Negotiations to renew the oil transfer agreement between Juba and Sudan (photos) - Energy

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Talks between Sudan and South Sudan began today, Sunday, May 22, on joint cooperation between the two countries in the field of oil transportation, discussing technical and financial arrangements and increasing production, in addition to discussing the challenges that hampered the implementation of previous agreements between them.

According to a press statement obtained by the specialized “Energy” platform, a high-level delegation from South Sudan arrived, headed by the Undersecretary of the Ministry of Oil and the Undersecretary of the Ministry of Finance, and includes a number of technical and financial cadres, to discuss and evaluate the implementation of the previous agreement in terms of financial and technical arrangements and the challenges that accompanied it. Implementation, to set a framework for the renewal of joint agreements in the field of oil.

Sudanese Energy Minister, Eng. Mohamed Abdullah, said that the talks are important, as they discuss the renewal of agreements to transfer oil from the State of South Sudan and its treatment through the facilities of the State of Sudan.

The minister referred to the previous agreements signed between the two sides, since 2012, and expired in March 2022, according to which oil was transferred from South Sudan and was processed, so that Juba fulfilled the financial obligations resulting from its secession, which amounted to more than 3 billion dollars.

Previous Challenges

The Sudanese Minister of Energy acknowledged that the previous agreements related to the production, transportation and refining of oil faced many challenges, some political and some technical, as they were dealt with in a friendly and fraternal manner between the two peoples.

oil transportation
The meeting of the delegations of Juba and Khartoum – Photo is from a statement, a copy of which was received by “Al-Taqa”

Abdullah expected that the two parties would reach new agreements regarding the transportation and treatment of oil, as these agreements are based on previous experience in implementation methods and overcoming obstacles, explaining that there is great interest in oil production in South Sudan, which depends on facilities in Sudan.

He added: “Sudan’s facilities also depend on the oil of the State of South Sudan in their operation, which makes common interests, and we seek to increase oil production in the two countries, and work jointly to develop production and advance the oil industry in the two countries for the benefit of the two peoples.”

common issues

The Undersecretary of the Ministry of Petroleum in South Sudan, Engineer Oo Daniel Chuang, said that the Juba delegation is discussing issues of common interest between the two countries, related to the oil transport and treatment agreement, economic issues and agreements signed in 2012.

oil transportation
The meeting of the delegations of Juba and Khartoum – Photo is from a statement, a copy of which was received by “Al-Taqa”

He explained that the 2012 agreement is one of the pillars of the economies of both countries, because South Sudan and Sudan continue to participate in the fruitful partnership for the benefit of the two countries, and today it has reached a point where the agreement has reached its end, as the duration of the first agreement was 3 and a half years, then Juba and Khartoum continued to cooperate in production for another 3 years. .

The Undersecretary expressed his aspiration for a new era in which the oil agreement and economic issues in the Ministry of Oil in Sudan will become a technical and economic base that will facilitate the two countries to move smoothly to develop joint cooperation.

Cooperation between the two countries

In November 2021, a delegation from Juba visited Khartoum, as it tried to reach an agreement before the expiry of the Agreement on Cooperation in the Field of Oil Transportation and Processing, and the two sides discussed the settlement of accounts for the agreement.

Danit, who was at the head of the Juba delegation at the time, explained that the two ministries of oil in Juba and Khartoum are working as one team, to benefit from the oil resources of each of them, and to raise production to feed the resources of both countries.

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