Republic Of Southern Sudan To Build Oil Pipeline

The 2005 oil-sharing agreement which had been one of the highly contested issues between North and South Sudan may now be resolved.

The breakaway region of Sudan, known after July 9 as the Republic of Southern Sudan (RoSS), is planning an oil pipeline through Ethiopia an option to circumvent the 50-50 oil- sharing revenue agreement with Khartoum.

The combined production of Sudan's oil is 500,000 bpd – third in sub-Saharan Africa behind Nigeria and Angola - and it is expected to jointly produce with the North 1 MMbpd in the next five years. However, all the oil refineries, storage facilities and ports lie in the Khartoum -controlled territory, which receives the crude through two pipelines.