ERHC Energy Inc (ERHE)

[tryoty]

Maybe not. Kenyan oil would be profitable even at today's prices. That's drawing attention:

"Tullow Oil, the UK firm prospecting for oil in Turkana among other areas, has reported the break-even point for Kenya crude is Sh2,550 ($25) per barrel – including the pipeline tariff to the sea port.

Low production costs translate to higher profits for a producer. Kenya's projected cost is lower than $35.40 (Sh3,600) in Angola and Nigeria's $31.50 (Sh3,204), both countries bleeding money as global prices slumped to near-record low of $29 (Sh2,949) this week.

At the prevailing prices, Kenya would still be making a profit if it were already producing and selling crude oil in the international markets. "This is important news that suggests Kenya's oil is viable even at current low global prices albeit at a razor thin profit margin," said Eric Musau, a research analyst at Standard Investment Bank.

He was quoting a presentation made by Tullow Oil after releasing its 2015 operating results. Being a low-cost crude oil producer could mean that Kenya can survive the sustained slump in prices, and still make a profit at the current levels."

http://www.standardmedia.co.ke/mobile/article/2000191356/kenya-would-be-among-cheapest-world-oil-producers-tullow-says