wharf unless; (i) Temporarily at a designated marine refueling area while offloading petroleum products (ii) Temporarily at a jetty terminal to load petroleum product (iii) Temporarily at a dry dock for maintenance (iv) otherwise instructed by the Authority or any other relevant State bodies (n) be in possession of and adhere to the journey plan, which shall be signed by the owner of the Petroleum Marine Transport Vessel or the authorized representative; and (o) not carry unauthorized passengers or cargo. (2) A person who fails to comply with the requirements listed in sub- regulation (1) commits an offence and shall on conviction be liable to the fines and penalties as set out in the Eighth Schedule. 10th July, 2025 THE KENYA GAZETTE PART VIII – MISCELLANEOUS Display of Permits and Licences 48. (1) A Construction Permit or a Marine Refuelling Business Licence, or a certified copy thereof, shall be displayed in a conspicuous position at the premises in respect of which it is issued. (2) All the Licences, Permits and Certificates issued under the Petroleum Act and this Regulation: (a) remain the property of the Authority; (b) may be suspended, revoked or amended by the Authority at any time in accordance with the Petroleum Act; (c) shall not be tampered with or defaced in any manner; and (d) shall not be transferred without the written consent of the Authority. (3) A person who contravenes sub-regulation (1) commits an offence and shall be liable on conviction to the fines and penalties as set out in the Eighth Schedule. Reporting of Accidents or Incidents 49. (1) A Marine Refuelling Business or Petroleum Marine Transportation Business licensee shall notify the Authority within Forty Eight (48) hours of occurrence of an accident or incident as set out in the Tenth Schedule. The threshold of reportable accidents or incidences includes those ones causing:- (a) loss of life or permanent disability; (b) damage to property or the environment (c) an oil-spill of 100 litres or more or an accidental gas release of 100 kilograms or more in quantity; or (d) a fire or an explosion resulting in (a) or (b) above. (2) The information to be submitted to the Authority shall be as set out in the Tenth Schedule. (3) A person licensed to undertake Marine Refuelling Business or Petroleum Marine Transportation Business who fails to comply with this Regulation commits an offence and shall be liable on conviction to the fines and penalties as set out in the Eighth Schedule. Investigation of Accidents or Incidents 50. (1) A person licensed to undertake Marine Refuelling Business or Petroleum Marine Transportation Business shall investigate any accident or incident reported under Regulation 49 within Fourteen (14) days or any such extended period as approved by the Authority from the date of the incident and submit a report containing the: (a) cause of the accident; (b) all effects of the accident; and (c) proposed remedial measures and timelines thereof. (2) The Authority shall review the report under sub-regulation (1) within thirty (30) days and shall either: (a) accept the report; or (b) request for adjustment; or (c) reject the report giving reasons and other directives. (3) Notwithstanding sub-regulations (1) and (2), the Authority may undertake its own investigation. (4) Where required, the Marine Refuelling Business or Petroleum Marine Transportation Business owner or operator whose facility was involved in the accident or incident shall grant access to the Authority to undertake investigations. Inspections 51. The Authority may enter and inspect any Marine Refuelling Facility or Petroleum Marine Transportation vessel or any premises where Marine Refuelling Business or Petroleum Marine Transportation Business is conducted or suspected to be conducted for purposes of inspections pursuant to the provisions of the Petroleum Act or Regulations made thereunder. Disclosure of information 52. (1) No person shall obstruct, hinder, withhold information or provide false information as may be requested by the Authority provided that such information is requested. (2) A person who contravenes sub-regulation (1) commits an offence and shall be liable on conviction to the fines and penalties prescribed in the Eighth Schedule. Appeals 53. (1) A person has the right to appeal against the decision of the Authority where the Authority: (a) refuses to grant or renew a licence, permit or certificate or revokes a licence, permit or certificate; or (b) imposes conditions on a licence, permit or certificate; or (c) refuses to replace or amend a licence, permit or certificate; or (d) suspends or revokes a license, permit or certificate. (2) A person aggrieved by the reasons in sub-regulation (1), may appeal to the Tribunal within thirty (30) days of receipt of the Authority's decision. General Penalties 54. A person who commits an offence under these regulations for which no express penalty is provided shall on conviction be liable to the penalties prescribed under Section 99 of the Petroleum Act. Transitional Clause 55. (1) All existing licensees shall be required to comply with these Regulations within the periods, from the date of these Regulations coming into force, as listed below; (a) in the case of Marine Refuelling Facilities: (i) comply with these within twenty four (24) months from the date of coming into force of these Regulations; (b) in the case of Petroleum Marine Transport Vessel: (i) comply with these within twenty four (24) months from the date of coming into force of these Regulations; (c) in the case of Petroleum Marine Transport Vessel Skippers: (i) comply with these within twenty four (24) months from the date of coming into force of these Regulations; (d) in the case of Marine Refuelling Operations: (i) comply with these within twenty four (24) months from the date of coming into force of these Regulations; Repeal 56. Where no exclusion has been made as listed in sub-regulation (1), the requirements of these Regulations shall be effective immediately from the date of coming into force of these Regulations. Dated .................................................................. 2025 J. OPIYO WANDAYI, Cabinet Secretary Ministry of Energy and Petroleum FIRST SCHEDULE Regulation 6(1) and 7(1) PART I – REQUIREMENTS FOR CONSTRUCTION PERMIT FOR ONSHORE MARINE REFUELLING FACILITY, MARINE REFUELLING VESSEL OR PETROLEUM MARINE TRANSPORT VESSEL 1. Certificate of Incorporation / Business Registration Certificate; 2. CR12 from the Registrar of companies (should not be older than 1 year at the time of submission of the application. 3:27 PM THE KENYA GAZETTE 10th July, 2025 4232 4232 Further, if a Limited company appears as part of the shareholders, provide the company’s CR12 plus all the Directors’ IDs); 3. Legible Copies of Identification Documents (IDs/Passports for all the directors); 4 Outline of the methods of financing of the project; 5. Valid Work Permits Class “G” for all foreign directors working in Kenya (Foreign directors not resident in Kenya should provide a notarized declaration. Further, any employee given Powers of Attorney by a foreign director should provide a copy of their identification document); 6. For Onshore Marine Refuelling Facilities, Development permission from the respective County Government (including County Physical Planning Office); 7. Approval to construct Onshore Marine Refuelling Facility, Marine Refuelling Vessel or Petroleum Marine Transport Vessel from the relevant State bodies (Kenya Maritime Authority / Kenya Ports Authority/ Water Resources Authority whichever is applicable); 8. Mechanical engineer’s drawings specifying materials and design/ operational limitations (Petroleum tank(s) designs, pipe-work, and for marine vessels, the layout including General drainage and OWS layout/ designs ); 9. For Onshore Marine Refuelling Facilities, Civil engineer’s drawings showing details of petroleum tank cradle and backfill designs; Forecourt layout and surface designs; General drainage and OWS layout/ designs; 10. Certified copies of valid practicing Certificates issued by the Engineers Board of Kenya as per the Engineers Act (2011) for Engineers or Consulting Firms that shall have prepared the designs under items 8 & 9 above; and 11. Valid Environmental Impact Assessment license from NEMA approving the development of the project/facility. This requirement shall not apply to Petroleum Marine Transport Vessels 12. Proof of ownership/lease of the land on which the onshore marine refuelling facility is to be built or ownership of the marine refuelling vessel or petroleum marine transport vessel PART II (A)– FORM OF ONSHORE MARINE REFUELLING FACILITY CONSTRUCTION PERMIT PERMIT NO. ……………………. THE PETROLEUM ACT, 2019 ONSHORE MARINE REFUELLING FACILITY CONSTRUCTION PERMIT Construction Permit is hereby granted …………….……… …………………………………………..to construct the following petroleum Facility (is): Construction of: Onshore Marine Refuelling Facility ……………………………………… On premises situated at: : Plot No. : Water Body : Street/Market : Town/County : This Permit expires on : Dated this: Signature (SEAL) Director General Energy & Petroleum Regulatory Authority Conditions: 1. As per Section 76(1) and (2) of the Petroleum Act PART II (B)– FORM OF MARINE REFUELLING VESSEL CONSTRUCTION PERMIT PERMIT NO. ……………………. THE PETROLEUM ACT, 2019 MARINE REFUELLING VESSEL CONSTRUCTION PERMIT Construction Permit is hereby granted to of P.O. Box to construct the following petroleum Facility (is): Construction of: Marine Refuelling Vessel …………………………………………. Vessel builder : Vessel builder Address : Water Body : Town/County : This Permit expires on : Dated this: Signature (SEAL) Director General Energy & Petroleum Regulatory Authority Conditions: 1. As per Section 76(1) and (2) of the Petroleum Act PART II (C)– FORM OF PETROLEUM MARINE TRANSPORT VESSEL CONSTRUCTION PERMIT PERMIT NO. ……………………. THE PETROLEUM ACT, 2019 PETROLEUM MARINE TRANSPORT VESSEL CONSTRUCTION PERMIT Construction Permit is hereby granted to of P.O. Box to construct the following petroleum Facility (is): Construction of: Petroleum Marine Transport Vessel ……………………………………… Vessel builder : Vessel builder Address : Water Body : Town/County : 10th July, 2025 THE KENYA GAZETTE This Permit expires on : Dated this: Signature (SEAL) Director General Energy & Petroleum Regulatory Authority Conditions: 1. As per Section 76(1) and (2) of the Petroleum Act --------------------------------- SECOND SCHEDULE Regulation 9(7) PART I – FORM OF WRITTEN UNDERTAKING FOR ONSHORE MARINE REFUELLING FACILITY WRITTEN UNDERTAKING TO THE ENERGY & PETROLEUM REGULATORY AUTHORITY (Standard Form as approved by EPRA) WHEREAS Regulation 9(6) of the Petroleum (Marine Refuelling) Regulations 2025, made under the authority of the Petroleum Act 2019 requires an applicant for a Construction Permit to make a written undertaking to the Energy and Petroleum Regulatory Authority (EPRA) within thirty (30) days of receiving notification of grant of a Construction Permit; THEREFORE I ……...............................................of P.O. Boxbeing the person who intends to construct or have a petroleum retail station constructed, hereby warrants to abide by the terms and conditions stipulated in the Construction Permit issued by EPRA. Permit No.: Petroleum Facility: Vessel Builder: Location: Vessel Builder Address: Town/County: Water Body: Permit Expiry Date: Full Name Of Applicant: Phone Number: Signature Of Applicant Or Person Authorized By Said Applicant To Commit The Applicant And To Act As His Agent In This Matter: Date: If The Name Of The Signee Is Different From The Owner, Please Print Signee’s Name Here: Phone Number: A person who furnishes false information in any permit application under the Petroleum Act No. 2 of 2019 or in any statement required to be furnished under the Act, or pursuant to the Petroleum (Marine Refuelling) Regulations 2025, is on conviction, liable to such fines and penalties as prescribed by the Authority. PART II – FORM OF WRITTEN UNDERTAKING FOR MARINE REFUELLING VESSEL WRITTEN UNDERTAKING TO THE ENERGY & PETROLEUM REGULATORY AUTHORITY (Standard Form as approved by EPRA) WHEREAS Regulation 9(6) of the Petroleum (Marine Refuelling) Regulations 2025, made under the authority of the Petroleum Act 2019 requires an applicant for a Construction Permit to make a written undertaking to the Energy and Petroleum Regulatory Authority (EPRA) within thirty (30) days of receiving notification of grant of a Construction Permit; THEREFORE I ……......................of P.O. Box……………being the person who intends to construct or have a petroleum retail station constructed, hereby warrants to abide by the terms and conditions stipulated in the Construction Permit issued by EPRA. Permit No.: Petroleum Facility: Vessel Builder: Location: Vessel Builder Address: Town/County: Water Body: Permit Expiry Date: Full Name Of Applicant: Phone Number: Signature Of Applicant Or Person Authorized By Said Applicant To Commit The Applicant And To Act As His Agent In This Matter: Date: If The Name Of The Signee Is Different From The Owner, Please Print Signee’s Name Here: Phone Number: A person who furnishes false information in any permit application under the Petroleum Act No. 2 of 2019 or in any statement required to be furnished under the Act, or pursuant to the Petroleum (Marine Refuelling) Regulations 2025, is on conviction, liable to such fines and penalties as prescribed by the Authority. PART III – FORM OF WRITTEN UNDERTAKING FOR MARINE TRANSPORT VESSEL WRITTEN UNDERTAKING TO THE ENERGY & PETROLEUM REGULATORY AUTHORITY (Standard Form as approved by EPRA) WHEREAS Regulation 9(6) of the Petroleum (Marine Refuelling) Regulations 2025, made under the authority of the Petroleum Act 2019 requires an applicant for a Construction Permit to make a written undertaking to the Energy and Petroleum Regulatory Authority (EPRA) within thirty (30) days of receiving notification of grant of a Construction Permit; THEREFORE I..................................of P.O. Box being the person who intends to construct or have a petroleum retail station constructed, hereby warrants to abide by the terms and conditions stipulated in the Construction Permit issued by EPRA. Permit No.: Petroleum Facility: Vessel Builder: Location: Vessel Builder Address: Town/County: Water Body: Permit Expiry Date: Full Name Of Applicant: Phone Number: Signature Of Applicant Or Person Authorized By Said Applicant To Commit The Applicant And To Act As His Agent In This Matter: Date: If The Name Of The Signee Is Different From The Owner, Please Print Signee’s Name Here: Phone Number: A person who furnishes false information in any permit application under the Petroleum Act No. 2 of 2019 or in any statement required to be furnished under the Act, or pursuant to the Petroleum (Marine Refuelling) Regulations 2025, is on conviction, liable to such fines and penalties as prescribed by the Authority. 