---------- Forwarded message ---------- From: "John Ashworth" <[email protected]> Date: 26 Feb 2017 12:48 Subject: [sudans-john-ashworth] Ethiopia and South Sudan agree to construct oil route To: "Group" <[email protected]> Cc:
1. Ethiopia Mulls Road to Import Oil From War-Torn South Sudan - Plan to link Paloch fields with west of neighboring country - World’s newest nation may build 100,000 barrel/day refinery by Nizar Manek - Bloomberg 23 February 2017, 16:28 GMT+3 24 February 2017, 09:05 GMT+3 Ethiopia may finance a road linking it with South Sudan’s largest oilfields, allowing the war-ravaged country to sell its neighbor fuel produced at a planned new refinery, a South Sudanese official said. The plan for a road linking the Paloch oilfields in South Sudan’s Upper Nile region with Malakal city and western Ethiopia is among the memoranda of understanding President Salva Kiir is due to sign this week during a visit to Ethiopia, according to Mayik Ayii Deng, a minister in Kiir’s office. South Sudan, in turn, will build a refinery in Upper Nile with the capacity to process as much as 100,000 barrels of oil per day, and has secured financing from a Swiss and a U.S. company, he said, without identifying them. “We want to deliver this refined fuel at very decent prices,” Deng said by phone from the capital, Juba, referring to another plan to sell the products to Ethiopia. “We want to access some hard currency through these refined products.” Oil production in South Sudan plunged by at least a third to as little as 120,000 barrels a day since conflict erupted in the East African nation in December 2013. The decline, combined with a drop in prices, has devastated the economy, with annual inflation accelerating to almost 500 percent and gross domestic product forecast by theInternational Monetary Fund to contract 6.1 percent this year after shrinking 13.1 percent in 2016. Unity Fields Addressing South Sudan’s parliament on Tuesday, Kiir said Petroleum Ministry officials were working “tirelessly” to resume production at oilfields in the country’s former Unity state, offline since shortly after the war began, and to complete a diesel refinery in that location. Even as it tries to rebuild capacity, South Sudan is among 11 non-OPEC nations that have agreed to curb output in a joint bid to clear an oil surplus. Kiir was scheduled to arrive Thursday in the Ethiopian capital, Addis Ababa, for a three-day visit. He and Ethiopian Prime Minister Hailemariam Desalegn will also sign a memorandum of understanding for Ethiopia to supply South Sudan with electricity, Deng said. Ethiopian Foreign Ministry spokesman Tewolde Mulugeta Ambaye said by phone that “a number of agreements” will be signed and made public on Friday, without commenting further. https://www.bloomberg.com/news/articles/2017-02-23/ ethiopia-mulls-road-to-import-oil-from-war-ravaged-south-sudan-izifc4hs END1 2. Ethiopia and South Sudan agree to construct oil route February 24, 2017 (ADDIS ABABA/JUBA) - President Salva Kiir and Prime Minister Hailemariam Desalegn have agreed to build a road linking the two countries enabling South Sudan to export its oil to the landlocked Ethiopia. President Kiir arrived in Ethiopia Thursday afternoon on a three-day official visit. Kiir and Desalegn on Friday signed eight cooperation agreements to enhance economic cooperation and border security between the two neighbouring countries. Speaking at the signing ceremony in Addis Ababa, the Ethiopian prime minister welcomed the agreement saying "We don’t need to go too far distance to import oil while South Sudan is close by here with us," the Ethiopian premier said. Hailemariam further said Ethiopia is currently constructing a highway from Dima to Raad and intends to extend this road further to Boma as part of its plans to boost economic ties with the world’s youngest nation. The highways due to be constructed will stretch from Gambella-Pagak-Palouge while the second one from Dima-Raad-Boma-Bor. The minister at the South Sudanese presidency, Mayiik Ayii, Gai, said the construction of the road comes together with the building of a refinery in Upper Nile with the capacity to process up top 100,000 barrels of oil per day. This project is funded by Swiss and U.S companies. "If the construction of this refinery is completed and the road is completed, we will have access to some hard currency through these refined products”, he told Sudan Tribune. He went further to say that the refinery will allow South Sudan to export refined fuel products at very decent prices to countries in the region, including Ethiopia. South Sudan currently exports its oil crude to the international market through Port Sudan, and imports fuel from countries in the region. The leaders said the trans-border highway projects will allow free movement of people, enhance trade exchange and social ties between peoples of the two sisterly countries. The two countries have also signed agreements on power, trade, health, infrastructure, information, communication and media. Another deal was also reached to establish a joint border committee which follows up implementation of joint development activities along with their shared border. A joint border administrators/governors committee will be formed in the earliest time possible to strengthen cooperation on issues of security, trade and infrastructure development. With regard to the political turmoil and finding durable solution to the conflict in South Sudan the two sides recognized "the need to work together for the implementation of the agreement on the resolution of the conflict in South Sudan" signed in Addis Ababa in August 2015. The two leaders further agreed to jointly work together for an inclusive process of the national dialogue in South Sudan. President kiir declared national dialogue on December 2016 in a bid to arrest nearly three-years long conflict. He called on armed opposition groups to lay down arms and join the national dialogue. Earlier this week, Kiir renewed his call on opposition groups to join the "open forum" arguing the national dialogue is the best option to consolidate peace in South Sudan. (ST) http://www.sudantribune.com/spip.php?article61734 END2 3. Kiir, Desalegn ink intergovernmental deals Eye Radio Michael Minassie | February 24, 2017 | 4:22 pm President Salva Kiir and Ethiopia Prime Minister Haile Mariam Desalegn, have agreed to form a joint committee to strengthen cooperation on security, trade, and development along the borders. In April 2016, over 200 people were killed and 125 children abducted by gunmen who reportedly crossed the border to Ethiopia’s Gambella region from South Sudan. Officials said 180 of those people killed were Ethiopian nationals, while more than 60 were from the attackers. It is unclear if the security agreement has to do with the fatal attacks. But in a joint communiqué, the deal on common border security, aims to improve trade and development between the two countries. The two heads of state agreed to expeditiously and with immediate effect construct roads linking Gambella to Paluoch through Pagak. According to the communiqué, another road will connect Ethiopia’s Dima to Jonglei’s capital, Bor, via Raad and Boma in Buma state. President Kiir and his Ethiopian counterpart also signed Memorandum of Understanding on several areas of cooperation. These include health, energy, and on communication, information and the media. They also agreed and signed protocols on other trade-related issues between the two countries. The two leaders expressed readiness to work and cooperate to together to ensure the peace agreement is implemented in letter and spirit. http://www.eyeradio.org/kiir-desalegn-ink-intergovernmental-deals/ END3 ______________________ John Ashworth [email protected] +254 725 926 297 (Kenya mobile) +211 919 695 362 (South Sudan mobile) +44 787 976 8030 (UK mobile) +88 216 4334 0735 (Thuraya satphone) Skype: jashworth1 PO Box 52002 - 00200, Nairobi, Kenya This is a personal e-mail address and the contents do not necessarily reflect the views of any organisation -- -- The content of this message does not necessarily reflect John Ashworth's views. Unless explicitly stated otherwise, John Ashworth is not the author of the content and the source is always cited. You received this message because you are subscribed to the Google Groups "sudan-john-ashworth" group. 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