Economic

Decrease in South Sudan oil exports to Port Sudan

Sudan Events – Agencies

Private sources revealed developments in the crisis of halting South Sudan’s oil exports, after declaring force majeure against the backdrop of a “huge explosion” in a pipeline located in the area of ​​the civil war that broke out in the country about a year ago.
An informed source in the Sudanese Ministry of Energy and Oil said, in statements to the Specialized Energy Platform (based in Washington), that the return of oil exports from South Sudan is on hold until the completion of pipeline maintenance operations.
He added that maintenance operations have been completed at the White Nile station, and work is currently underway at the Al-Ailfoun station, Khartoum suburb, which is expected to be completed within days.

The Sudanese Minister of Energy and Oil, Mohieddin Naeem, had confirmed in previous statements that the damage to the pipeline was first discovered on February 10, 2024, when the flow of crude oil faltered, in a message he addressed to companies working in transporting southern oil.
Khartoum declared force majeure on South Sudan’s oil exports more than a week ago after a “major explosion” in a pipeline.
The Oil Ministry said it was no longer receiving supplies from Juba after the explosion, which occurred in the “military operations area” about 11 miles north of the pumping station, allowing it to abandon its contractual obligations.
Since the secession of South Sudan from Sudan in 2011, it has relied entirely on a network of pipelines, refineries and ports in Khartoum to export the crude it produces to the global market.
South Sudan’s oil exports to the export terminal in Port Sudan amounted to only about 1.2 million barrels as of March 20, compared to 2.2 million barrels in February, and nearly 6 million in January, according to tanker tracking data, reported by Bloomberg.
At the beginning of this March, Dar Petroleum Company announced a state of force majeure regarding loading Dar Heavy Blend, due to damage to the oil pipeline in Khartoum, which transports oil exports from Juba.
This comes in conjunction with the continued closure of the Khartoum refinery, which is one of the main sources for securing Sudan’s fuel needs as a result of the civil war.
“We were not able to open the refinery, given the control of the rebels (Rapid Support Forces) over it.” Sources from the Ministry of Oil said, in statements to the specialized energy platform.
She indicated that the army is besieging support forces from abroad awaiting their surrender, explaining that as soon as the rebels surrender, the refinery’s rehabilitation and operation will begin as soon as possible.
The Sudanese Minister of Energy, Dr. Mohieldin Naeem Muhammad Saeed, confirmed, in an interview with the specialized energy platform, that the war taking place in his country led to the sabotage of the crude warehouse at the refinery, which led to the loss of 210 thousand barrels and the destruction of gasoline and diesel warehouses, which were all filled with oil derivatives.
He added that the effects of the war did not stop at the warehouses of the Khartoum refinery only, but also affected the warehouses of the distribution companies located in the vicinity of the refinery, which led to the loss of significant quantities of oil derivatives.
The minister stressed that the refinery is still suspended due to the war, and parts integral to its work have been damaged, such as the control center for the distribution of petroleum derivatives after they are refined and exited from the refinery, the storage warehouses for the derivatives inside the refinery, and some storage centers that accommodate the crude entering the refinery before refining operations.

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