3:27 PM THE KENYA GAZETTE 10th July, 2025 4234 4234 THIRD SCHEDULE PART I - REQUIREMENTS FOR APPLICATION FOR NEW BUSINESS LICENCE FOR ONSHORE MARINE REFUELLING FACILITY, MARINE REFUELLING VESSEL OR PETROLEUM MARINE TRANSPORTATION Regulation 12(1), 26(2), 26(3) 1. Certificate of Incorporation / Business Registration Certificate; 2. CR12 from the Registrar of companies (should not be older than 1 year at the time of submission of the application. Further, if a Limited company appears as part of the shareholders, provide the company’s CR12 plus all the Directors’ IDs); 3. Legible Copies of Identification Documents (IDs/Passports for all the directors); 4. Valid Work Permits Class “G” for all foreign directors working in Kenya (Foreign directors not resident in Kenya should provide a notarized declaration. Further, any employee given Powers of Attorney by a foreign director should provide a copy of their identification document); 5. For an Onshore Marine Refuelling Facility, proof of land ownership (copy of title deed in the name of company/director(s)). In the case of long-term land lease, copy of duly registered lease agreement in the name of the Applicant company valid for at least twelve (12) months plus the title deed of the land owner or an allotment letter in the name of the proponent certified by the County Government; 6. For Marine Refuelling Vessel and Petroleum Marine Transport Vessel proof of vessel ownership (copy of certificate of registration in the name of company/director(s)). In the case of long-term vessel lease, copy of duly notalized lease agreement in the name of the Applicant company valid for at least twelve (12) months plus the certificate of registration of the vessel owner ; 7. A valid Tax Compliance Certificate for the applicant from the Kenya Revenue Authority; 8. A valid Single Business Permit for the premises of operation from the respective County Government; 9. A valid Environmental Impact Assessment licence from NEMA for the facility; 10. A valid Fire Clearance Certificate for the facility from the respective County Government; 11. For an Onshore Marine Refuelling Facility, certificate of Compliance with the Physical Planning Act 2019 (PPA5 or PPA2); 12. A valid certificate of registration of the facility as a work place from the Directorate of Occupational Safety and Health Services; 13. A valid calibration certificate for each petroleum storage tank at the facility; 14. A valid certificate of calibration of the petroleum dispensing units’ meters from the Department of Weights and Measures; 15. A pressure test report for the petroleum tanks and pipelines at the facility (for new facilities); 16. A colour photo of the facility clearly showing the dispensing and storage area; 17. A summary Emergency Response Plan for the facility; and 18. A duly executed Environment Liability Policy in accordance with Section 79 of the Act. PART II – REQUIREMENTS FOR APPLICATION AND RENEWAL OF PETROLEUM MARINE TRANSPORT VESSEL PERMIT Regulation 34(1) , 35(2), 36(3) 1. Vessel Registration Certificate for each vessel (Attach a certified valid lease agreement if vessel not in the name of the applicant); 2. A valid Fire certificate for each vehicle from the County Government; 3. A valid calibration certificate for the petroleum storage tank on the vessel 4. A valid Vessel Inspection Certificate from the Kenya Maritime Authority for each Vessel. 5. A valid Petroleum Marine TransportVessel Skipper Certificate 6. Evidence of installation of the Global Positioning System (GPS) tracking system capable of generating reports of distance, location and speed PART III – REQUIREMENTS FOR APPLICATION AND RENEWAL OF SKIPPER CERTIFICATE Regulation 43(2) , 43(3), 46(2) 1. Identification Document (ID) for the applicant; 2. A valid certificate of fitness of the applicant from a doctor approved by the Directorate of Occupation Safety and Health and Services; 3. Basic training on petroleum safety from an institution approved by Technical and Vocational Education and Training Authority or National Industrial Training Authority. 4. A valid Certificate of Competency (CoC) or Small Boat Operators Licence (BOL) or Pilotage Licence (PL) for the applicant for the appropriate class of Vessel issued by relevant Kenya Maritime Authority (KMA); 5. A Police Clearance Certificate of the applicant (should not be older than 1 year at the time of submission of the application); and 6. A colour Passport size photo of the applicant. PART IV – LICENCE AMENDMENT APPLICATION FORM FOR ONSHORE MARINE REFUELLING FACILITY, MARINE REFUELLING VESSEL, PETROLEUM MARINE TRANSPORTATION OR SKIPPER CERTIFICATE Regulations 15 (4) 1. Licence number for the licence you wish to amend: 2. Indicate the type of amendment you would wish to make (tick as appropriate): Change of Premises Change of Business/Company /Skipper Name Addition of petroleum product tanks Decommission of petroleum product tanks 3. (a) Criteria to be met for amendment of a licence is attached in this regulation. a. Change of Premises i. A valid Single Business Permit for the premises of operation from the respective County Government b. Change of Business/Company Name 10th July, 2025 THE KENYA GAZETTE i. Certified copy of CR12 from the Registrar of companies (Not older than one (1) year) for limited companies; and ii. Certified copy of Certificate of Change of Name c. Addition of petroleum product tanks i. Tanks inspection reports by an accredited competent person in compliance with the Kenya Standards or international standards ratified by the Kenya Bureau of Standards; d. Decommission of petroleum product tanks i. Tank decommissioning reports by an accredited competent person; FOURTH SCHEDULE REQUIREMENTS FOR APPLICATION FOR RENEWAL OF BUSINESS LICENCE FOR ONSHORE MARINE REFUELLING FACILITY, MARINE REFUELLING VESSEL OR PETROLEUM MARINE TRANSPORT VESSEL Regulation 14(2), 29(2) 1. CR12 from the Registrar of companies (should not be older than 1 year at the time of submission of the application. Further, if a Limited company appears as part of the shareholders, provide the company’s CR12 plus all the Directors’ IDs); 2. Legible Copies of Identification Documents (IDs/Passports for all the directors); 3. Valid Work Permits Class “G” for all foreign directors working in Kenya (Foreign directors not resident in Kenya should provide a notarized declaration. Further, any employee given Powers of Attorney by a foreign director should provide a copy of their identification document); 4. A valid Tax Compliance Certificate for the applicant from the Kenya Revenue Authority; 5. A valid Single Business Permit for the premises of operation from the respective County Government; 6. For an Onshore Marine Refuelling Facility, proof of land ownership (copy of title deed in the name of company/director(s)). In the case of long-term land lease, copy of duly registered lease agreement in the name of the Applicant company valid for at least six (6) months plus the title deed of the land owner or an allotment letter in the name of the proponent certified by the County Government; 7. For Marine Refuelling Vessel and Petroleum Marine Transport Vessel proof of vessel ownership (copy of certificate of registration in the name of company/director(s)). In the case of long-term vessel lease, copy of duly notalized lease agreement in the name of the Applicant company valid for at least six (6) months plus the certificate of registration of the vessel owner ; 8. An acknowledgement from NEMA of having submitted an annual Environmental Audit report for the facility (the acknowledgement should not be older than 1 year at the time of submission of the application); 9. A valid Fire Clearance Certificate for the facility from the respective County Government; 10. A valid certificate of registration of the facility as a work place from the Directorate of Occupational Safety and Health Services; 11. A valid calibration certificate for each petroleum storage tank at the facility; 12. A valid certificate of calibration of the petroleum dispensing units’ meters from the Department of Weights and Measures; 13. A summary Emergency Response Plan for the facility; and 14. A duly executed Environment Liability Policy in accordance with Section 79 of the Act. ---------------------------- FIFTH SCHEDULE PART I - FORM OF PETROLEUM BUSINESS LICENCE FOR ONSHORE MARINE REFUELLING FACILITY Regulation 13(1) THE PETROLEUM ACT, 2019 ONSHORE MARINE REFUELLING FACILITY BUSINESS LICENCE No. EPRA/PET Licence is hereby granted to of P.O. Box to carry on the following petroleum businesses: LICENCE NAME On premises situated at : Plot No. : Designated Marine : Refuelling Area Water Body : Street/Market : Town/County : This licence expires on : Dated this: Signature (SEAL) Director General Energy & Petroleum Regulatory Authority Conditions: 1. As per Section 76(1) and (2) of the Petroleum Act PART II -FORM OF PETROLEUM BUSINESS LICENCE FOR MARINE REFUELLING VESSELS Regulation 13(1) THE PETROLEUM ACT, 2019 MARINE REFUELLING VESSEL BUSINESS LICENCE No. EPRA/PET Licence is hereby granted to of P.O. Box to carry on the following petroleum businesses: LICENCE NAME On premises situated at : Designated Marine : Refuelling Area Water Body : 3:27 PM THE KENYA GAZETTE 10th July, 2025 4236 4236 Beach/Marine Area : Town/County : This licence expires on : Dated this: Signature (SEAL) Director General Energy & Petroleum Regulatory Authority Conditions: 1. As per Section 76(1) and (2) of the Petroleum Act PART III - FORM OF BUSINESS LICENCE FOR PETROLEUM MARINE TRANSPORTATION Regulation 28(1) THE PETROLEUM ACT, 2019 PETROLEUM MARINE TRANSPORTATION BUSINESS LICENCE No. EPR/PET Licence is hereby granted to of P.O. Box to carry on the following petroleum businesses: LICENCE NAME On premises situated at : Plot No. : Building : Street/Market : Town/County : This licence expires on : Dated this: Signature (SEAL) Director General Energy & Petroleum Regulatory Authority Conditions: 1. As per Section 76(1) and (2) of the Petroleum Act PART IV—FORM OF PETROLEUM MARINE TRANSPORT VESSEL PERMIT Regulation 34(2) THE PETROLEUM ACT, 2019 PETROLEUM MARINE TRANSPORT VESSEL PERMIT PERMIT PERMIT NO. …………….. This Petroleum Marine Transport Vessel Permit authorizes the transportation of: Petroleum Products Liquefied Petroleum Gas (Tick as appropriate) in the petroleum marine transport vessel whose details appear below; Marine Vessel No. …………………………………………………… Hull ID No. (HIN)/IMO No………………………………………….. Maximum Capacity………………………………………………….. Petroleum Marine Transporter………………………………………… Water Body……………………………………………………………. This Permit Expires on………………………………………………… Dated this………………………………………………………………. Signature………………………………………………………………. Director-General/CEO PART V—FORM OF SKIPPER CERTIFICATE Regulation 43(1) THE PETROLEUM ACT, 2019 SKIPER CERTICATE PERMIT Class. …………………………………………………… Number………………………………………….. Name………………………………………………….. National ID………………………………………… KMA Coc/BOL/PL No………………………………………………… This Certificate authorizes the Hotel to plot a Petroleum Marine Transport Vessel Date of Issue ………………………………………………………… Expiry Date…………………………………………………………. SIXTH SCHEDULE Regulation 6(3), 12 (2)(a), 14(2), 15(5), 26(4), 29(2), 33(2), 35(3), 43(2), 46(2) FEES SCHEDULE Description- Category of Licence Fees New Applica tion (Amoun t in Kshs) Extensi on Applicat ion (Amount in Kshs) Amendm ent Applicat ion (Amount in Kshs) Marine Refuelling Vessel Construction Permit 5,000 2,000 1,000 Onshore Marine Refuelling Facility Construction Permit 5,000 2,000 1,000 Petroleum Marine Transport Vessel Construction Permit 5,000 2,000 1,000 Description- Category of Licence Fees New Applica tion (Amou nt in Kshs) Renewal Applicatio n (Amount in Kshs) Amendm ent Applicat ion (Amount in Kshs) Onshore Marine Refuellin g Facilities Business Licence 5,000 2,000 1,000 Marine Refuelling 5,000 2,000 1,000 10th July, 2025 THE KENYA GAZETTE Vessels Business Licence Petroleum Marine Transportation Business Licence 5,000 2,000 1,000 Petroleum Marine Transport Vessel Permit 2,000 1,000 500 Skipper Certificate 750 500 250 SEVENTH SCHEDULE Regulation 12 (2)(b), 27 ENVIRONMENT LIABILITY POLICY (NAME OF COMPANY) is committed to the protection and preservation of the environment. We will continuously improve our performance and initiate additional projects and activities that will further reduce our impacts to the environment. Our commitment to the environment extends to our customers, our staff and the community from where we operate. We are committed to: • Complying with all applicable environmental preservation and sustainability legislation; • Preventing pollution whenever possible through efficient waste management strategies that promote waste minimization, re-use, recovery, recycling, as appropriate; • Promoting and continually investing in technologies that provide alternatives to business travel and transport; • Adopting a procurement programme which takes into account the environmental impact of products and services; • Promoting the protection and enhancement of biodiversity and ecosystems through employee awareness programs and stakeholder engagement; • Ensuring our staff are aware of the environmental impacts of their work activities and encouraging them through regular awareness and training to minimize those impacts; • Communicating our environmental commitment and efforts to our customers, staff and the community; and • Pursuing a programme of continuous improvement by reviewing our Environmental Management System and related objectives and targets, policies and practices. • Reporting to the relevant State bodies, accidents or incidents causing pollution of the environment, investigating the accidents/incidents and undertaking clean up or restoration of the affected areas. Signature: …………………………………………… Designation:……………………………………………... Stamp/Seal:…………………………………………….. Review date:……………………………………….. This policy will be reviewed on a regular basis to evaluate continued relevance and to monitor compliance. EIGHTH SCHEDULE Regulations 5(3), 11(2), 16(2), 30 (2), 32(2), 42(2), 47 (2), 48 (3), 49(2), 52(2) OFFENCES, FINES AND PENALTIES Regulations Offence Fine and Penalty 30(2) Failure to meet marine transportation business licensees obligations On admission of offence, Kshs. 20,000 for each offence; or Upon conviction, a fine of not less than Kshs 500,000, or imprisonment for a term of not less than 3 years, or both such fine and imprisonment, as prescribed in the Petroleum Act (s 99(2)(a)). 