Home | News    Monday 12 December 2011

S. Sudan exploring new oil pipeline routes in East Africa 

separation
increase
decrease
separation
separation

December 11, 2011 (JUBA) - South Sudan on Sunday said it is exploring new alternative routes for oil export in East Africa due to the difficulties in continuing to use the port in neighbouring Sudan.

JPEG - 22.9 kb
Oil production in South Sudan (AFP)

“We are still open to negotiating with Sudan but we are also exploring ways to construct a new pipeline to one of the East Africa countries, because Sudan is demanding unaffordable charges,” Elizabeth James Bol, the deputy minister of petroleum and mining, told reporters on Sunday.

She explained that her ministry is planning, with oil companies operating in South Sudan, a new route.

A team of experts from the ministry has been sent to Uganda and will continue to Kenya and Ethiopia to identify a suitable pipeline location.

South Sudan has been at loggerheads with the Khartoum-based government over oil since the country split in July. Sudan demands a transit fee of US$32 per barrel – tens times the international standard - while the South offers to pay US$0.41.

In November, Khartoum announced it had stopped exports of South Sudanese crude oil to the international markets through Port Sudan on the Red Sea, claiming it has not received US$727 million of accumulated fees for the use of oil infrastructure since the country split. The South claims it has paid its rental fees and Khartoum, with a backdrop of disapproval from China, has since reneged on its threats.

Oil-wealth sharing talks mediated by the AU High Level Implementation Panel under the chair of former South Africa President, Thabo Mbeki, collapsed in November.

A stipulation of the peace agreement which ended more than two decades of Sudanese civil war in 2005 was a resolution on oil-wealth sharing. With the secession of South Sudan in July 2011 these negotiations and other stipulations of the agreement are yet to be actioned.

Oil-wealth is a crucial sticking point as with secession, South Sudan took three quarters of the oil fields which now accounts for the vast majority of its income.

The Government of South Sudan has released a statement confirming reports that Christophe de Margerie, the chief executive of Total, a French oil company working on both sides of the Sudanese border, told a news conference at the World Petroleum Congress in Doha from 4-8 December, that Total may have a solution for South Sudan’s oil.

Margerie said Total is planning a pipeline to export Ugandan oil from Kenya, which could be extended to land-locked South Sudan.

Total has agreed to buy into Ugandan oil blocks holding proved reserves of 1.1 billion barrels and potentially as much as 2.5 billion barrels. The company also holds an oil licence with potential in South Sudan.

Connecting with South Sudan would bring down the capital expenditure for the Ugandan project.

"We say to Uganda as part of our long-term view ’you have to take into consideration what sort of oil can come from neighbour countries to make the pipe less expensive’," said Margerie. He declined to give a timetable for the construction of the pipeline.

He indicated that the Malaysian Petronas and the Chinese National Petroleum Corporation oil companies, already operating in South Sudan, could be interested in the project.

On 10 December rebels operating in Unity state, where much of South Sudan’s oil is drilled, threatened the pipeline scheme claiming that construction in the state must be carried out only with their express permission.

(ST)

Comments on the Sudan Tribune website must abide by the following rules. Contravention of these rules will lead to the user losing their Sudan Tribune account with immediate effect.

- No inciting violence
- No inappropriate or offensive language
- No racism, tribalism or sectarianism
- No inappropriate or derogatory remarks
- No deviation from the topic of the article
- No advertising, spamming or links
- No incomprehensible comments

Due to the unprecedented amount of racist and offensive language on the site, Sudan Tribune tries to vet all comments on the site.

There is now also a limit of 400 words per comment. If you want to express yourself in more detail than this allows, please e-mail your comment as an article to comment@sudantribune.com

Kind regards,

The Sudan Tribune editorial team.
  • 12 December 2011 07:49, by mohammed ali

    Where did you get these figures Sudan Tribune, where is it 10 times the "international standered" and who set this standerd and is distance the same, expences the same, port facilities..etc.Are you more expert than the IMF who proposed a figure closer to Sudan and rejected by SS.Again where did you get $ 0.41 , you are contradicting even yourself!On another page you said South Sudan ...cont

    repondre message

    • 12 December 2011 07:58, by mohammed ali

      ..on your site and today you said SS had offered $ 70 a barrel!!ST should stop it’s cheap propoganda, inciting hatred, igniting fires in an allready inflamable situation.Or this the same old white-man mentality of divide to conqure?! Which is France still practicing in other parts of Africa.Donnot tell me ST is edited by a Sudanese. Tchombi regime who killed Patrichie Lomamba was also Congolese!

