South Sudan resumes crude oil production
By Online Team
8th April 2013:
The first barrels of crude oil from the oilfields in the oil-rich Unity state of South Sudan began flowing to the international market on Saturday, April 6, through the pipelines to Port Sudan.
South Sudan government spokesman, Barnaba Marial, told a press on Friday last week that following a cabinet meeting chaired by Vice President Riek Machar, a decision was taken to re-open the Tharjiath oilfield in Koch county of Unity state.
Accordingly, production resumed on Saturday with oil being pumped through the over 1,400kms long pipeline that passes through neighbouring Sudan.
The Minister of Petroleum and Mining, Stephen Dhieu Dau, and other senior government officials travelled to the Tharjiath oilfields on Saturday to witness the pumping of the first barrels of the oil through the pipeline.
The resumption of oil production is the first step in the implementation of the economic cooperation agreement signed in Addis Ababa between the two regions of the former Sudan who split in July 2011.
Another oilfield located in Heglig/Panthou in Pariang County, which is known as the Unity Oilfield in Unity state, is also expected to resume production in few days.
South Sudan shut down its oil production in January last year, accusing its northern neighbour Sudan of stealing or confiscating their oil due to a disagreement over how much transit fees the new oil-producing nation should pay to its neighbour.
The shutting down of oil production badly affected the economies of both countries as both depend largely on oil revenues to run their economies. However, despite the resumption of oil production on Saturday, it may take several weeks before the empty pipeline fills up with the crude oil ready for loading at Port Sudan.
Petroleum Minister Dau announced that South Sudan and Sudan will jointly organize a ceremony to celebrate the resumption of the oil production. END: Login to www.ugandacorrespondent.com every Monday to read our top stories mid-week for our updates
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