32(2) Operating a Marine Transport Vessel without a valid Petroleum Marine Transport Vessel Permit On admission of offence, Kshs. 20,000 for each offence; or Upon conviction, a fine of not less than Kshs 1,000,000, or imprisonment for a term of not less than 3 years, or both such fine and imprisonment, as prescribed in the Petroleum Act (s 74(3)(b)). 42(2) Piloting a Marine Transport Vessel without Skipper Certificate Kshs 50,000 47(2) Failure to meet Skipper obligations Kshs 20,000 48(3) Failure to display valid construction permit and or petroleum marine business licence Not exceeding KShs. 1,000,000 as prescribed in the Petroleum Act (s 80(2)). 49(2) Failure to report accidents/incidents Kshs 100,000 52(2) Failure to disclose requested information Kshs 100,000 NINTH SCHEDULE SAFETY SIGNAGE, COLOUR CODING, STROBES, VESSEL TRACKING AND COMMUNICATION Regulation 22 (4) (a) (b) (c), 30 (1)(m), 41 (1)(a) Type of Assets Colour Code Strobe Colour and Signalli ng Sequenc e Bouy Colour Minimum Safety Signage CB Band Communicat ion Channel Marine Refuellin g Vessel Orange Amber Red i. No Smok ing ii. Refuel ling Proce dures iii. Hazar dous Area CB Channel 13 (27.11500 Mhz) Onshore Blue Amber Red i. No Smo king ii. Refue lling Proce dures iii. Hazar dous Area CB Channel Marine (27.11500 Mhz) Refuellin g Facility 3:27 PM THE KENYA GAZETTE 10th July, 2025 4238 4238 Petroleum Red Amber Red i. No Smo king ii. Refue lling Proce dures iii. Hazar dous Area CB Channel Marine (27.11500 Mhz) Transport Vessel TENTH SCHEDULE ACCIDENT REPORTING FORM Regulation 49 (1) 1. Name of Licensee: 2. Facility Registration No.: 3. Accident Location: 1. County 2. Sub-County 3. Location 4. GPS Coordinates 5. Village 4. Time and Date of the Accident: 5. Date Reported to Licensee: 6. Date Reported to the Authority: 7. Cause of Accident: 8. Accident Impact: 9. Police Reference and Reported Date(as applicable): 10. Reported By: a. Name: b. Postal address: c. Email Address: d. Telephone: Supporting Documents: (As applicable including scene photos) GAZETTE NOTICE NO. XXXX THE PETROLEUM ACT (Cap. 308) IN EXERCISE of the power conferred by section 126 (1) of the Petroleum Act, 2019, the Cabinet Secretary for Energy and Petroleum and on the recommendation of the Authority makes the following Draft Regulations for public comments— DRAFT PETROLEUM (UPSTREAM PETROLEUM MANAGEMENT AND ADMINISTRATION) REGULATIONS, PART 1 – PRELIMINARY 1. These Regulations may be cited as the Petroleum (Upstream Petroleum Management and Administration) Regulations, 2025. 2. In these Regulations, unless the context otherwise requires, “Act” means the Petroleum Act (Cap. 308); “Advisory Committee” means National Upstream Petroleum Advisory Committee as provided in the Act; “Participating interest” means an interest held by the Government of Kenya directly or through an appointee in the conduct of upstream petroleum operations; “Permit holder” means any person who holds a non-exclusive exploration permit; “Petroleum policy” means the national petroleum policy provided for under Section 5 of the Act; “Strategic plan” means the national upstream petroleum strategic plan. Application 3. These Regulations shall apply to the management and administration of upstream petroleum. PART 2 – CONSTITUTION OF BLOCKS 4. (1) The Cabinet Secretary in consultation with the Advisory Committee may divide or redivide any unlicensed onshore or offshore areas into blocks. (3) When constituting petroleum blocks the Cabinet Secretary shall ensure the potential for efficient exploration using prudent exploration methods is realised. (4) In establishing the size, shape and location of blocks due consideration shall be given to— (a) any existing rights, uses or other restrictions relating to the areas in question; (b) available technical data; (c) any individual topographical features that may require special consideration in the division of blocks; (d) retaining as far as practically possible a uniform size and shape for each block; and, (e) any other matter the Cabinet Secretary may deem relevant. (5) Blocks shall be organised into numbered areas defined by specific geographical co-ordinates. (6) Following the establishment of any new block or a change in the constitution of any block, the newly constituted blocks; (a) shall be published in the Kenya Gazette; (b) shall be published in the website of the Ministry; (c) may be published in any electronic media or at least two newspapers of national circulation. PART 3 – NATIONAL PETROLEUM STRATEGIC PLAN 5. (1) The Cabinet Secretary, upon the publication of the national petroleum policy shall commence the development or review of, the national petroleum strategic plan which shall guide the implementation of the national petroleum policy. (2) The Cabinet Secretary, shall within forty-five (45) days after the publication of a national petroleum policy; (a) identify all relevant stakeholders in the petroleum operations. (b) inform all stakeholders of the procedure and methodology for the iteration of the strategic plan; (c) communicate to stakeholders the scope of the strategic plan. (d) Assess the impact of petroleum operations to the local community. (e) Assess the potential environmental, economic and, social impact of petroleum operations. (f) Assess Environmental, Social and Governance (ESG) values applicable for petroleum operations (3) The Cabinet Secretary shall ensure proper records are maintained of any proceedings or submissions in relation to development or review of the strategic plan. 6. (1) During the stakeholder consultation, the Cabinet Secretary shall publish a notice of stakeholder consultation on the website of the Ministry, any electronic media, any two newspapers of nationwide circulation, and the Kenya Gazette. 10th July, 2025 THE KENYA GAZETTE (2) A notice to relevant stakeholders concerning consultation on a strategic plan shall— (a) set out a summary of the strategic plan in sufficient detail to enable stakeholders to engage effectively in the consultation. (b) explain how stakeholders may access the details of strategic plan. (c) invite written comments on or objections to the strategic plan. (d) specify the person or body to which the comments are to be submitted and any required format for submissions; and (e) specify a date by which the comments are required to be received in order to be considered in the consultation, which shall allow a reasonable time period for the submission of comments after publication of the notice. (3) In the course of any stakeholder consultation required under these Regulations, the Cabinet Secretary shall make arrangements for the public to obtain copies, at a reasonable cost, of relevant documents relating to the strategic plan which are in the possession of the Cabinet Secretary. (4) The Cabinet Secretary shall ensure that comments or objections, received through the consultation process, are properly documented and considered. 7. (1) The strategic plan shall contain such information as the Cabinet Secretary may consider appropriate which may include the following— (a) any initiatives designed to achieve the objectives and priorities identified in the national petroleum policy on operations; (b) The budgetary requirements for the implementation of the strategic plan; (c) an elaboration of the state institutions and parties with responsibility for implementing elements of the strategic plan; (d) implementation matrix of the strategic plan; (e) elaboration of any potential challenges to implementing the actions and consider any possible strategies to mitigate the effects of those challenges; (f) Monitoring and evaluation criteria of the strategic plan. 8. The Cabinet Secretary shall: a. publish the final strategic plan on the Ministry’s Website; and, b. Inform the public through the website of the Ministry, any electronic media or in at least two newspapers of national circulation of the publication of the document and how the document may be accessed. 9. (1) The Cabinet Secretary shall within three (3) months after the end of each financial year, prepare and publish on the Ministry’s website a report on the implementation of the strategic plan. (2) The report on the implementation of the petroleum strategic plan shall provide sufficient information to assess the progress and effectiveness of actions undertaken with respect to each element of the strategic plan. PART 4 – LICENSING 10. (1) The Cabinet Secretary may, from time to time, initiate a licensing exercise for the allocation of petroleum rights, through issuance of a non-exclusive exploration permit or entering into a petroleum agreement where the Cabinet Secretary is satisfied that— (a) there are open areas or blocks that are suitable for licensing; (b) licensing the areas or blocks shall be in accordance with the Act and any applicable national petroleum policy and strategy; or, (c) any other preliminary assessment the Cabinet Secretary may require has been carried out and any other results of such assessment(s) have been sufficiently considered. Non-exclusive exploration permits 11. (1) An application for a non-exclusive exploration permit under regulations 15, 16 or 17 shall be made by a juridical person by completing and submitting the application form in the First Schedule to the Authority for issuance of a permit in accordance with the Act and these Regulations. (2) The information provided with the form shall be sufficiently detailed to enable a proper consideration of— (a) the purpose of the application; (b) the identity of the applicant; (c) the proposed area; (d) the proposed work plan; (e) potential environment, social and economic impacts, including proposed mitigations in respect of the proposed non-exclusive exploration activity. (f) the technical capacity of the applicant; (g) the financial capacity of the applicant; (h) the legal capacity of the applicant; (i) the financial capacity of the applicant; (j) detailed information on the technology to be applied; and, (k) any proposed commercial arrangements with respect to the use and marketing of data obtained under the non-exclusive exploration permit. (3) All applications shall be accompanied by the requisite fee as specified in Eighth Schedule. (4) The Authority shall, in evaluating other criteria in an application under sub-regulation 1, satisfy itself that an applicant possesses the technical, financial, legal and professional capacity to undertake the petroleum operations in the proposed area. 12. (1) A non-exclusive exploration permit issued under these Regulations shall be issued by the Authority in the form provided under the Second Schedule and shall— (a) Identify with reasonable precision the geographical area to which the permit applies; (b) state the permitted activities for data collection; (c) allow data collection activities for a specified duration not longer than three (3) years; and, (d) state any other such restrictions and conditions as the Authority may deem fit. (2) The Authority shall inform the County Government affected by the non-exclusive exploration activities of the nature and status of such non-exclusive exploration activities. 13. (1) Prior to issuing a non-exclusive exploration permit, the Authority and an applicant shall enter into an agreement governing aspects of permitted activities and the use of data generated by those activities, the duration of which may extend beyond the period of the permit’s validity, and on any other matter the Authority may require to be included. (2) A summary of the terms and conditions of the agreement may be attached to the permit with such exclusions as may be deemed necessary to preserve the confidentiality of commercially sensitive material. (3) In the event of a conflict arising from the interpretation or application between the provisions of a non-exclusive exploration permit and the accompanying agreement, the provisions the accompanying agreement shall take precedence. 