Sudan proposes crude oil for fuel deal to South Sudan

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May 20, 2020 (KHARTOUM) – A senior Sudanese official revealed that Prime Minister Abdallah Hamdok discussed on Wednesday with South Sudanese President Salva Kiir supplying Khartoum with additional oil crude for gasoline refined in Sudan.

In February 2016, the two countries agreed that South Sudan will provide Sudan with 28,000 barrel of crude oil per day to be used in power production and cover its local needs.

The price of the oil crude fees paid by South Sudan for exporting its oil using Sudan’s pipeline and oil infrastructure.

The Undersecretary of the Ministry of Energy and Mining Hamid Suleiman told Sudan Tribune that the purpose of the proposed new deal is to avoid repeated fuel crises that Sudan has experienced recently while Juba will reduce the imported fuel.

“Khartoum asked Juba to supply it with more than 20,000 barrels per day after the global decline in oil prices and in exchange Sudan will give South Sudan gasoline from El-Obeid refinery after refining the crude,” said Suleiman.

“The government of South Sudan agreed in principle after talks between Prime Minister Hamduk and President Salva Kiir Mayardit, who promised to respond within the next two days,” he added.

South Sudan oil production has reached 165,000 barrels per day. The share of the government in Juba is about 70,000 barrels, while the rest is divided between its foreign partners.

Sudan’s oil production is currently at 63,000 barrels per day, according to the official.

Source: Sudan Tribune

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