China has encouraged Sudan and South Sudan to peacefully resolve their disputes over oil and border, warning of far-reaching consequences should the recently separated countries fail to do so.

صناعة النفط في السودان
عشية الاستفتاء
حقائق وتحليل

The report 'Sudan's Oil Industry on The Eve of the Referendum: Facts and Analysis' - English Version was first published in December 2010

China is sending its special envoy for African affairs, Liu Guijin, to help push oil negotiations over between Sudan and newly independent South Sudan.

Sudan's government denied it's blocking two South Sudanese oil shipments through its pipeline and said it was confident of defending any legal action taken by its southern neighbor over the dispute.

South Sudan warned all foreign oil companies, the oil consortia and pipeline operators in the country not to cooperate with Sudan on crude oil-related matters, unless authorized.
The directive was contained in a press release issued by the South Sudan’s petroleum and mining ministry following reports of Sudan’s apparent intention to confiscate 23% of the south’s entitlement oil allegedly as payment in kind for pipeline and transit fees.

Sudan on Wednesday denied it had halted landlocked South Sudan's oil exports in a transit fee row, but said the country had confiscated crude shipments to make up for payments it claims South Sudan owes.

The South Sudan government on Wednesday reacted negatively to reports that Sudan plans to take 23% of the new country’s oil exports, saying it will consider suspending oil production if north Sudan continues to impose high transportation and refinery costs.

China, a major buyer of oil from Sudan and South Sudan, urged the two governments on Tuesday to end a dispute over transit fees that led Sudan to halt the landlocked South's oil exports.

The Sudanese government on Tuesday appeared to reverse a decision it announced yesterday by which oil exports from South Sudan passing through the north’s pipelines would come to a halt.
The foreign ministry spokesperson Al-Obaid Marawih told reporters in Khartoum that South Sudan’s will still be able to export its oil through its territories until both countries reach an agreement on fees that should be assessed for using the pipelines and refineries.

Sudan suspended South Sudanese oil exports through its territory owing to dispute over transfer fees, the former’s oil minister Ali Ahmad Osman announced.