China has signaled an interest in a long-term role in South Sudan's oil sector, and has offered to help build an export pipeline and provide technical help once the crisis with neighboring Sudan eases, a South Sudanese official said Tuesday.
China has signaled an interest in a long-term role in South Sudan's oil
sector, and has offered to help build an export pipeline and provide technical
help once the crisis with neighboring Sudan eases, a South Sudanese official
said Tuesday.
China
,
which for years has taken the bulk of oil exported from
Sudan
and
its former breakaway province, is hosting the new country's president and a
strong ministerial team for talks this week on energy and infrastructure
projects at a time when serious fighting between the two African countries is
continuing.
The official, speaking on the sidelines of a meeting between Chinese President
Hu Jintao and his South Sudanese counterpart Salva Kiir, said that if an
agreement can't be reached to use Sudan's oil infrastructure to export crude,
it would build its own pipeline, which could cross neighboring Kenya to either
the port of Mombassa or Lamu.
"CNPC has a lot of experience on how to build a pipeline and refinery, and
has promised it will support us technically," said deputy chief of
protocol Gum Bol Noah. However, he added that China National Petroleum Corp.,
the country's largest oil producer, wanted to wait until the conflict cooled
before proceeding with further talks.
Between 40% and 60% of
South Sudan
's oil
wells have been damaged after four days of aerial bombardment and fighting,
Noah said. Sudanese warplanes have been bombing
South
Sudan
's oil-rich border regions.
China
and
South
Sudan
signed a variety of agreements Tuesday, including a "framework for
integrated financial cooperation" with the Export-Import Bank of
China
acting as a lender. Energy deals weren't mentioned.
South
Sudan
also opened its embassy in
Beijing
.
The visit "comes at a very critical moment for the
Republic
of
South
Sudan
, because our neighbor
Khartoum
has
declared war against the
Republic
of
South
Sudan
,"
South Sudan
President Kiir said.
China
is by
far the largest buyer of crude produced in
South Sudan
and
imported about 260,000 barrels a day of Sudanese crude last year.
Sudan
was
China
's
seventh-largest supplier, but shipments have fallen sharply since
South
Sudan
halted production of about 350,000 barrels a day in January after accusing
Sudan
of
stealing its oil meant for export.
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