Thursday, Jul 07, 2011
BEIRUT (Zawya Dow Jones)--South Sudan is in talks with a number of oil companies to set up a 200-kilometer oil pipeline that will be connected to a pipeline in Kenya, pan-Arab Asharq Al Awsat daily reports Thursday citing South Sudan's minister of transport Anthony Makana.
The new pipeline will help South Sudan export its oil to neighboring African countries such as Kenya, Uganda, Congo, Rwanda, Burundi, Tanzania, and Ethiopia, Makana said according to the paper.
South Sudan will control 75% of the country's overall crude oil production, currently amounting to 500,000 barrels a day, after it secedes from the north on Saturday, but according to current arrangements it has to sell its oil through pipelines and an export terminal in the north, the daily reports.
North Sudan was relying on future fees on the transport of the South Sudan oil to offset some of the oil revenue losses that will be caused by the secession, it adds.
Newspaper website: http://www.aawsat.com//details.asp?section=6&issueno=11909&article=629965&feature=
-By Beirut Bureau, Zawya Dow Jones; +961-1-985 757; BeirutZDJ@zawya.com
Copyright (c) 2011 Dow Jones & Co.
(END) Dow Jones Newswires
07-07-11 0720GMT