14. (1) A non-exclusive exploration permit or any accompanying agreement shall prescribe the terms governing the following aspects as applicable— 3:27 PM THE KENYA GAZETTE 10th July, 2025 4240 4240 (a) the date of issue of the permit; (b) the duration of the permit; (c) the area to which the permit relates; (d) the type of non-exclusive exploration activity for which the permit is issued; (e) the required work plan and deliverables; (f) required work standards; (g) the revenue sharing mechanism; (h) the performance security; (i) liability for environmental damage; (j) health and safety obligations; (k) data reporting; (l) data licensing rights and any restrictions; (m) model licensing agreements; (n) transfer and assignment; (o) cost management (p) any other terms or conditions the Authority may prescribe. 15. The Authority may issue a non-exclusive exploration permit to a juridical person who wishes to use the data obtained for scientific, research or educational purposes, on direct application by that person, provided that the petroleum operations authorized under such permit shall not be for any commercial purposes. 16. (1) Where the Authority receives a direct application for a non-exclusive exploration permit for any commercial purpose, the Authority shall make a determination, in accordance with these Regulations, as to whether there are sufficient grounds to justify engaging in direct negotiations a with the applicant. (2) Upon making a determination to engage in direct negotiations with an applicant under sub-regulation (1), the Authority shall publish a public notice in its website or any two (2) newspapers of national circulation and any other electronic media following the form in the Third Schedule — (a) providing the details of the applicant with whom the Authority intends to enter into direct negotiations; (b) inviting any objections that a person may have with respect to the intended negotiations within fourteen (14) days of publication; (c) inviting any party who may have a competing interest in the area under consideration to register an interest with respect to that area within fourteen (14) days of the publication of the notice. (3) Where one or more additional persons register a credible interest in the area under consideration, the Authority shall conduct a competitive licensing in accordance with the Act and these Regulations. (4) If, upon the end of the notice period, the Authority is satisfied that— (a) no reasonably justified additional competing interest in the area has been registered within the required notice period; and, (b) no reasonably justified objection has been registered within the required notice period, then the Authority shall commence direct negotiations with the applicant. 17. (1) Notwithstanding Regulation 16, the Authority shall conduct a competitive licensing process for a non-exclusive exploration permit where: (a) more than one applicant has applied for a non-exclusive exploration permit for the same area and activity; (b) there is sufficient data in relation to an exploration area to warrant competition; (c) or under any other circumstance that may warrant competition. (2) The Authority shall, in conducting competitive licensing under sub-regulation (1), appoint committees to carry out bid opening, evaluation, negotiations, or implementation monitoring. (3) The Authority shall prepare and avail to interested applicants competitive licensing documentation with respect to each competitive licensing, block or area and such documentation shall— (a) outline a description of activities that may be conducted by the successful applicant under the non-exclusive exploration permit; (b) establish the required terms and conditions for participation in the competitive licensing including— (i) the legal, technical and financial qualification criteria and required evidence; and (ii) any financial security instruments required; (c) establish the technical, financial and legal parameters that bids shall be subjected to; and (d) establish a timeline for the receipt of bids, evaluation and the negotiation of the final terms and conditions of the permit with a successful applicant. (4) The Authority shall publish a notice of the competitive licensing process in its website and in at least two (2) newspapers of national circulation. The notice shall— (a) provide a general description of the subject and the required submissions; (b) set out the method and conditions to obtain bid documents; and, (c) contain any other relevant matter. (5) The bid opening committee shall, following the closing of the period for submitting applications, open received applications, and record the names, addresses and other necessary details. Representatives of the applicants may attend the bid opening and a register of attendees shall be maintained. (6) The evaluation committee shall evaluate each received application in the following sequential stages— (a) confirmation of the applicant’s eligibility to participate in the process; (b) confirmation of the applicant’s compliance with the conditions set out in the competitive licensing documentation under sub-regulation (3); (c) evaluation of the applicant’s technical capacity; (d) evaluation of the applicant’s legal capacity; and (e) evaluation of the applicant’s financial capacity. (7) The evaluation committee shall ensure that each stage in the conduct of the tender and the evaluation process is properly documented. (8) During the evaluation, the Authority may openly request any further information or clarification from all of the applicant’s as deemed necessary to evaluate the applications. (9) Upon conclusion of the evaluation, the committee shall prepare a detailed evaluation report which shall include appropriate recommendations to the Authority. (10) Following the evaluation process the Authority shall— (a) inform all applicants of the outcome of the evaluation; and, (b) invite the successful applicant to negotiate the terms and conditions for the award of the non-exclusive exploration permit. (11) In the event that there are two (2) or more indistinguishable applications received on the same area such that there is no clear successful applicant, the Authority may invite the relevant applicants to submit an enhanced bid in order to determine the successful bidder. 10th July, 2025 THE KENYA GAZETTE (12) In the event that negotiations with a successful applicant are not concluded within thirty (30) days from the date of the notice of intention to award, the Authority may within fourteen (14) days invite the next highest ranked applicant on the relevant area to enter into negotiations for the award of the non-exclusive exploration permit. (13) Upon the successful conclusion of negotiations, the parties shall execute the finalised agreement and the Authority shall formally issue the non-exclusive exploration permit in accordance with the law. (14) The Authority shall publish in its website the details of all awards of a non-exclusive exploration permit including details of the identities of the permit-holders, the permit areas, the duration of the permit, the activities permitted and any further details as the Authority may deem fit. 18. (1) A non-exclusive exploration permit holder shall comply with the provisions of the Petroleum (Upstream Petroleum Operations) Regulations in conducting petroleum operations 19. (1) The permit holder may apply in writing to the Authority for an extension of the duration of the non-exclusive exploration permit no later than ninety (90) days prior to the expiry of the non- exclusive exploration permit. Any extension period granted by the Authority shall not exceed a cumulative period of fifty percent (50%) of the initial duration of the permit. (2) The permit holder’s application shall— (a) Outline its performance of its obligations up until the date of expiry of the non-exclusive exploration permit; (b) State its justifications for requiring an extension to complete the work plan; (c) Outline any further work it may propose to add to the work plan, if applicable; and, (d) Provide an acceptable performance security for the intended extension period. (3) The Authority shall, if satisfied that the permit holder has performed the obligations under the non-exclusive exploration permit grant the extension subject to any conditions that it may deem appropriate. 20. (1) Where the permit holder has breached any of the obligations under the permit, the Authority may suspend or revoke a non-exclusive exploration permit in accordance with section 81 of the Act. (2) A suspension or revocation of a permit shall not abdicate the permit holder from complying with any other order or direction issued by the Authority in accordance with the Act or these Regulations Awarding petroleum agreements 21. (1) The Cabinet Secretary may award rights through a petroleum agreement to an applicant if the Cabinet Secretary is satisfied the applicant is sufficiently qualified to undertake the proposed activities under a petroleum agreement as provided for in the Act. (2) Prior to any licensing, the Cabinet Secretary shall assess the financial, technical, and legal capacity of applicants to perform activities under the petroleum agreement. (3) The Cabinet Secretary shall require applicants to submit detailed and relevant information to enable a proper assessment of the applicants’ suitability to conduct petroleum operations. Information required shall include the information outlined in Fifth Schedule covering an applicant’s— (a) legal and administrative capacity; (b) financial capacity; and (c) technical capacity. (4) Applicants shall provide accurate and up-to-date information. Any applicant shall immediately inform the Cabinet Secretary of any material changes affecting its capacity that occur during the licensing process or the duration of any petroleum agreement. Bidding Rounds 22. (1) Where the Cabinet Secretary has decided to initiate a bidding round for purposes of entering into a petroleum agreement, the Advisory Committee shall advise the Cabinet Secretary in accordance with section 13 of the Act on relevant matters with respect to the bidding round including — (a) the strategic and policy objectives of the bidding round which may include— (i) providing further understanding of Kenya’s petroleum resources; (ii) the responsiveness of the applicant to the policy objective of the bid round; (iii) the proposed work program on any minimum requirements to set out to the invitation to bid or tender documents; (iv) the proposal for the initial participating interest and additional participating interests to be held by the Government; (v) promotion and marketing of open acreage and petroleum potential; (vi) promoting security of oil and gas supply; providing opportunities for development of local content; and (vii) any other objectives as the Cabinet Secretary may consider appropriate. (b) key parameters of the bidding round including— (i) the areas to be made available for licensing; (ii) fiscal terms that reflect value for Kenya and the objectives of the bidding round; (iii) pre-qualification criteria and procedures; (iv) bid evaluation criteria; and (v) model terms and conditions to apply to petroleum agreements. (c) key administrative aspects of the bidding round including— (i) bid submission procedures; (ii) bidding round schedule for the receipt and consideration of bids; (iii) details of required submissions; (iv) details of any financial security required; (v) the establishment of committees to assist the Cabinet Secretary in the tender process; and (d) any other relevant matter. 23. Subject to Regulation 22, the Cabinet Secretary shall commence the bidding round through pre-qualification and — (a) issue a notice on the Ministry’s website, two (2) newspapers of wide national circulation and any other electronic media inviting interested applicants to apply for prequalification and outlining the following information— (i) an overview of the proposed bidding round schedule and offered areas; (ii) the qualification criteria; (iii) the mode of application for prequalification including the submission timeframe, location and fees; and, (iv) any other information that the Cabinet Secretary deems necessary. (b) assess the applications received to develop a list of prequalified applicants; (c) inform any applicants who do not meet the requirements for prequalification; and, 3:27 PM THE KENYA GAZETTE 10th July, 2025 4242 4242 (d) invite successfully prequalified applicants to participate in the bidding round. 24. (1) Following the pre-qualification process, the Cabinet Secretary shall issue the bidding round documentation to all pre- qualified applicants. (2) The bidding round documentation shall contain sufficient information to enable applicants to participate in the bidding and may include, , the categories of information outlined in Sixth Schedule 6 including— (a) an overview of the proposed bidding round schedule and offered areas; (b) qualification criteria and required submissions; (c) the availability and conditions of access to relevant geological or geophysical data; (d) bid security conditions; (e) bid evaluation criteria; (f) the applicable fiscal terms that that bidders should quote; (g) local content; (h) the terms and conditions for the preparation and submission of bids; (i) the application fees applicable to the bidding round; (j) the model terms and conditions for petroleum agreements; and (k) any other categories deemed necessary or desirable. 