CAO Cases

Arne Hoel, The World Bank

Sub-Saharan Africa

Kenya / Delonex and Africa Oil-01/Kerio Valley

Complainant
Kerio Valley Community Organization (KVCO) on behalf of local community members from the Kerio Valley. They are supported by a Canadian-based legal clinic called Justice and Corporate Accountability Project (JCAP)
Date Filed
August 06, 2019
Concerns
Lack of information and stakeholder consultation, failure to address relevant project risks, breach of IFC Sustainability Framework and PS, and impacts on land, livelihoods and on the environment.
Case Status
Open - Ombudsman
 

Synopsis

Project Overview 

In 2013, IFC made a USD 60 million equity investment in Delonex Energy Limited to provide support for the acquisition, exploration and development of Delonex’s assets in their East and Central Africa portfolio, targeting oil and gas exploration led opportunities. 

 

In 2015, IFC made a USD 50 million equity investment in Africa Oil to support its oil and gas exploration and appraisal activities and general working capital requirements, primarily aimed at advancing the appraisal of the South Lokichar Basin in Kenya. 

 

Both Africa Oil and Delonex partnered with Tullow Oil to conduct exploration activities in Block 12A which encompasses 5 counties including Elgeyo Marakwet, Baringo, West Pokot, Turkana, and Samburu, in Kenya. 

 

Complaint 

The complaint was submitted to CAO by the Kerio Valley Community Organization (KVCO) on behalf of local community members from the Kerio Valley. They are supported by a Canadian-based legal clinic called Justice and Corporate Accountability Project (JCAP). The complaint raises concerns about Delonex and Africa Oil’s oil and gas exploration activities in Block 12A, located in the Kerio Valley, Kenya. The concerns relate to lack of information and stakeholder consultation, failure to address relevant project risks, breach of IFC Sustainability Framework and impacts on land, livelihoods and on the environment. 

 

CAO Action

CAO found the complaint eligible for further assessment in September 2019 and has begun an assessment of the complaint. 

 

Status

The assessment of the case is ongoing.

 

Note: A CAO assessment does not entail a judgment on the merits of complaints.  Rather, the aim is to listen to people's concerns, understand the different perspectives, and determine what options are available to address the complaint through CAO's Dispute Resolution and Compliance functions.


Status as of November 14, 2019


Project information

Institution
IFC
Project Name & Number
Delonex (33557) and Africa Oil (36699)
Department
Oil, Gas, Mining, & Chemicals
Company
Delonex Energy Limited and Africa Oil
Sector
Oil and Gas Exploration
Region
Sub-Saharan Africa
Country
Kenya
Environmental Category
A
Commitment
$60mil Equity- Delonex, $50mil Equity- Africa Oil

Case Tracker

Ombudsman

  • Eligible: Completed
  • Assessment Period: In Process

Compliance