Bashir confirms release of South Sudan’s oil shipments

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January 29, 2012 (KHARTOUM) – The Sudanese president Omer Al-Bashir on
Sunday confirmed that his country has released impounded oil shipments
of South Sudan, urging acceleration of diplomatic efforts to resolve
the dispute.

JPEG - 25.2 kb
Omar al Bashir, President of Sudan, attends talks in the Ethiopian
capital Addis Ababa January 27, 2012 hosted by an East African peace
bloc, to resolve an oil dispute with former foe South Sudan (GETTY)

The release of the shipments was promised by Al-Bashir earlier on
Saturday following the collapse of his direct talks on the margins of
the ongoing IGAD summit in Ethiopia with South Sudan’s President Salva
Kiir Mayardit regarding the oil crisis that brought their
recently-separated countries to the brink of economic war.

Al-Bashir on Sunday told Meles Zenawi, Prime Minister of Ethiopia,
that South Sudan’s oil shipments had been released and they already
sailed out of Port Sudan into the regional and international waters.

Sudan has been holding the shipments since September last year because
of it calls Juba’s failure to pay any fees for transporting its crude
through Sudan’s pipeline infrastructure since South Sudan seceded in
July.

Khartoum says it took the unilateral decision to confiscate southern
oil after Juba appeared to be uninterested in striking a deal on a
fair charge to export its oil through Sudan.

But South Sudan accused Khartoum of “stealing” oil revenues amounting
to $815 million, and later moved to shut down oil production in
protest, triggering a diplomatic frenzy as regional and international
stakeholders rushed to contain the dispute.

Months of negotiations under the mediation of the African Union
High-Level Panel led by former South African President Thabo Mbeki
failed to reach a deal.

Hopes for a deal to be reached during talks between Al-Bashir and Kiir
had also dissipated despite prior announcements by Zenawi that the
pair were about to create a breakthrough.

South Sudan said it would not reverse decision to suspend oil
production unless Khartoum releases the impounded shipments and
reimburses it for the confiscated oil.

A southern official quoted by Reuters on condition of anonymity this
week said that Juba would be waiting for confirmation from the
shipping companies that the vessels were allowed to sail out of Port
Sudan.

Sudan Tribune has learned that Al-Bashir asked Zenawi to expedite the
process of tabling the proposals of the AUHIP before the two sides in
order to reach a settlement to the dispute.

The next round of talks is scheduled for February 10 to resume
discussions on the AUHIP proposals which, according to diplomatic
sources, would allow South Sudan to export its oil without any portion
of it being confiscated by Khartoum.

The proposal would also see South Sudan provide Sudan with the 35,000
barrels per day for its refineries in Khartoum and elsewhere as well
as $4 billion to cover the gap in Khartoum’s budget.

Similarly in Khartoum, the undersecretary of the oil ministry, Awad
Musa, told foreign diplomats that the vessels had indeed left Port
Sudan on Sunday morning.

Mutrif Sidiq, a member of Sudan’s negotiating team, cited the release
of the shipments as an example of how Khartoum has been reacting
positively to proposals from the mediation. Sidiq added that Khartoum
had made a number of gestures of good will.

(ST)

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