25. (1) The Cabinet Secretary shall appoint a bid opening committee which shall, following the closing of submissions for the bidding round, open received bids and record the names, addresses and other necessary details. (2) Representatives of the bidders may attend the tender opening and a register of attendees will be kept. 26. (1) The Cabinet Secretary shall appoint an evaluation committee which shall, following the opening of bids, evaluate each bid in the following sequential stages; (a) confirmation of the eligibility of the bidding entity as pre- qualified; (b) confirmation that the bid complies with all administrative conditions and is accompanied by evidence of the required security; (c) assessment and ranking of the bids on the basis of technical, financial and legal capacity in accordance with the established bidding criteria. (2) During the evaluation, the Cabinet Secretary may openly request any further information or clarification from all of the applicants as is deemed necessary to evaluate the bids. (3) The Cabinet Secretary shall ensure that all bids are properly ranked according to the established bidding criteria for the bidding round and shall determine the successful bidder for each available block. (4) Upon conclusion of the evaluation, the committee shall prepare a detailed evaluation report which shall include appropriate recommendations to the Cabinet Secretary. (5) In the event that there are two (2) or more indistinguishable bids received on the same block such that there is no clear successful bidder, the Cabinet Secretary may invite the relevant bidders to submit an enhanced bid in order to determine the successful bidder. 27.(1) Upon considering the evaluation report, the Cabinet Secretary shall— (a) inform all bidders through a notice of intention to award of the identity of any bidder selected to commence negotiation for the award of a petroleum agreement; (b) publish the results of the bid evaluation on the Ministry’s website, or two (2) newspapers of wide national circulation and any other electronic media; or, (c) take any other appropriate action in accordance with these Regulations and the Act. (2) Where an unsuccessful bidder considers there are grounds to appeal the results of the bid evaluation, the unsuccessful bidder may appeal to the Energy and Petroleum Tribunal within fourteen (14) days of receiving the notice of the intention to award. 28.(1) The petroleum agreement shall be negotiated and finalised in good faith on the basis of submitted bids and, the model contractual terms and conditions. (2) In the event that negotiations with a selected bidder are not concluded within thirty (30) days from the date of the notice of intention to award, the Cabinet Secretary may within fourteen (14) days invite the next highest ranked bidder on the relevant block to enter into negotiation for the award of a petroleum agreement. (3) Upon the successful conclusion of negotiations, the Cabinet Secretary shall execute the finalised agreement in accordance with the Act and publish the details of the successful bidders on the Ministry’s website or a two (2) newspaper of national circulation and any other electronic media. Direct Negotiations 29. (1) The Cabinet Secretary may initiate direct negotiations in respect of a petroleum agreement on the recommendations of the Advisory Committee, in accordance with section 18 of the Act and these Regulations. (2) The Cabinet Secretary upon receipt of applications for direct negotiations, shall confirm that applicants meet the appropriate financial, technical, legal, and administrative capacity requirements to be awarded a petroleum agreement prior to initiating the notice required under this Regulation. (3) Upon confirmation that the applicants in sub regulation (2) meet the requirements, the Cabinet Secretary shall submit the applications to the Advisory Committee for consideration. (4) The Cabinet Secretary may, upon the recommendation of the Advisory Committee make a determination as to whether there are sufficient grounds to justify engaging in direct negotiations for a petroleum agreement with an applicant as provided for in the Act. (5) Upon determination to engage in direct negotiations with an applicant, Cabinet Secretary shall publish a public notice in the Ministry website or any two (2) newspapers of national circulation and any other electronic media following the form in Fourth Schedule— (a) providing the details of the applicant with whom the Cabinet Secretary intends to enter into direct negotiations; (b) inviting any objections that a person may have with respect to the intended negotiations within fourteen (14) days of publication; (c) inviting any party who may have a competing interest in the area under consideration to or register an interest with respect to that area within fourteen (14) days of the publication of the notice. (6) Where one or more additional parties register a credible interest in the block under consideration, the Cabinet Secretary shall conduct the licensing exercise by means of a competitive bidding round in accordance with the Act and these Regulations. (7) If, upon the end of the notice period, the Cabinet Secretary is satisfied that— (c) no reasonably justified additional competing interest in the block has been registered within the required notice period; and, (d) no reasonably justified objection has been registered within the required notice period, then the Cabinet Secretary shall commence direct negotiations with the applicant interested in the block with the advice of the Advisory Committee. 30. (1) Where the Cabinet Secretary is advised to enter into direct negotiations with an applicant for the award of a petroleum agreement, the Advisory Committee shall recommend to the 10th July, 2025 THE KENYA GAZETTE Cabinet Secretary an appropriate criteria for the negotiation of the petroleum agreement. (2) The Cabinet Secretary, shall— (a) establish suitable objectives for the negotiation that include but are not limited to the following— (i) achieving work commitments and timeframes that achieve the objectives of the negotiation; (ii) achieving acceptable fiscal criteria that reflect value for Kenyans; (iii) ensuring acceptable technical, financial, legal and administrative capability to safeguard Kenya’s interests; and (iv) ensuring acceptable safety and environmental arrangements considering the risks associated with petroleum operations under the petroleum agreement. (b) establish the information required from an applicant applying to enter into direct negotiations that comply with the information outlined in Fifth Schedule , including payment of an application fee; and (3) The Advisory Committee shall review the outcome of the concluded negotiations and make recommendations to the Cabinet Secretary. (4) Upon the execution of the petroleum agreement, the Cabinet Secretary shall publish details of the contractor on the Ministry’s website and the Kenya Gazette. 31. (1) Proceedings relating to a competitive licensing process, competitive bidding or direct negotiations process with respect to a non-exclusive exploration permit or a petroleum agreement shall terminate- (a) Where the process concludes with the issuance of a non- exclusive exploration permit and execution of the accompanying agreement with respect to such permit or the execution of a petroleum agreement in accordance with these Regulations; (b) Where the Cabinet Secretary or the Authority, as the case may be, on the advice of a committee or the Advisory Committee so declares; (c) Upon the occurrence of any event or condition that results in termination as may be expressly provided for in the bid documentation; Provided that the Cabinet Secretary or the Authority, as the case may be, shall notify any participating applicant, bidder or entity of the termination of such proceedings and the notification shall be published in the Ministry’s website and Kenya Gazette. (2) The Cabinet Secretary or the Authority, as the case may be, shall discharge any bid security that is still in place on the date of the notification in sub-regulation (1). 32. (1) A contractor shall provide and maintain a security for the performance of the contractor’s minimum work and expenditure obligations. (2) Any performance security under sub-regulation (1) shall be- (a) be agreed in the petroleum agreement; . (b) drawn in favour of the Cabinet Secretary for a specified amount; (c) include terms providing for the immediate and unconditional release or payment of the secured amount; (d) in the form of a local bank guarantee, parent company bank guarantee, or a combination thereof; and, (e) valid throughout the duration of each phase of the exploration period. (3) The contractor shall submit the performance security to the Cabinet Secretary, within ninety (90) days after execution of the petroleum agreement but before the commencement of the initial exploration period. (4) The Cabinet Secretary shall, in writing, either confirm that the performance security is acceptable or provide justifications for rejecting the security within fourteen (14) days of receiving the proposed performance security. (5) The contactor may, no later than sixty (60) days prior to the commencement of a subsequent exploration phase, request the Cabinet Secretary to exchange the security or otherwise alter the terms of the security to reduce the secured amount in proportion to the obligations already performed by the contractor and confirmed by the Authority as having been dully performed. (6) The contractor shall submit supporting documents that confirm the extent of the obligations already performed under the petroleum agreement. PART 5 – REQUIREMENTS AND PROCEDURES FOR UNITIZATION 33. (1) Where a contractor has informed the Cabinet Secretary of a discovery that extends into more than one contract area within Kenya, the Cabinet Secretary shall confer with the Authority to enable the Authority to make a decision as to whether to require joint development of the discovery between the affected contractors in accordance with a unitization agreement. The Authority shall inform the affected contractors of its decision within ninety (90) days. (2) Within ninety (90) days of receiving a decision requiring contractor(s) to proceed with the joint development of a discovery in accordance with regulation 31, the affected contractor(s) shall negotiate and submit to the Authority a pre-unitization agreement covering— (a) the proposed initial interests of the contractor(s); (b) allocation of responsibility for the preparation of draft work programmes and budgets; (c) the procedures for review and approval of any pre- unitization operations; and (d) the procedures for negotiation of the unitization agreement. (3) Following the submission of the pre-unitization agreement, the contractor(s) shall expeditiously negotiate a unitization agreement with a view to maximizing the economic recovery of petroleum from the reservoir(s). (4) The unitization agreement shall include the following matters— (a) a process to prepare and submit a joint development plan for the reservoir(s) to the Authority; (b) procedures for evaluating reserves and their distribution in the joint development area; (c) principles for apportionment of produced petroleum from the reservoir(s) to each contractor; (d) designation of an operator; (e) procedures governing the frequency and methods for re- evaluating the parties’ respective interests during the development including procedures for the resolution of any technical or other disputes; and (f) any other terms the Authority may require. (5) The contractor(s) shall submit the unitization agreement and any other related documents affecting joint operations between the contractor(s) to the Authority for approval within 24 months. (6) If the contractors propose to redetermine their interests in the joint development or to amend a unitization agreement or any other document affecting joint operations, the details of such redetermination or amendment shall be submitted to the Authority for prior approval. (7) Where a discovery extends beyond the contractor’s license area into an unlicensed area within Kenya, the Authority shall deliberate as to the most effective and beneficial way to ensure the additional area is licensed to enable efficient development of the discovery. 3:27 PM THE KENYA GAZETTE 10th July, 2025 4244 4244 (8) Where a discovery extends beyond the contractor’s license area into a neighbouring country’s territory, the Cabinet Secretary shall, following the advice of the Advisory Committee, expeditiously initiate steps, to reach an agreement between Kenya and the neighbouring country establishing a legal framework for development of the discovery. 