South Sudan’s vulnerable financial state is making the civil-war-torn state easy prey for opportunistic oil and gas companies that could be offering Juba a fraction of the energy profits they would earn under stable circumstances.
The south Sundanese government and three humanitarian agencies declared a famine in some parts of the country in February, this was during the newly independent nation is in great need to try in bringin its oil back online. A string of deals that was signed by the President Salva Kiir of South Sudan over the past four months has demonstrated the country’s desperation for fresh streams of revenue as the civil war that is nearing its four-year anniversary.
According to Petroleum Minister Ezekiel Lul Gatkouth, “The government is working hard to reinvigorate the petroleum industry in South Sudan by creating an enabling environment for international oil and gas companies to invest and operate,” in addition to that he also stated that “It is up to the oil companies to come in, explore and produce. Partnership is what fuels the oil industry.”
The east African reported this week that oil companies with regional headquarters in Kampala, Nairobi, Addis Ababa, as well as a few more European cities are getting ready to set meeting with the top South Sudanese officials, and Kiir’s administration is happy to oblige the invitations.
Towards the end of last year, Suiss Finance Luxembourg AG announced that a $10.5 billion deal that could rise to $105 billion when joint ventures are taken into account.