South Sudan Has Resumed Its Oil Production.
The South Sudanese government together with private corporations have announced the restart of oil production and processing in the country.
According to a joint statement by the Petroleum Ministry and oil companies on Tuesday, operations are already underway. Production has started in Blocks 3 and 7 in Upper Nile State.
This follows the termination of force majeure order by the Basher Pipeline Company (Bapco) and the Sudanese government.
Talks are also underway for the restart of production in Blocks Three and Seven of Dar Petroleum Company (DPOC).
The statement included a letter from Bapco and the Ministry of Petroleum (MoP) of South Sudan regarding the release of the Force Majeure that was announced in February 2024.
In as well as the indemnity letter issued by the MoP and the parties’ coordinated task force.
South Sudan Seeks Economic Revival with Oil Production Resumption
Accordingly, the Ministry of Petroleum and its partners gave DPOC instructions to begin the process of resuming crude oil production and operations as early as January 8, 2025.
According to Petroleum Minister Puot Kang, the two blocks’ initial output goal is 90,000 barrels per day in production.
Citing improved security conditions, Sudan removed a nearly year-long ban on the movement of crude oil from South Sudan to Port Sudan on the Red Sea over the weekend.
Recent years have seen a number of difficulties for South Sudan’s economy. These include intercommunal violence and a decline in crucial crude oil export earnings. This was as a result of disruptions brought on by the ongoing conflict in the north.
Prior to the Sudanese conflict that impeded the flow of gas and oil, which were then exported through Sudan, a system established after South Sudan gained independence in 2011 allowed Juba to produce 150,000 barrels of crude oil per day.
South Sudan’s Refugee Crisis: The Burden Falls on Maban and Ruweng
Due to the unrest in the north, South Sudan has become the second-largest recipient of war refugees and displaced people, with over 810,000 additional arrivals since April 2023.
These comprise South Sudanese refugees who have returned to Sudan after seeking refuge there, as well as refugees and asylum seekers from other countries.
The Maban district is home to about half of these refugees, while the Ruweng Administrative Area is home to another 135,000.
Additionally, more and more are moving to cities and other towns, which presents both opportunities and difficulties for their assimilation into local communities and economies.
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