34. (1) The parties to a unitization agreement shall submit a joint development plan to the Authority for the reservoir(s) within eighteen (18) months from the approval of the unitization agreement, or such longer time as the Authority may approve. (2) The joint development plan shall conform to the requirements of the Act relating to field development plans. (3) The Contractors shall propose an allocation criterion for costs in the joint development plan. (4) Where a joint development plan is not submitted within the time limit established, the Authority may contract an independent third-party expert to prepare the joint development plan, in accordance with best petroleum industry practices and at the expense of the contractors. (5) The relevant Contractors shall be jointly and severally liable for the costs incurred under sub-regulation (4). (6) Where the contractor(s) fail to cooperate with the independent third-party expert in the preparation of the joint development and production plan or where the contractors fail to agree to jointly implement the joint development and production plan in sub-regulation (4), the provisions of section 36 (7) of the Act shall apply.. PART 6 – TRANSFER OR ASSIGNMENT OF PETROLEUM RIGHTS 35. (1) An application for approval of an assignment pursuant to section 26 of the Act shall be submitted to the Cabinet Secretary by the Contractor using the form provided in Seventh Schedule. (2) The contractor and proposed transferee shall provide to the Cabinet Secretary— (a) a report on the status of work carried out under the petroleum agreement against the approved work programme; (b) copies of all relevant documentation relating to the proposed transfer including copies of all agreements; (c) all documentation necessary to establish the prospective transferee’s technical, financial, legal and administrative capacity to hold petroleum rights in Kenya and to perform contractors obligations under a petroleum agreement; and (d) any such other information as the Cabinet Secretary may request to enable a fully informed decision on the proposed transfer. (3) Once the Cabinet Secretary receives the transfer of interest, the Cabinet Secretary shall seek advice from Authority. (4) Upon receipt of recommendation from the Authority, the Cabinet Secretary shall refer the application and recommendation to the Advisory Committee within fourteen (14) days to assess suitability of transferee and the acceptability of the proposed transfer; and (5) The Cabinet Secretary may grant permission for a proposed transfer if he is satisfied that— (a) the contractor is not in default of any obligation under the petroleum agreement, the Act and any other relevant Kenyan law; (b) the prospective transferee has provided sufficient financial security for the execution of obligations under the petroleum agreement; (c) the proposed transferee possesses technical, financial, legal and administrative capacity to hold petroleum rights in Kenya and to perform contractor’s obligations under a petroleum agreement (d) there is no reason to believe that the transfer of that interest shall be against Kenyan public interest or safety as provided under the Kenyan law; (e) the Kenya Revenue Authority has assessed the taxes payable with respect to the transfer; and (f) the Authority has had sufficient opportunity to examine the proposed transfer and make recommendations. (6) The contractor and the proposed transferee shall ensure the continuity of effective insurance arrangements to cover the risks of operations under the petroleum agreement as required by the Act and the applicable contract. (7) The Cabinet Secretary shall require an assignee to provide a performance security in accordance with Regulation 32 for the performance of the obligations of the contractor as a condition precedent of the approval of any transfer. (8) The Cabinet Secretary shall issue a written decision to approve or reject the transfer. (9) Where the Cabinet Secretary rejects the recommendations of the Authority under this section, the Cabinet Secretary shall provide his reasons for the rejection in writing to the Authority, within fourteen (14) days. PART 7 – TERMINATION OF PETROLEUM RIGHTS 36. (1) A petroleum agreement shall specify the procedure for termination of the petroleum agreement including criteria that entitle the parties to terminate the agreement. (2) Where the Authority has reached a determination that there are sufficient grounds to justify the suspension or termination of a petroleum agreement under the terms of that petroleum agreement or the Act, it shall notify the Advisory Committee of this decision, outlining its reasoning and providing any relevant information supporting its view along with any relevant additional evidence. (3) Upon receiving a notification from the Authority under sub- regulation (1), the Advisory Committee shall promptly consider the information provided by the Authority and make appropriate recommendations to the Cabinet Secretary. (4) Upon receiving the advice of the Advisory Committee under sub-regulation (3), the Cabinet Secretary shall promptly consider the information provided by the Advisory Committee. (5) If the Cabinet Secretary deems it necessary, he may conduct any additional inquiries necessary to determine whether to proceed with a formal notice to suspend or terminate the contractor as provided in the Act or in the petroleum agreement. 37. (1) If the Cabinet Secretary determines that there are sufficient grounds to justify the suspension or termination of a petroleum agreement, he may issue a formal notice to the contractor in accordance with the Act or the petroleum agreement. (2) The notice shall stipulate— (a) the grounds for termination; (b) any information supporting the Cabinet Secretary’s decision to issue the notice; and (c) if applicable under the petroleum agreement— (i) any actions required to remedy the circumstances forming grounds for termination; and (ii) the date by which such actions must occur to allow the Cabinet Secretary to withdraw the notice. 38. (1) If, after serving a formal suspension or termination notice to the contractor, the Cabinet Secretary is satisfied that the contractor has undertaken remedial action within the prescribed notice period, the Cabinet Secretary will formally withdraw such notice. (2) The Cabinet Secretary shall notify the Advisory Committee of its decision on the withdrawal of a notice of suspension or termination. 39. Where a notice of suspension has been issued and the Cabinet Secretary is not satisfied that the circumstances that warranted commencing suspension procedures have been adequately remedied so as to justify withdrawing the notice within the time period stipulated in the notice of suspension, the Cabinet Secretary may commence the process to terminate the petroleum agreement in accordance to the Act and these Regulations. 10th July, 2025 THE KENYA GAZETTE 40. Where a notice of termination has been issued and the Cabinet Secretary is not satisfied that the circumstances that warranted commencing termination procedures have been adequately remedied so as to justify withdrawing the notice within the time period stipulated in the notice of termination, the Cabinet Secretary may terminate the petroleum agreement in accordance to the Act and these Regulations. The Cabinet Secretary shall formally notify the contractor that he has terminated the petroleum agreement. 41. (1) Where a petroleum agreement or non-exclusive exploration permit terminates or otherwise expires— (a) the transfer of ownership or responsibility for the contract area and facilities to any party or the decommissioning of and rehabilitation of the contract area or permit area and facilities shall proceed as contemplated under the petroleum agreement or non-exclusive exploration permit and the Act; (b) the contractor or permit holder shall, within thirty (30) days of the date of termination, deliver to the Cabinet Secretary and the Authority, in the required format: — (i) all records including financial statements, contracts with respect to the petroleum agreement or non-exclusive exploration permit and activities executed or planned under the petroleum agreement or non-exclusive exploration permit; (ii) all plans or maps of the contract area or permit area which were prepared by or on the instructions of the contractor or permit holder; (iii) all technical data, diagrams, models, profiles, and charts which were prepared by the contractor or permit holder in relation to activities executed or planned under the petroleum agreement or non-exclusive exploration permit; and (iv) other documents and information as the Cabinet Secretary or Authority may require. (2) A contractor or permit holder shall ensure that, upon termination of a petroleum agreement or non-exclusive exploration permit and before cessation of production, all wells and facilities are left in a state of good repair to the satisfaction of the Authority and in accordance with the Law. (3) Notwithstanding the termination or expiry of a petroleum agreement or non-exclusive exploration permit, a contractor or permit holder shall not be relieved of environmental liability. (4) The liability of a contractor in respect to decommissioning shall survive the petroleum agreement in accordance with the Law. PART 8 – TRANSPARENCY AND ACCOUNTABILITY 42. (1) The Cabinet Secretary and the Authority shall publish in their respective websites a summary of the applicable procedures for the allocation of petroleum rights as provided for in the Act and other Laws on information access. (2) The Cabinet Secretary shall, from time to time, publish the details of how citizens may access information required to be stored under these Regulations in accordance with the prevailing national government policy concerning publication of upstream licensing and operations. 43. (1) The Cabinet Secretary shall maintain a register of up-to- date information on upstream petroleum operations and related activities in secure formats as provided for in the transparency and accountability framework established in accordance with section 119 of the Act and any other information as the Cabinet Secretary may require, including— (a) identifying information on the applicable petroleum agreement and its location; (b) identifying information on the corporate entities (including the beneficial owners of such entities and their representatives) or individuals holding or applying for petroleum agreement; (c) relevant dates of operations, submissions and any significant event in relation to the award of the petroleum agreement; and (d) any information on assignment of petroleum rights, transfer, extensions, termination or any other significant dealing or event related to the petroleum agreement. PART 9 – FISCAL OBLIGATIONS 44. (1) A contractor shall pay a signature bonus prior to the award of a petroleum agreement, (2) The Cabinet Secretary shall; i. Specify the amount of the signature bonus to be paid in sub-regulation (1) or ii. Allow for competitive bidding of the amount of signature bonus in sub-regulation (1) (3) A contractor shall pay the bonus to the National Government. 45. (1) The contractor shall pay an annual surface fee for the contract area calculated per square kilometre for the acreage held under a petroleum agreement at the beginning of each contract year. (2) The surface fees specified in sub regulation (1) above shall apply during exploration, development and production phases. (3) The contractor shall pay the amount calculated in sub regulation (1) to the Ministry. (4) The contractor shall submit to the Authority evidence of payments under the Act and these Regulations. 46. (1) The accounting officer of the Ministry shall collect and administer signature bonus, surface fees, and other fees as may be prescribed under the petroleum agreement. (2) The accounting officer shall open a bank account with a reputable local bank which is solely dedicated to the fees. (3) The fees shall be deposited by the contractor in the account specified in sub regulation (2). (4) All funds under sub regulation (3) shall be utilised by the Ministry to promote upstream petroleum operations except for training. (5) Before funds may be withdrawn the accounting officer shall sufficiently document the following— a) the purpose and relevance of the activity. b) the anticipated costs for the activity. c) any necessary incidental expenses related to the proposed activity. (6) The accounting officer shall cause to be maintained accurate books of accounts and other records in relation to the fund of all activities and undertakings financed from the fund. (7) No later than three (3) months after the end of each financial year, the accounting officer shall prepare and sign statement of accounts for the fees relating to that financial year in accordance with the relevant laws. PART 10- TRAINING FUND 47. (1) The training fund established under subsection 52(2) of the Ac t may comprise— (a) such training fees prescribed under petroleum agreements; (b) such monies as may be appropriated by the National Assembly out of the Consolidated Fund; (c) any grants, gifts, donations or bequests; (d) any interest earned on the moneys in the fund; (e) any authorized reallocations into the fund; (f) such monies as may be allocated for that purpose from investments, fees or levies imposed or administered by the Cabinet Secretary or the Authority for training and development; and, (2) monies accruing to or received by the Cabinet Secretary or the Authority from any other source and set aside for training. 3:27 PM THE KENYA GAZETTE 10th July, 2025 4246 4246 48. The training fund shall be used to finance the training of Kenyans and the development of institutional academic capacity in upstream petroleum operations and related programmes through- (a) Any level of academic training; (b) Local and international programmes; (c) Tailor-made and existing programmes; (d) Developing institutional frameworks and programmes; (e) Supporting initiatives for institutional capacity improvement; and, (f) Any other means that support the objective of the training fund. 49. The fund shall be managed, administered, and operated in accordance with the national values and principles of governance, principles of public finance and values and principles of public service. 