Home | News    Tuesday 21 February 2012

Ethiopia, Kenya and South Sudan to jointly fund new oil pipeline

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By Tesfa-Alem Tekle

February 20, 2012 (ADDIS ABABA) – The cost of a massive a transportation corridor project aimed to link Kenya to South Sudan and Ethiopia will be shared among the three east African countries, according to a report.

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A general view of the sea front in the Kenyan coastal town of Lamu (file/Getty)

The $22billion dollar Lamu-Southern Sudan-Ethiopia Transport (LAPSSET) Corridor project is expected to be launched next month.

To cope up financial constraints, the LAPSSET master plan report has proposed that the subjects - Kenya, South Sudan and Ethiopia should share part of the project cost, although the countries are seeking an external finance source.

The groundbreaking ceremony will be held on 2 March in the presence of President mwai Kibaki of Kenya, Ethiopian Prime Minister, Meles Zenawi, and South Sudan president, Salva Kiir.

The project’s main section is the Lamu Port, which will have a road network linking Kenya with its neighbours Ethiopia and South Sudan but it also incorporates a port at Manda Bay, a standard gauge railway line to Juba, oil pipelines, an oil refinery at Bargoni and three Airports.

Once completed the Lamu transportation corridor will considerably advance transportation network, boost the volume of cross-border trade across the region playing a vital role in socio-economic development.

It will also open business and investment opportunities and further will have enormous savings on transport and shipping costs as well as transit time.

Following oil row with Khartoum over oil transit fees, Juba is pushing the construction of the project mainly to get rid of its dependency to Khartoum’s pipe lines to export its crude oil.

Land locked South Sudan has shut down its oil pipeline that runs through Khartoum accusing the latter of “stealing” an estimated $350 million worth of its oil and is seeing an alternative way via Kenya ports for its oil export.

Africa’s newest nation wants a pipeline (1,288 km long in Kenya, 427 km in Southern Sudan) with a capacity of 500,000 barrels per day completed within 18 months.

South Sudan says it is willing to pay $1 per barrel exported through Port Sudan saying this inline with international rates, however, North Sudan is demanding over $30.

So far talks brokered by the African Union in Addis Ababa have failed to bring the two sides to a solution.

Sudan expert Alex de Waal has described the move to stop production as economic suicide on the part of the Juba government .

Khartoum has accused South Sudan of trying to undermine the northern economy to try and effect regime change, an allegation denied in Juba.

From 2005 until July 2011 the two sides shared revenues from South Sudan’s oil 50:50 as part of the 2005 wealth and power sharing agreement that ended decades of war.

Juba has recently announced austerity measures to adjust to the lack of oil revenue, which made up 98% of the government’s budget.

(ST)

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  • 21 February 2012 07:42, by Dinka Dominated SPLA/M

    There is a big suspicious going on in our well located intelligency agences that Riek Machar puot nyuon[teny dhurgon is a name of his grandfather witchcraft] is hind insecurety in the south to sabotage the leadership of long serving SPLA/M second strongman who never rebelled against SPLA/M, LT G
    If this proved reall? than the arrest warranty will be issue soon,
    thank you all God bless RSS peop

    repondre message

    • 21 February 2012 07:46, by Kurnyel

      Sworms of thievs are raning 24 hours to get our oils having our oil through East Africa is a organising our own death.

      repondre message

      • 21 February 2012 08:02, by 4Justice

        Your guys, especially Dinka Dominated Idiot have developmental disability. Your uncivilized behaviour is bringing unbelievable shame to South Sudan.

        repondre message

        • 21 February 2012 08:15, by Dinka Dominated SPLA/M

          You called your name 4Justice, what a shame go back to your village,Your village just called. They’re missing you an idiot.

          Do you know where i grow up? shame on your poor family who have nothings to feed on,

          repondre message

      • 21 February 2012 08:07, by Kuer Dau Apai

        Ethiopia and Kenya have been well known for supporting people of South Sudan as refugees in those countries, therefore, this is Kenya and Ethiopia’s best time to benefit from South Sudan resources. South Sudan is also expecting continual benefit from those neighboring countries.

        Feeding Khartuom/Arabs from this oil is seeding the future disaster to the whole world in form of terrorisation!

