White Nile unsure about South Sudan consortium involvement

December 17, 2007 (LONDON) — Shares in the British White Nile company slumped after the Sudan-focused oil explorer said it is still unsure about its position regarding Block Ba in Southern Sudan.

The AIM listed oil firm said most recent developments suggest that it would receive a controlling interest in a new Southern Sudan government company that would hold a 22.5% interest in a consortium that will develop Block B, including Block Ba, Block Bb and Block Bc.

White Nile says it has again asked Sudanese government officials to clarify the situation, the financial news website SHARECAST reported today.

“Obtaining clarity for shareholders over this matter remains the key priority for the board,” said the White Nile.

“Although we remain confident in our position, the lack of clarity of title for Block Ba is obviously frustrating,” it added.

The Block Ba is attributed by the National Petroleum Commission to a consortium headed by the operator Total after a two year dispute with the British firm.

White Nile is still not producing revenue. Full-year pre-tax losses came in flat at £1.42m.

(SHARECAST/ST)