50. (1) The administration, management and operations of the training fund is vested in the Ministry. (2) The accounting officer of the Ministry or a person designated by him in writing shall be the administrator of the training fund. (3) There is established the Upstream Petroleum Training Fund Committee which shall support the administration, management, and operations of the training fund. (4) The Training Fund Committee shall comprise- (a) the administrator of the fund or an authorized representative who shall be the chairperson; (b) the person in charge of human resources management at the Ministry or an authorized representative who shall be the secretary; (c) the person in charge of petroleum at the Ministry or an authorized representative; (d) the person in charge of upstream petroleum at the Authority or an authorized representative; (e) three (3) employees in the department responsible for upstream petroleum in the Ministry who shall be appointed by the accounting officer in a manner to reflect diversity in seniority, expertise, gender; (5) The administrator may, on recommendation of the training fund committee, co-opt not more than three (3) persons who are knowledgeable in the matters prescribed for under these Regulations or any other relevant matter. The co-opted persons shall serve for specific purpose and time. (6) The Training Fund Committee established under sub- regulation (3) shall be responsible for- (a) developing the Training Fund Manual; (b) developing the annual training work plan and budget; (c) preparing annual reports; (d) developing procedures and criteria for beneficiaries, programmes, initiatives fund allocation; (e) overseeing the utilization of the fund; (7) The Training Fund Committee shall prepare procedures or other instruments to govern its proceedings. 51. (1) The training fund manual under the Ninth Schedule shall govern the operations of the fund and shall at the minimum provide for- (a) procedures for and considering making applications for funding; (b) criteria for the identification of beneficiaries, programmes and initiatives; (c) criteria for allocation of funds; (d) responsibilities and obligations of the Training Fund Committee, administrator, secretary and beneficiaries; (e) dispute resolution; (f) a framework for monitoring and evaluation; (g) standard documents to be used; (2) The training fund committee shall review the training fund manual from time to time. 52. (1) On the recommendation of the Training Fund Committee, the administrator shall maintain a bank account with a reputable local bank to collect and administer moneys of the fund. (2) The bank account shall not be used for any other purposes than as provided for in these Regulations. (3) The bank account shall be jointly operated with the express authority of the Training Fund Committee by at least two (2) of its members and the person in charge of accounts in the Ministry. (4) Training Fund Committee shall authorize the closure of any bank account of the fund. 53. (1) At least three months before the commencement of each financial year, the Training Fund Committee shall prepare estimates of all income and expenditure required for the purposes of these Regulations for the following year and shall present such estimates to the Cabinet Secretary for approval. (2) Training Fund Committee may prepare supplementary estimates and shall present such estimates to the Cabinet Secretary for approval. (3) No funds of the training fund shall be reallocated to any other programmes or votes of other budgets. 54. (1) At least three months before the commencement of each financial year, the Training Fund Committee shall submit a plan for the specific proposed training activities during the following year to the Cabinet Secretary for approval. (2) The annual training plan shall outline— (a) the total expected available funds for the relevant year; (b) the proposed training needs and programs for Kenyans for the relevant year; (c) the proposed institutional development initiatives of academic institutions for the relevant year; (d) the purpose and relevance of any proposed training programs or institutional development initiatives; (e) the proposed recipients of the training or development initiatives; (f) the anticipated costs for the proposed training or institutional development initiatives; (g) the providers of the proposed training or institutional development initiatives; (h) the proposed dates and duration for the training or institutional development initiatives; (i) any necessary incidental expenses related to the proposed activities; and, (j) any other relevant information. 55. (1) Any Kenyan national or academic institution desiring to undertake a programme or initiative for which the training fund is established may make an application to the Ministry as may be prescribed by the manual or Training Fund Committee and shall provide the complete, relevant and accurate information to support an application in a timely manner. (2) A person who is a recipient of funds from the fund shall abide by these Regulations and any other applicable requirements as may be prescribed in writing. (3) A person who is a recipient of the fund shall be held liable for the loss or misuse of such funds and shall indemnify the fund thereof. 10th July, 2025 THE KENYA GAZETTE 56. (1) The administrator shall maintain a database containing all expertise, skills, knowledge acquired to the country’s upstream petroleum knowledge base. (2) The administrator shall maintain a register of all beneficiaries of the fund in sufficient detail. 57. (1) The administrator shall cause to be kept accurate books of accounts and other books and records in relation to the Fund of all receipts, activities and undertakings financed from the Fund. (2) Financial records shall be maintained in manual and electronic form. (3) The administrator shall develop mechanisms to ensure that financial records are safeguarded, accurate, reliable and free from fraud. (4) Any alteration or deletion of any financial record or data whether electronic or manual must be authorised and approved in writing by the administrator on the recommendation of the Training Fund Committee. (5) All Journal entries and vouchers shall be supported by sufficient explanations, authorizations, and documentation to facilitate the accounting adjustments. (6) All receipts and payment vouchers shall be properly supported by the appropriate authorization and documentation. (7) All receipts and payment vouchers shall be, or made out, in indelible ink and shall contain adequate narration of the particulars of the services, goods or works procured and being paid for. (8) The administrator shall ensure that proper control systems exist for safe keeping of assets. (9) The administrator shall put in place proper processes and procedures, both electronic and manual, for the effective, efficient, economical, and transparent use of the Fund's assets. (10) No later than three (3) months after the end of each financial year, the administrator shall prepare, sign and a statement of accounts for the training fund relating to that financial year in accordance with the relevant laws. PART 11– OFFENCES AND PENALTIES 58. A person who contravenes provision of these Regulations for which no specific penalty is provided for, the provisions of section 124 of the Act shall apply. PART 12- MISCELLANEOUS PROVISIONS 59. The Cabinet Secretary in consultation with the Authority may issue any further guidelines, processes, instructions, forms, or templates to contractors as may be considered necessary, practical, or prudent for the effective operationalization of these Regulations. 60. A contractor or any person requiring access to land or an interest in land for upstream petroleum operations shall comply with the provisions of the Act, applicable laws and guidelines as may be issued by Cabinet Secretary and the Authority. PART 13 – SAVINGS AND TRANSITIONAL PROVISIONS 61. (1) Subject to regulation 62, the Petroleum (Exploration and Production) Regulations, 1984 (L.N. 193/1984) are repealed. (2) Subject to regulation 54 and sub-regulation (3), the Petroleum (Exploration and Production) (Training Fund) Regulations, 2006 (L.N. 132/2006) are repealed. (3) The administrator of the fund shall cause to be transitioned into the fund established under these Regulations, any monies, books of accounts and other records of the fund established under the Petroleum (Exploration and Production) (Training Fund) Regulations, 2006 (L.N. 132/2006). 62. Notwithstanding regulation 61, anything done under the provisions of the Petroleum (Exploration and Production) Regulations, 1984 (L.N. 193/1984) and the Petroleum (Exploration and Production) (Training Fund) Regulations, 2006 (L.N. 132/2006) before the commencement of these Regulations shall be deemed to have been done under the provisions of these Regulations, provided that it is consistent with these Regulations. 63. These Regulations shall come into force on the date of their publication in the Kenya Gazette. FIRST SCHEDULE Regulation 11 APPLICATION FORM FOR NON-EXCLUSIVE EXPLORATION PERMIT Information to accompany non-exclusive exploration permit application under these Regulations— APPLICANT OVERVIEW LEAD APPLICANT/PERMIT HOLDER Name Percentage participation OTHER CONSORTIUM MEMBERS (if applicable) 3 … Date of application: APPLICANT DETAILS (provide for all consortium members) Name: Nationality : Home office address: Phone Email: Website: Applicant Representative Details in Kenya Name Phone: Address: Email: Website: Physical address in Kenya: Parent company information (if applicable) Provide information on ownership structure the group and parent company up to the ultimate controlling entities (include all details as outlined above) PROPOSED PERMIT AREA(S) UNDER APPLICATION Area Details Location and Coordinates Size (km2) Order of preference A B … (Add rows if necessary) Include a map of the proposed permit area(s). Objectives of the proposed data acquisition/proposed exploration: A B 3:27 PM THE KENYA GAZETTE 10th July, 2025 4248 4248 … (Add rows if necessary) Technical understanding of the area(s) A summary of the geology of the permit area. Results of any known previous prospecting and exploration work in relation to the permit area Play or plays to be addressed in the permit and a description of the critical risks associated with them that demonstrates the applicant’s understanding of the petroleum system. (Add rows if necessary) PROPOSED WORK PROGRAMME & BUDGET Outline the objectives of the proposed activities Provide a statement of the proposed minimum work programme that— - states its objectives and estimated cost; - identifies the technical rationale, milestones, and deliverables of the programme; and - details of the technology to be applied in the execution of the work programme. PROPOSED WORK PROGRAMME ESTIMATED COST TOTAL ANY OTHER REVELANT INFORMATION TIMING AND DURATION OF WORK PROGRAMME Activity Start date: End date: (add rows if necessary) TECHNICAL CAPACITY OF THE APPLICANT Current analogous licenses held Analogous licenses held over previous five (5) years Technical qualifications (previous analogous experience) Outline the equipment type and specifications to be used by the applicant: (add rows if necessary) FINANCIAL CAPACITY OF THE APPLICANT (For the last three (3) years) year 1 year 2 year 3 A Value of assets, in millions of USD B Value of liabilities, in millions of USD C Net value, in millions of USD (a - b) Attach appropriate supporting documentation DETAILS OF FUNDING FOR PROPOSED WORK PROGRAMME (Add rows if necessary) Relevant Insurance Policies in place Evidence of appropriate insurance arrangements commensurate to the risks implicated by the proposed work programme. Amounts (Add rows if necessary) IMPACT OF THE PROPOSED EXPLORATION ACTIVITIES (Describe anticipated potential impacts and relevant mitigation measures) Details of NEMA licence: Economic: Social: Cultural: Environme nt: Other: PROPOSED MITIGATION MEASURES Economic: Social: Cultural: Environme nt: Other: DETAILS OF PROPOSED COMMERCIAL TERMS (COMMERCIAL APPLICANTS ONLY) 10th July, 2025 THE KENYA GAZETTE (e.g., proposed revenue share arrangements or other commercial proposal) (Add rows if necessary) RESEARCH PROPOSAL (NON-COMMERCIAL APPLICANTS ONLY) (e.g., research subject, relevant background) (Append additional supporting material if necessary) RESEARCHER DETAILS (NON-COMMERCIAL APPLICANTS ONLY) (Provide identity, professional titles, curriculum vitae and contact details of researchers) (Append additional supporting material if necessary) AUTHORISED SIGNATORY OF THE APPLICANT Signature of applicant Date Signature of co-applicant(s) if applicable Date EVIDENCE OF PAYMENT OF APPLICATION FEES SECOND SCHEDULE Regulation 12 NON-EXCLUSIVE EXPLORATION PERMIT TEMPLATE Non-Exclusive Exploration Permit No. xxx Petroleum (Upstream Petroleum Management and Administration) Regulations, 2024 Non-Exclusive Exploration Permit Pursuant to the conditions set out in Section 23 of the Petroleum Act, 2019 (“the Act”) , the Petroleum (Upstream Petroleum Management and Administration) Regulations, 2024 and in this Non-Exclusive Permit, the Authority hereby grant to _________________, a corporation duly organised and existing under the laws of _______ and registered at ________, (“permit- holder”) this Non-Exclusive Exploration Permit. This Non-Exclusive Exploration Permit allows the permit-holder a non-exclusive right to conduct the activities with respect to the non-exclusive exploration area described in the attached Agreement. The permit-holder shall conduct activities in accordance with the provisions of the Act, any relevant regulations, any conditions attached to the permit and the terms and conditions of any Agreement, which forms an integral part of this Permit. This Non-Exclusive Exploration Permit commences from __________for a term of [___________] years [subject to renewal] Dated this ___________ day of__________, 20__ Signed____________ Name ____________ Designation __________ Non-Exclusive Exploration Agreement A non-exclusive exploration permit under these Regulations shall include the following terms and conditions: 1. Agreement participants and operator designation 2. Non-exclusive exploration area 