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Vol 5 (AAC) No 11

Published 1st September 2012


Getting the oil to flow again

Chinese oil companies have been involved in the talks between Juba and Khartoum but Beijing still prefers quiet, behind-the-scenes pressure

There is a surprising mood of optimism amongst politicians and oil company officials in Juba as South Sudan and Sudan enter the latest round of negotiations on oil and border issues, which have dragged on for a year with few results. This time, they say, officials are likely to ink a deal that will see Southern oil start flowing again. The Juba government had shut down production in January as Khartoum continued to demand US$36 per barrel in transit fees. Japan's Toyota Tsusho Corporation is now pushing ahead with plans to build an alternate pipeline to Kenya (AAC Vol 5 No 2).

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