CFC- In Focus- Sudan Oil Dispute, 07 February 2012

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<ul><li><p>8/2/2019 CFC- In Focus- Sudan Oil Dispute, 07 February 2012</p><p> 1/1</p><p>C I V I L - M I L I T A R Y F U S I O N C E N T R E </p><p>Mediterranean Review</p><p>This document provides the In Focus excerpt from the MB Weekly 07 February. The In Focus section of the weekly gives ourreadership a more</p><p>detailed reporting of an event or topic of particular relevance in the Mediterranean Basin and other regions of interest. In Focus pieces</p><p>provide hyperlinks to source material highlighted and underlined in the text. For more information on the topics below or other issues pertaining</p><p>to the region, please contact the members of the Med Basin Team, or visit our website at</p><p>07 February 2012Comprehensive Information on Complex Crises</p><p>Sudan Oil Dispute</p><p>By Angelia Sanders</p><p>Sudan and South Sudan are locked in an intense dispute over how to manage the two countries</p><p>oil wealth. At the heart of the dispute is the issue of transit fees South Sudan must pay Sudan in</p><p>order to transport South Sudans oilnorth from the oil fields located in South Sudan to the sea</p><p>ports in Sudan, reportsReuters. According toAfrica Confidential, Sudan is demanding an exorbi-</p><p>tant USD 30 per barrel in transit fees(the international rate is USD 0.40 1.00). South Sudan has</p><p>stated that it will only pay USD 0.63-0.69 per barrel, in addition to a one-time payment of USD</p><p>1.7 billion to compensate for Sudans major loss in oil revenue when South Sudan officially</p><p>gained independence in July 2011. When South Sudan refused to pay the high transit fee, Sudan</p><p>seizedat least four oil-laden South Sudanese tankers bound for export as compensation until an</p><p>agreement was reached, reportsReuters. In response to the theft, South Sudan moved to sus-</p><p>pend its oil production, reportsAl Jazeera.</p><p>The Institute for Security Studies (ISS) reports that the African Unions High Level Implementa-</p><p>tion Panel (AUHIP) proposed two optionsto end the deadlock. However, South Sudans Presi-</p><p>dent Salva Kiir rejected the African Unions mediation proposalwith Sudan because it required</p><p>South Sudan to pay Sudan billions of dollars and to ship crude from certain oil fields through</p><p>Sudans pipelines to the Red Sea, reportsBloomberg. Kiir felt that the deal would have kept</p><p>South Sudan dependent on the north for exports.</p><p>In order to reduce this dependency, South Sudan and the Kenyan government signed a memoran-</p><p>dum of understanding to build an oil pipelinefrom South Sudan to the Kenyan port of Lamu.</p><p>According to the Sudan Tribune, a spokesman for South Sudan says that potential investors have</p><p>been identified. However, South Sudanese rebels have threatened theproposed construction.</p><p>As the oil dispute continues, both sides accuse the other of not seeking a fair deal, reportsReu-</p><p>ters. Sudan has said that South Sudan is becoming hostile and will hold South Sudan responsi-ble for any attempt to target or sabotage oil fields. Reuters further reports that Sudan President</p><p>Omar Hassan al-Bashir said on 03 February that we could go to warif we are forced to go to</p><p>war. The Vice President of South Sudan Riek Machar however has dismissed Bashirs state-</p><p>ments and said that we will not go to warwith the north, reports the Sudan Tribune. TheAsso-</p><p>ciated Press(AP) reports that UN secretary general Ban Ki-moon has called the dispute between</p><p>the two countries a serious threat to peaceand security in the region. </p><p>Angelia Sanders is a Knowledge Manager at the CFC. She holds a Masters in Public Health and a MA inInternational Affairs. Her work experiences include the Peace Corps in Kenya and three years in South</p><p>Sudan working for the Carter Center.</p><p>In Focus Excerpted fromMB Weekly 07February 2012</p><p>The Civil-Military Fusion Centre</p><p>(CFC) is an information and</p><p>k n o w l e d g e m a n a g e m e n t</p><p>organisation focused on improving</p><p>civil-military interaction, facilitatinginformation sharing and enhancing</p><p>situational awareness through the</p><p>CimicWeb portal and our weekly</p><p>and monthly publications.</p><p>CFC products link to and are based</p><p>on open-source information from a</p><p>wide variety of organisations,</p><p>research centres and media sources.</p><p>However, the CFC does not endorse</p><p>and cannot necessarily guarantee</p><p>the accuracy or objectivity of these</p><p>sources.CFC publications are</p><p>independently produced</p><p>by Knowledge Managers</p><p>and do not reflect NATO</p><p>policies or positions of any</p><p>other organisation.</p><p>The CFC is part of NATO Allied</p><p>Command Operations.</p><p>For further information, contact:</p><p>Med Basin Team LeadLinda</p><p>The Mediterranean</p><p>ABOUT THE CFC</p><p>CONTACT THE CFC</p>;a=Open&amp;t=IPM.Note&amp;id=RgAAAABUn3SeLBZeRLDhC%2f2pkqN%2bBwCDvgijbp6wRbObooBpdpKwAAAAGxQOAADYnEALyXePTbXU37r%2fUMhiAAAYcoWqAAAJ&amp;pspid=_1328619877166_654635130;a=Open&amp;t=IPM.Note&amp;id=RgAAAABUn3SeLBZeRLDhC%2f2pkqN%2bBwCDvgijbp6wRbObooBpdpKwAAAAGxQOAADYnEALyXePTbXU37r%2fUMhiAAAYcoWqAAAJ&amp;pspid=_1328619877166_654635130;a=Open&amp;t=IPM.Note&amp;id=RgAAAABUn3SeLBZeRLDhC%2f2pkqN%2bBwCDvgijbp6wRbObooBpdpKwAAAAGxQOAADYnEALyXePTbXU37r%2fUMhiAAAYcoWqAAAJ&amp;pspid=_1328619877166_654635130,41418,41418;virtualBrandChannel=0;virtualBrandChannel=0;virtualBrandChannel=0,41418;a=Open&amp;t=IPM.Note&amp;id=RgAAAABUn3SeLBZeRLDhC%2f2pkqN%2bBwCDvgijbp6wRbObooBpdpKwAAAAGxQOAADYnEALyXePTbXU37r%2fUMhiAAAYcoWqAAAJ&amp;pspid=_1328619877166_654635130;a=Open&amp;t=IPM.Note&amp;id=RgAAAABUn3SeLBZeRLDhC%2f2pkqN%2bBwCDvgijbp6wRbObooBpdpKwAAAAGxQOAADYnEALyXePTbXU37r%2fUMhiAAAYcoWqAAAJ&amp;pspid=_1328619877166_654635130</li></ul>