• 5 minutes Mike Shellman's musings on "Cartoon of the Week"
  • 11 minutes Permian already crested the productivity bell curve - downward now to Tier 2 geological locations
  • 17 minutes WTI @ 67.50, charts show $62.50 next
  • 15 hours Newspaper Editorials Across U.S. Rebuke Trump For Attacks On Press
  • 11 hours WTI @ 69.33 headed for $70s - $80s end of August
  • 2 hours Pakistan: "Heart" Of Terrorism and Global Threat
  • 5 hours The Discount Airline Model Is Coming for Europe’s Railways
  • 5 hours Venezuela set to raise gasoline prices to international levels.
  • 1 day Corporations Are Buying More Renewables Than Ever
  • 15 hours Batteries Could Be a Small Dotcom-Style Bubble
  • 1 hour Saudi Fund Wants to Take Tesla Private?
  • 11 hours Starvation, horror in Venezuela
  • 3 hours Scottish Battery ‘Breakthrough’ Could Charge Electric Cars In Seconds
  • 2 hours Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 16 hours Don't Expect Too Much: Despite a Soaring Economy, America's Annual Pay Increase Isn't Budging
  • 17 hours France Will Close All Coal Fired Power Stations By 2021
Is Deepwater Drilling More Profitable Than Shale?

Is Deepwater Drilling More Profitable Than Shale?

Conventional wisdom in oil markets…

Saudis To Supply Sudan With Oil To Help Ease Fuel Shortages

Sudan oil

Saudi Arabia will supply Sudan with oil in the next five years to help it alleviate a severe fuel crunch in the country, Sudan’s Oil Minister Abdul Rahman Osman said on Monday after a visit to Saudi Arabia.

“We returned from Saudi Arabia after negotiations with the Saudi side to supply Sudan with oil for five years,” AFP quoted Osman as telling reporters in Sudan’s capital Khartoum.

“Sudan will receive 1.8 million tonnes of oil in the first year. After that each year the quantity will be raised by seven percent,” the oil minister noted.

Saudi Development Bank will facilitate the financing of the Saudi-Sudanese agreement, Osman said, without providing details about the financial terms of the oil supply agreement or when deliveries would begin.

Sudan is trying to ease a fuel shortage crisis that began in early April. Back then, officials blamed the dwindling gasoline and diesel supplies at gas stations on delays in the maintenance of a key refinery. Shortage of foreign exchange reserves has also contributed to the crisis.

Despite efforts by the government to ease the fuel crunch, the crisis has intensified, and fuel prices on the black market surged this week to five times the official prices, and people are queuing for hours to fill up their tanks at gas stations where there is still fuel left.

A delegation from Sudan led by oil minister Osman visited Saudi Arabia last week to ask OPEC’s largest producer for help. Sudan is part of the Saudi-led Arab coalition that is fighting the Iran-aligned Houthi rebels in Yemen.

Sudan has been eager to build an oil industry after the split with South Sudan when it seceded in 2011. After the secession, the two countries have remained mutually dependent on oil revenues, with South Sudan owning 75 percent of the oil reserves, while the north owns the only current transport route to get oil to international markets.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News