Petroleum Africa
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Monday, April 8, 2013
After over a year oil has once again begun flowing from South Sudan’s oil wells as the country restarted its production. There have been talks and reports of a restart for many months but until just recently South Sudanese crude has been offline.
South Sudan shut in its oil production in January 2012 after failing to agree with Khartoum over oil transit fees. Juba has no other outlet to export its production other than north through Khartoum’s pipeline to the Red Sea.
“Yes it has started,” Paul Adong Bith Deng, MD of state oil firm Nile Petroleum (Nilepet), told Reuters by phone from the Thar Jath oilfield in Unity state.
The resumption of production follows months of negotiations between Juba and Khartoum on issues that were not resolved with the 2005 Comprehensive Peace Agreement.
South Sudan previously produced 350,000 bpd of crude but output will remain at between 150,000 bpd and 200,000 bpd initially, Sudan’s state news agency SUNA said.
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