Page 13 - AfrOil Week 37 2021

AfrOil PROJECTS & COMPANIES AfrOil

The company also reported that it was gear- development plans by eliminating the need
ing up to launch the fourth high-resolution to submit multiple applications for produc-
aero-magnetic survey of its acreage. The survey tion rights. (The newly consolidated block lies
will cover 13,479 line km over an area measur- between ER 38 and ER 56, serving as a “land
ing 564 square km within the ER 270 and ER bridge” between the two blocks, according to
272 blocks before the end of October, it noted. information posted on the company’s website.)
(ER 270 lies directly to the south of ER 38, while The Australian firm is working at Amersfoort
ER 272 will be north-west of the Amersfoort within the framework of a joint venture with
terminal.) Badimo Gas. Since equity in the venture, which
Kinetiko went on to say that it had recently holds 100% of exploration rights, is split 49% to
applied for production rights at a newly con- Kinetiko and 51% to Badimo Gas, the project
solidated block known as ER 271. It stated that has secured Black Economic Empowerment
securing this licence would help streamline its (BEE) status. ™

Saudi Aramco in talks for

South Sudan fuel supply deal

SOUTH SUDAN SOUTH Sudan is expected to agree terms with
Saudi Aramco on the long-term supply of petro-
leum products following the recent signing of a
memorandum of understanding (MoU).
At the weekend, the South Sudanese Energy
Ministry announced that a Saudi ministerial and
business delegation was in Juba for talks about
supplies and investments in the local energy and
other sectors. According to the statement, Ara-
mco is expected to agree to favourable pricing
for products to be supplied under a “stable and
sustainable” long-term deal.
Meanwhile, the delegation was engaging
this week in talks regarding potential invest-
ments across energy, agriculture, mining and Aramco is reportedly set to sign a fuel supply deal with South Sudan (File Photo)
technology.
The Kingdom’s ACWA Power is reported to Malong went on to say that Juba had author-
be considering investing in renewable energy ised Bentiu to build the refinery because it
projects, while other investments noted by the hoped that bringing more refined fuels to the
local SUNA agency are in gum arabic, farming domestic market would lead to a decline in
and livestock, and infrastructure construction. prices. “We have come to the market to reduce
The potential Saudi deals follow the recent the high prices of fuel,” he was quoted as saying
liberalisation of the South Sudanese fuel market, by Radio Tamazuj.
while the strategy fits with Aramco’s constant At the time, he said that the refinery was
search for long-term offtakers of its crude and due to begin producing diesel, as well as small
refined products. amounts of gasoline, in the near future, but to
The Bentiu joint venture (JV) between South begin with, its focus would be on establishing
Sudanese NOC Nilepet and Russia’s Rafinat is itself as a reliable supplier of residual fuel oil for
currently working to expand throughput at its the domestic market.
refinery near Juba in Unity State. “We have the issue of power, and you know
In March, Yak Malong, Nilepet’s deputy this product is mainly used for power genera-
managing director for downstream operations, tion,” he said. “Our aim ... is to tell the world that
told reporters that the plant had cost about we are able and we managed, despite the politi-
$100mn to build and had raised South Sudan’s cal situation we have been going through. South
oil processing capacity to 127,000 barrels per Sudan is here to provide you with heavy fuel oil
day (bpd). at any time you request it.” ™

Week 37 15•September•2021 www. NEWSBASE .com P13