      repondre message

      • 12 December 2011 08:02, by mohammed ali

        This what you have written Sudan Tribune and only today: ((South Sudan last week said it offered to pay an average of 70 U.S per barrel. The two sides are expected to resume talks in Addis Ababa in about a week)) So , which one we believe?!

        repondre message

        • 12 December 2011 08:42, by SeekingTruth

          MOHAMMED, YOU’RE THE ONE CONTRADICTING YOURSELF, IF SOUTH SUDAN SAID THEY WANT TO PAY $ US 70 PER BARREL AND YOUR GOVT WANT $ 32 PER BARREL THEN, WHY IS THERE NO DEAL BETWEEN THE TWO NATIONS SINCE THEN? PLEASE QUIT YOUR CHEAP ARGUMENT FOR GOD SAKE. " $32 -TENS TIMES INTERNATIONAL STANDARD" HAHAH..IT SEEM LIKE YOU GUYS ARE SO FULL OF IRRATIONAL RHETORICS. WE’RE ARE ALREADY PLANING AND ITS PAINFUL!

          repondre message

        • 12 December 2011 10:55, by Sam.Eto

          They were meant to say 0.70$ / barrel !
          But ST is so bad at even copying and pasting from different sources they contradict their own articles on the same days. It is run by a sudanese, but the people who write this stuff are low class french who barely read english.

          repondre message

    • 12 December 2011 11:00, by Sam.Eto

      Its not international standards. Its compared to the American pipeline that runs by Chad and Cameroon. The americans only pay a small fee. But ofcourse the ignorant Pagan compares himself to Americans who tell the Chadians what they are going to pay. But hard luck SS. This is Sudans land, pipeline and facilities and WE will set the price - like it or not. Build your other pipelines !

      repondre message

  • 12 December 2011 10:00, by philipdit wol

    I wish the team who under way to excess the new pipeline construction to East Africa, should takes the mediate action again it. when you divorce A woman there is no relationship again to her please our (NCP)Women was already off no way go to East Africa as soon as possible.

    repondre message

Comment on this article



The following ads are provided by Google. SudanTribune has no authority on it.



Sudan Tribune

Promote your Page too

Latest Comments & Analysis


Why a national court may be good option for Sudan’s al-Bashir 2020-02-21 11:12:28 By Iffat Rahman My friend on the Hill forwarded me a request to attend an event with Prime Minister of Sudan, Abdallah Hamdok. It was one of his several visits to DC and the purpose was clear: (...)

Remove Sudan from the terror list 2020-02-19 07:04:27 By David L. Phillips Khartoum – Sudanese deserve to be rewarded for overthrowing the dictator Omar al-Bashir. Without a peace dividend, the economy will remain stagnant and shadowy forces from (...)

South Sudan: Revert strictly to 10 states 2020-02-16 15:56:54 By James Gatdet Dak Lampuar By unilaterally creating administrative areas---when the action is supposed to strictly revert the country to the constitutional 10 states----South Sudan's Presidency (...)


MORE






Latest Press Releases


S. Korea supports UN communities building resilience project in Sudan’s Blue Nile 2019-09-09 09:26:41 UNDP Sudan September 5, 2019 (KHARTOUM) - An agreement was signed on 5th of September between the Korean Ambassador, His Excellency. Lee Ki-Seong and Dr. Selva Ramachandran, Resident (...)

Sudanese lawyers and Human rights defenders back calls for civil rule 2019-04-26 10:22:06 Press statement by 55 Sudanese lawyers and Human rights defenders on Sudan Sit-in and Peaceful Protest Khartoum -24/04/2019 We, the undersigned (55) Sudanese lawyers and human rights defenders, (...)

South Sudan’s Lafon youth condemn killings of civilians by Pari community 2019-04-03 21:54:29 Press Statement on the Fighting between Pari/ Pacidi and Lotuko/Lokiri on 24/3/2019 Release by The Lafon County Youth Union: We, the Lafon County Youth Union hereby condemn the atrocities and (...)


MORE

Copyright © 2003-2020 SudanTribune - All rights reserved.