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

Civil society leaders in South Sudan are closely watching a legal battle unfolding in Sweden, as prosecutors investigate an oil company accused of involvement in massive human rights abuses.

The South Sudanese government has seized what had been Sudan's share of the south's oil production and has decided to build a new pipeline that would not cross through Sudanese territory, the latest sign that the two former war foes are unlikely to resolve by negotiation the issues created when South Sudan became an independent country this summer.

Foreign minister Carl Bildt is not among the initial 40 people called answer questions about oil company Lundin Petroleum’s activities in the Sudan, as prosecutors in Sweden continued an investigation into the company's activities.

Despite conflict over pipeline fees and speculation about alternative routes, South Sudan has exported 22 million barrels of oil via North Sudan since independence last July.

A proposal by South Sudan to build an oil pipeline to Kenya and end dependence on North Sudan to export its crude has little prospect of becoming viable in the foreseeable future, because it requires fresh oil finds and an end to widespread violence.

China, a major player in the oil industries of South Sudan and Sudan, could use its influence to stop the escalating violence between the two countries that has seen the displacement of thousands of people and a reduction in oil production, a United States State Department official says.

The 1996-2005 wars over control of Sudan’s oil fields caused unspeakable suffering to the population. As part of its justice-and-peace agenda, the Comprehensive Peace Agreement (CPA) established an entitlement to compensation for people whose rights have been violated during the oil wars. But no justice has been done. Meanwhile, inhabitants are disgruntled and angry with the oil industry. Their grievances must be addressed. A domestic legal process would be unrealistic. Therefore, the European Coalition on Oil in Sudan calls upon the parties to the post-referendum negotiations to confirm their people’s unalienable right to compensation and to agree to international arbitration to ensure that justice will be done.

The negotiations to settle Sudan’s divorce are underway. Being focused on finances and the economy, these negotiations are unlikely to produce a truly comprehensive agreement. Instead, some of the thorny issues may not be settled before 9 July, while others are likely to be ignored all together. The right to compensation for victims of oil contracts is one of these.

Report on the 2-day conference 'Sudan's Oil Industry after the Referendum' held in Juba, December 2010.It contains recommendations with regards to the post-referendum arrangements, petroleum policy, company-community relations, compensation, transparency, security, land rights and the environment.