Pipe Lines Installations: News for Oil & Gas and Hydrocarbon Industries  Membership Services Ľ
Gulf Oil and Gas grow your business
Home News Events Projects Tenders Unconventionals Community | My Account
Products and vendors Services and providers Jobs

South Sudan in Ethiopia-Djibouti Oil Pipeline Deal

Source: BBC News 2/9/2012, Location: Africa

Share |

Landlocked South Sudan has signed a second oil pipeline deal in a bid to reduce its dependence on Sudan - amid a deepening oil crisis. The only export route for southern oil - which makes up 98% of its budget - is via its northern neighbour. The latest plan is to build a pipeline to the port of Djibouti on the Red Sea via neighbouring Ethiopia.

South Sudan last month stopped production in a transit fees row and accused Khartoum of stealing its oil. A memorandum of understanding was signed during talks in the Ethiopian capital, Addis Ababa, earlier this month, South Sudan's Minister for Information Barnaba Marial Benjamin told the AFP news agency. Chinese, US and European companies have shown interest in carrying out feasibility studies, Mr Benjamin said.

Djibouti - on the Gulf of Aden at the entrance to the Red Sea - is at least 1,000km (625 miles)away from South Sudan's oil fields, and crosses remote, difficult terrain where South Sudanese and other militia groups operate. Last month, South Sudan's government signed a deal with Kenya to link its oil fields to the port of Lamu. Industry analysts say such a pipeline would usually take at least three years to build and cost up to $4bn (£2.6bn).

South Sudan and Sudan - who fought a bitter civil war for decades and split in July - remain at loggerheads, especially over oil on which both countries depend almost entirely for their revenues. The south has the bulk of the oil - but the north has the pipeline, refinery and the export terminal at Port Sudan on the Red Sea. They have never agreed on the transit fees that the south should pay Khartoum for pumping oil through its pipelines and using Sudan's oil export infrastructure.

President Salva Kiir of South Sudan recently accused Sudan of stealing crude oil worth $815m (£518m). Khartoum has admitted to confiscating some for unpaid fees - prompting South Sudan to halt all production. President Kiir said his nation would rather struggle for a bit than continue to hand over its oil revenues to the old enemies in Khartoum. Fresh talks over the oil crisis are scheduled for Friday in Addis Ababa.

Pipe Lines Installations News in Sudan >>

Africa Economy in March 2015
Egypt >>  3/29/2015 - Economic growth in South Africa slowed to 1.3% y-o-y in 4Q14 from 1.6% in the previous period. For the whole of 2014, GDP posted growth of 1.5% y-o-y,...
Oceaneering Wins $100m Contract for OCTP Project in Ghana
Ghana >>  3/23/2015 - Oceaneering International, Inc., as part of a consortium with GE Oil & Gas, has secured a contract with ENI Ghana Exploration and Production, Ltd. and...

Huge O&G Investments during Egypt Conference
Egypt >>  3/18/2015 - The Egypt Economic Development Conference (EEDC) that took place last week in Sharm El Sheikh saw investors taking active steps to invest in Egypt eco...
GE Wins $850 Million Order for OCTP Block in Ghana
Ghana >>  3/16/2015 - GE has booked an $850 million order across its Oil & Gas business for the supply of equipment to the Offshore Cape Three Points (OCTP) block, Ghana. T...

Eni Signs $5b Heads of Agreement with Egypt
Egypt >>  3/14/2015 - The Egyptian Minister of Petroleum and Mineral Resources, Sherif Ismail, signed with Eniís CEO, Claudio Descalzi, a Head of Agreement aimed at the de...
Africa Economy in Feburary 2015
Egypt >>  3/7/2015 - In South Africa, the central bank left its key repo rate on hold at 5.75% in January as inflationary pressures eased. The bank said that the bar for r...



Related Categories: Civil Works  Construction Contractors  Electrical Works  Engineering Procurement and Construction (EPC)  Engineering Procurement and Construction Management (EPCM)  General  Mechanical Works  Pipe Lines Installations  Steel Works 

Related Articles: Civil Works  Construction Contractors  Electrical Works  Engineering Procurement and Construction (EPC)  Engineering Procurement and Construction Management (EPCM)  General  Mechanical Works  Pipe Lines Installations 


Sudan Oil & Gas 1 >>  2 | 3 |

More News

Oil & Gas Projects in Sudan >>

Oil & Gas Companies in Sudan >>

Related Links

Countries Quick Links

AO BJ CD CG CI CM DZ EG ET GA GH GN GQ GW KE LR LY MA MG ML MR MZ NA NE NG RW SC SD SL SN SO ST SZ TD TN TZ UG ZA ZM
Gulf Oil and Gas B2B marketplace:   About -  Advertising -  Competitive Intelligence -  Talent Solutions -  Membership Services Follow us on Facebook
Copyright © Universal Solutions All rights reserved. Privacy Policy. - Contact Us  Gulfoilandgas rss feed