Sudan South- oil
03 February, 2012
Khartoum, (Sudanow.info )- president Bashir says his country would continue taking its oil exportation dues in kind until an agreement is reached with the Republic of South Sudan.
The President told the semi-indpendent television, of the Blue Nile, that his country continues to provide services to the Republic of South Sudan without receiving any payment for such as services as is the norm internationally.
"the government of South Sudan has based its position on wrong calculations and resorted to shutting down oil production in the belief that if Sudan loses such money within two months the government would fall down" the President said.
He added that the federal government paid all oil extraction and development costs and it was agreed upon independence of south Sudan that the oil wells go to the South while the infrastructures which are in the north belong to the north and that the South should pay for the transit fees and other supremacy and terminal fees.
The president said the pending question of oil wealth, the Abyei question and the assistance South Sudan is providing for the rebels in the Blue Nile and Darfur has created tension between the two states in a way that the climate has become tense.
Asked by the interviewer if this could lead to the possibility of war, the president said "yes."
Last week Sudan's oil exportation crisis was set to persist after both sides Friday failed to reach an agreement on the transportation of the commodity from the Port of Sudan in the North, in talks they held in Addis Ababa, Ethiopia.
Four East African leaders, Sudan, Ethiopia, South Sudan and Sudan met under the auspices of Intergovernmental Authority on Development (IGAD), to try to unlock a deadlock over the future sharing of the resources, including South Sudan paying for the use of the oil transportation facilities in the North for the exports of its oil.
South Sudan unilaterally announced the shutdown of its production after earlier talks failed in Addis Ababa. They were spearheaded by the African Union's High Level Implementation Panel, headed by former South African President Thabo Mbeki.
Bashir said his government has undergone more difficult conditions that the current one and that its current discoveries of gold could compensate its dependence on oil.
He said Sudan's gold production next year is put at 50 tones that could generate over 2.5 billion dollars to the country, well over what it would expect from its income from South Sudan exportation fees.
Bashir accused unnamed circles in the west and quarters that are hostile to Sudan, from centuries, including Israel, of encouraging the south into taking that move which they thought would bring down the government in Khartoum in two months. But he said those plans would fail.
The president has meanwhile said he expected the rate of exchange of the Sudanese pounds which currently stands at 5.1 pounds a us dollars in the black market to come back to the tune of 3 pounds a us dollars.
Bashir said rise in the rate was due to speculations rather than sound market mechanisms.
He said he was confident next year would be a boost for the national economy as many projects, including assistance from sisterly countries that he did not name would materialize.
End
Mo
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