        repondre message

    • 21 February 2012 08:03, by Marolditapei

      DRUNKARD MANGOOR,
      DON’T FUCKEN TALK AGAINST HIGHLY RESPECTED GOVERNMENT OFFICIAL. IF YOU ARE ISSUING WARRANTIES AS A RESULT OF DECEPTIVE ILLUSION FOR HEAVY DRINKING, RETAIN IT TO YOURSELF ALONE, FOOL. IT WILL NOT HELP YOU TO TALK SHIT RATHER THAN JUST KEEPING LIKE A REAL DINKA. ARE YOU MAD BECAUSE YOU WANT THE CORRUPTION TO CONTINUE? FAKE DRUNKARD AND STUPID FELLOW. WE NGOK DON’T ENTERTAIN NONSE

      repondre message

    • 21 February 2012 08:03, by Marolditapei

      DRUNKARD MANGOOR,
      DON’T FUCKEN TALK AGAINST HIGHLY RESPECTED GOVERNMENT OFFICIAL. IF YOU ARE ISSUING WARRANTIES AS A RESULT OF DECEPTIVE ILLUSION FOR HEAVY DRINKING, RETAIN IT TO YOURSELF ALONE, FOOL. IT WILL NOT HELP YOU TO TALK SHIT RATHER THAN JUST KEEPING LIKE A REAL DINKA. ARE YOU MAD BECAUSE YOU WANT THE CORRUPTION TO CONTINUE? FAKE DRUNKARD AND STUPID FELLOW. WE NGOK DON’T ENTERTAIN NONSEN

      repondre message

    • 21 February 2012 08:04, by Kuer Dau Apai

      Ethiopia and Kenya have been well known for supporting people of South Sudan as refugees in those countries, therefore, this is Kenya and Ethiopia’s best time to benefit from South Sudan resources. South Sudan is also expecting the continual benefit from those neighboring countries.

      Feeding Khartuom from this oil is seeding the future disaster to the whole world in form of terrorisation!

      repondre message

    • 21 February 2012 08:13, by omoni jr.

      SPLA/M does not belong to your mother,it is southern sudanese party

      repondre message

      • 21 February 2012 08:22, by Dinka Dominated SPLA/M

        Mr Ugandans_Congoles our SPLA/M is not belong to my mother but it has it own principal that do not allowed any sabotage against it rules or power greedy in it,
        second to that is our SPLA/M affairs are kept out of Congoles_ugandan, so shut up,

        repondre message

    • 21 February 2012 08:19, by backtoschool

      kindly stopped those thing, we knew them,lets fight our target enemy who need to returned us back to conflict against each other .thanks.

      repondre message

    • 21 February 2012 08:44, by Land-of-Cush

      I have always wished to hear only the starting of pipeline building through Kenya within next two months. I will appreciate GoSS if my view is going to be implemented since Tasfa report that the project share between three regions is going to be start next month.

      repondre message

  • 21 February 2012 07:57, by Kuer Dau Apai

    Ethiopia and Kenya have been well known for supporting the people of South Sudan as refugees in those countries, therefore, this is Kenya and Ethiopia’s best time to benefit from South Sudan resources. And South Sudan is also expecting the continual benefit from those neighboring countries.

    Feeding the Khartuom from this oil is seeding the future disaster to the whole world!

    repondre message

    • 21 February 2012 08:09, by Marolditapei

      FUCKEN MANGOOR NEED TO UNDERGO PSYCHIATRIC EVALUATION FOR HIS SEVERE FUCKEN MENTAL HEALTH

      repondre message

      • 21 February 2012 08:25, by allan

        To jalaby u need to stay the fuck a way from south sudan affair , these are not arabic shit , stay on al jazeera shit we dont need ur comment

        repondre message

      • 21 February 2012 09:23, by Dinka Dominated SPLA/M

        Marolditapei
        You are young silly boy with disability on your thinking capability just like your nuer peer, I am too qualify to talk to you pull stop,go and aske any civilised nuer person to come and talk to me but not you with your nasty words of gangsters,

        repondre message

        • 21 February 2012 14:58, by Ruach

          Breaking News.Mangoor Malual Aguengber was arrested this mornng by UK police men and taken to prison.He was charged with crimes of canivalisms.When asked by Police of why he is doing that dirty job,he replied that he has starved for 2weeks with no human meat.I wonder,GOSS has plans to relocate City to his village!!

          repondre message

  • 21 February 2012 08:38, by BM Bol

    There is great news for South Sudan, Kenya and Ethiopia. The real loser on this agreement is Sudan with their unrealistic demands.

    repondre message

  • 21 February 2012 09:28, by manyang mawech

    21 February 08:59, by manyang mawech

    What was on mind of Dr.Dictator during liberation of fired his deputies in movement? kerben kuanyin bol, Rok Thon and many more:at last, almost fired current president if there was no riek on that time then thing could look different now.

    repondre message

  • 21 February 2012 09:37, by Sudan virus

    This is what is called regional( in east & horn of Africa) cooperation among pure African countries.

    Good development.

    repondre message

  • 21 February 2012 23:35, by Emporio

    Good job s.Sudan that what we need to hear and see it undertaken as soon as possible ..

    Am sick of reading the same figure everytime if an article involve oil , why they keeping explain and repeating it , Sudan tribune you better improve your profession,

    repondre message

  • 22 February 2012 05:03, by Nguetbuny de Luelpiny

    what brought Ethiopia in for Pipeline of Kenya with South.
    Ethiopia only hiway connection between south and it.

    repondre message

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