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JUBA - 7 Feb 2013

Juba criticises Khartoum’s sale of disputed oil shipment

The Republic of South Sudan has claimed it was taken by surprise when it learned that Sudan has sold a South Sudanese oil shipment of one million barrels being held in Port-Sudan to a UAE-based oil company on Tuesday.

Speaking to Radio Tamazuj, the Minister of Information and spokesperson, Barnaba Marial Benjamin, condemned the selling of the oil without Juba’s knowledge.

“How could it be sold and it is South Sudanese petroleum? We informed our petroleum minister to meet the Sudanese petroleum minister to agree and sell it as South Sudan’s oil,” Barnaba exclaimed.

According to the spokesman, there was a memorandum of understanding (MoU) reached recently in Addis Ababa between the two parties regarding the detained oil shipment in Port-Sudan. The deal apparently recognizes the oil as belonging to South Sudan and outlines that, should it be sold, Khartoum is entitled to a share of the profit.

Barnaba continued, “In good faith South Sudan shall give some amount of money to Sudan because it is suffering and will take the remaining.”He did not however disclose further details of the agreement.

Meanwhile, on his visit to Germany last week, Sudan’s foreign minister, Ali Karti, confirmed that a contract was signed between Sudan and a UAE-based oil company.

South Sudan recently announced that it is to begin producing oil again after halting production early last year following disagreements with Khartoum over transit fees. 98% per cent of its budget is said to come from its oil production.