3. Agreement duration 4. Work plan and deliverables 5. Standard of work 6. Ownership and use of data 7. Government rights to access and use data 8. Permit-holder rights to license and use data 9. Data reporting; 10. Revenue sharing mechanism 11. Performance security; 12. Requirements for reporting; 13. Protection of the environment; 14. Environmental liability; 15. Safety standards 16. Confidentiality 17. Permit-holder’s indemnification of the government 18. Termination provisions 19. Relevant fees, taxes, levies and duties; 20. Force majeure; 21. Dispute resolution 22. Model licensing agreements; 23. Cost management; 24. Transfer and assignment of interests; 25. Governing law and jurisdiction THIRD SCHEDULE NOTICE OF DIRECT NEGOTIATIONS (NON-EXCLUSIVE PERMITS) Regulation 16 Notice of Direct Negotiations 1. The Authority intends to enter into direct negotiations for a non-exclusive exploration permit related to [INSERT AREA DETAILS] with the following applicant: [INSERT APPLICANT DETAILS] 2. Any objections that a person may have with respect to the intended negotiations should be submitted within fourteen (14) days of publication of this notice to the address below: [INSERT CONTACT DETAILS] 3. Any party who also wishes to register an interest with respect to that block within fourteen (14) days of publication should communicate their intention to: [INSERT CONTACT DETAILS] If the Authority deems that no or insufficient additional interest in the block or area has been demonstrated within the required time period, the Authority will commence the proposed direct negotiations with the applicant. FOURTH SCHEDULE Regulation 29 NOTICE OF DIRECT NEGOTIATIONS (PETROLEUM AGREEMENTS) Notice of Direct Negotiations 1. The Cabinet Secretary intends to enter into direct negotiations for a petroleum agreement related to [INSERT BLOCK DETAILS] with the following applicant: [INSERT APPLICANT DETAILS] 2. Any objections that a person may have with respect to the intended negotiations should be submitted within fourteen (14) days of publication of this notice to the address below: [INSERT CONTACT DETAILS] 3. Any party who also wishes to submit a bid or register an interest with respect to that block within fourteen (14) days of publication should communicate their intention to : 3:27 PM THE KENYA GAZETTE 10th July, 2025 4250 4250 [INSERT CONTACT DETAILS] If the Cabinet Secretary deems that no or insufficient additional interest in the block has been demonstrated within the required time period, the Cabinet Secretary with advice of the Advisory Committee will commence the proposed direct negotiations with the applicant. FIFTH SCHEDULE Regulation 21, 30 APPLICATION FORM FOR A PETROLEUM AGREEMENT UNDER DIRECT NEGOTIATIONS Applicants for a petroleum agreement under these Regulations shall provide information as outlined below (or as otherwise directed by the Cabinet Secretary): Applicant information 1. If a consortium is proposed the information shall be provided for all consortium members. 2. Applicant(s) name (corporate and legal name) 3. Proposed interests 4. Proposed lead contractor 5. Director names, addresses 6. Representative Contact details (Name, Address, Phone, Email) 7. Parent company information (shareholders, place of incorporation, addresses, Phone, Email) 8. Date of Application Block information 1. Proposed license area(s) for negotiation. 2. Statement of priority order interest for each block (if more than one block is applied for) Financial capacity 1. Net value: assets and liabilities 2. Audited financial statements for last three (3) years Technical capacity Information on the Applicants’ ongoing and previous projects specifying: 1. The total area held and location; 2. The operated and non-operated production and investment for the last three (3) years; 3. A short summary of the applicant’s experience in relevant projects stating the role and level of responsibility for each project (i.e., as operator or consortium member). 4. Declaration of any details (or absence thereof) of any regulator-imposed penalty or administrative measure applied to the applicant due to environmental damage over the past five (5) years. Evidence of environmental, safety and health operational competence Geological Assessment To the extent feasible, applicants shall provide: 1. A description of the regional location and geological significance within the respective sedimentary basin / surrounding area. 2. A written summary of the potential prospects observed in the areas under application, together with a forecast of hydrocarbon accumulation data and estimates of future production. 3. Forecast of stratigraphy / lithology and target horizons. 4. Structural map (or isopach map, if relevant for stratigraphic prospect) of each potential horizon. 5. Brief description of prospects and leads. 6. Estimation of potential future resources for each observed prospect. 7. Report on the possible impacts of exploration and production on the environment, together with the planned mitigation, monitoring and rehabilitation measures. Proposed work programme according to proposed phases 1. Seismic and other surveys (quantity and estimated cost) 2. Reprocessing (quantity and estimated cost) 3. Reprocessing (quantity and estimated cost) 4. Details of technology to be applied in the proposed work programme. Assessment of impact on the environment Report on the possible impacts of exploration and production on the environment, together with the planned mitigation, monitoring and rehabilitation measures. Financial proposals Any fiscal terms proposed by the applicant: 1. Bonuses 2. Production sharing percentages between the applicant and the Government 3. Cost recovery limit 4. Any Other Other information Any other information deemed appropriate. Date----------------------------------------- --- Signature of Applicant.. SIXTH SCHEDULE Regulation 24 CONTENT OF BID GUIDANCE DOCUMENT A bid guidance document issued under these regulations shall contain the information below: 1.0 INTRODUCTION 2.0 REGULATORY FRAMEWORK 2.1. Overview of Licensing Authority and other relevant regulatory bodies 2.2. Overview of the laws and regulations applicable to the Bid Round 2.3. Overview of the legal instruments applicable to petroleum rights 3.0 FISCAL FRAMEWORK 3.1. Overview of applicable fiscal terms applicable rights awarded under the Bid Round 4.0 BLOCK OVERVIEW 4.1. Geological background 4.2. Description of the location and characteristics of blocks offered 4.3. Block map and designations 5.0 DATA ACCESS 5.1. Overview of available data for each block 5.2. Procedure for access to data 5.3. Requirements to purchase data (if applicable) 5.4. Confidentiality requirements 10th July, 2025 THE KENYA GAZETTE 6.0 AWARD CRITERIA AND PROCEDURE 6.1. Overview of required bidding items 6.2. Bidding expectations including any minimum required bids 6.3. Evaluation criteria 6.4. Evaluation procedure 7.0 BID SUBMISSION MODALITIES 7.1. Required bid validity period 7.2. Required financial security and conditions 7.3. Overview of dispute resolution procedures 8.0 BID ROUND SCHEDULE 8.1. Deadline for submitting queries 8.2. Deadline for submission of bids 8.3. Date for announcement of winners 8.4. Intended timeline and procedures for negotiation and finalisation of agreement 9.0 APPLICATION CONTENT Required submissions 9.1. Technical 9.1.1. Geological and geophysical evaluation for block(s) - A description of the regional location and geological significance within the respective sedimentary basin / surrounding area. - A written summary of the potential prospects observed in the areas under application, together with a forecast of hydrocarbon accumulation data and estimates of future production. - Forecast of stratigraphy / lithology and target horizons. - Structural map (or isopach map, if relevant for stratigraphic prospect) of each potential horizon. - Brief description of prospects and leads. - Estimation of potential future resources for each observed prospect. - Report on the possible impacts of exploration and production on the environment, together with the planned mitigation, monitoring and rehabilitation measures. 9.1.2. Proposed work programme in required format 9.1.3. Overview of objectives for work programme An outline of the objectives for each element of the proposed work programme. 9.1.4. Evidence of technical competence relevant to proposed work programme Information on the Applicants’ ongoing and previous projects specifying: - the total area held and location; - the operated and non-operated production and investment for the previous three (3) years; - a short summary of the bidder's experience in relevant projects stating the role and level of responsibility for each project (i.e., as operator or consortium member). - Declaration of any details (or absence thereof) of any regulator-imposed penalty or administrative measure applied to the bidder due to environmental damage over the past five (5) years. - 9.1.5. Evidence of environmental, safety and health operational competence 9.1.6. Details of technology to be applied in the proposed work programme. 9.2. Financial 9.2.1. Financial bids required by the terms of the bidding round For example: - bonuses - production sharing percentages between the Contractor and the Government - cost recovery limit - other 9.2.2. Evidence of financial capacity and/or funding to conduct proposed work programme 9.2.3. Certified financial statements detailing assets and liabilities 9.2.4. Required financial security for participation in the bidding round 9.2.5. Overview of procurement strategy Outline any initiatives that support local content. 9.3. Legal and administrative: 9.3.1. Composition of bidding entity, corporate structure and key personnel If a consortium is proposed, the information shall be provided for all consortium members. - Applicant(s) name Proposed interests Proposed lead company - Legal name and physical address - Director and shareholders names, addresses - Representative Contact details (Name, Address, Phone, Email, website) - Parent company information (shareholders, place of incorporation)Date of Application 9.3.2. Confirmation of prequalification 9.3.3. Evidence of payment of the required application fee 9.3.4. Evidence of purchased pre-bid data 9.3.5. Evidence of pre-qualification SEVENTH SCHEDULE Regulation 35 APPLICATION TO TRANSFER INTEREST IN A PETROLEUM AGREEMENT Proposed Transfer Form Applicant details Petroleum Agreement/License Contractor Details Proposed Transfer information Transferee details Summary of transfer proposal Reasons for proposed transfer Agreement Status Report on the status of work carried out under the petroleum agreement against the approved work programme; Contractor’s remaining interests in Kenya Petroleum Interests Transferee Qualifications information Proposed Transferee Legal and Administrative details as outlined in Fifth Schedule. Proposed Transferee Technical Capacity as outlined in Fifth Schedule. Proposed Transferee Financial Capacity as outlined in Fifth Schedule. Overview of Proposed Transferee performance security and insurance arrangements Undertaking Undertaking that Transferor is in compliance with all Kenyan laws and regulations, no outstanding fees/taxes EIGHTH SCHEDULE Regulations 11 SCHEDULE OF FEES Application Amount (USD dollars) Application for a Non-Exclusive Exploration Permit (Commercial applicants) 5,000 Application for a Non-Exclusive Exploration Permit (Non-Commercial applicants) Application under a bidding round 20,000 Application for direct negotiations for a petroleum agreement 30,000 NINTH SCHEDULE CONTENT OF THE UPSTREAM TRAINING FUND MANUAL Regulation 51 1.0 Introduction 1.1 Purpose of the Manual 1.2 Scope of the Fund 1.3 Source of the training fund 2.0 Management and Administration 2.1 Guiding principles 3:27 PM THE KENYA GAZETTE 10th July, 2025 4252 4252 2.2 Roles and Responsibilities 2.2.1 Role of Administrator 2.2.2 Upstream Training Fund Committee 2.3 Meeting and decision-making procedures 2.3.1 Decision making process 2.3.2 Conflict of Interest 3.0 Planning for training 3.1 Training Needs assessment 3.2 Training projections 3.3 Annual training plan 3.4 Modes of training 4.0 Training Programs 4.1 Guiding principles for identify training programs 4.2 Training programs evaluation process 4.3 Training plans 4.4 Quarterly reporting on Training 5.0 Training and Administration 5.1 Nomination of Kenyans and Institutions 5.1.1 Criteria for Kenya Nationals (Individuals) 5.1.2 Procedure for Selection 5.1.3 Criteria for Institutions 5.1.4 Procedure for selection 5.2 Application forms 5.3 Communication of decisions 6.0 Funding of Training Programs 6.1 Training budgets and approvals 6.1.1 Budget preparation 6.1.2 Budget review and approval 6.1.3 Budget monitoring and reporting 7.0 Bonding requirements 7.1 Length and amount of Bond 7.1.1 Bond period determined by course duration 7.1.2 Bond Period determined by cost of training 7.2 Calculation of Bonding the amount 7.3 Components of the Bond 7.4 Liquidated Damages 7.5 Eligibility for Bonding 7.5.1 Bonding Merger 7.5.2 Concurrent Bonds 7.5.3 Forfeiture of Bonding agreements 7.5.4 Transfer of bond obligations 7.6 Sureties 7.6.1 Number of Sureties 7.6.2 Qualification of a Surety 7.6.3 Death of a Surety 7.6.4 Surety commitment 7.6.5 Release of a Surety 7.7 Bonding Instrument/Training Bond Form 8.0 Monitoring and Evaluation 8.1 Monitoring and evaluation reporting 8.2 Training Impact Assessments 8.3 Independent Audits 9.0 Review of the Training Fund Manual

Dated the 10th July, 2025.

Extracted Entities (1)

previous_gazette_ref

9273

Details

Act / Legislation
THE PETROLEUM ACT
Reference
No. 2 of 2019
Section
section 101
Date Signed
10th July 2025
Page
10
Extraction Method
regex