S. Sudan oil entity takes over oilfields abandoned by PETRONAS

August 21, 2024 (JUBA)- South Sudan-owned oil company (Nilepet) has taken control of oilfields and assets abandoned by the Malaysian oil firm, PETRONAS.

The decision was made after the Malaysian conglomerate announced it would leave the East African nation after 14 years of operation in the energy sector.

On Monday, senior officials from South Sudan’s Ministry of Petroleum, stakeholders’ representatives and the chairman of the board of directors attended a high level meeting chaired by President Salva Kiir in the capital, Juba.

The meeting, the state-owned South Sudan Broadcasting Corporation (SSBC) reported, said it discussed the withdrawal of PETRONAS from the country’s energy sector.

This decision, a statement noted, followed a strategic decision made after a technical committee presented its findings and recommendations to the president.

Former Presidential Affairs minister, Bangasi Joseph Bakosoro has earlier announced that all assets and shares of PETRONAS will be transferred to Nilepet.

He further emphasized that the government would communicate its acceptance of PETRONAS’ withdrawal through a written notification to the Malaysian oil firm.

Meanwhile, the Undersecretary in the Ministry of Petroleum, Chol Thon Abel confirmed that Nilepet would assume all responsibilities previously held by PETRONAS.

He further said Nilepet would actively seek out partnerships with other international companies to ensure seamless continuation of operations in the oil field.

The Undersecretary clarified that the government’s engagement was primarily with PETRONAS rather than its parent company, PETRONAS International Limited.

This distinction, he stressed, highlights the specific focus on the subsidiary’s involvement in the South Sudanese oil sector.

South Sudan, which declared independence from Sudan in 2011, relies on the latter to export its oil.

(ST)