South Sudan extends PSA with Petronas
JUBA, Sept. 11, 2018 — The Minister of Petroleum of South Sudan signed an extension of the Exploration Production Sharing Agreement (EPSA) and Transitional Agreement Extension with Malaysia’s Petronas for Blocks 1, 2 and 4. The agreement secures the continued operation of Petronas in South Sudan for six years and eight months.
The agreements — signed on Sept. 10 by Honorable Ezekiel Lol Gatkuoth, Minister of Petroleum and Janin Girie, Chairman of Petronas in the Republic of South Sudan — came after intensive negotiations between the Ministry of Petroleum and the partners of the joint venture Greater Pioneer Operating Company, which includes Petronas, the China National Petroleum Corporation (CNPC), India’s Oil and Natural Gas Corporation (ONGC) and Nile Petroleum Corporation (Nilepet).
The extension allows the Greater Pioneer Operating Company (GPOC) to continue as the operator of the blocks for nearly seven years. GPOC recently resumed oil production in the country, following a period of shutdowns during civil unrest.
Datuk Anwar Tahib, Executive Vice President, attended the signing ceremony and also launched a water project in Gudele (Block 4).
In a statement, the Minister said that South Sudan is also committed to achieving their goal of reaching a peak oil output of 350,000 barrels per day by mid-2019.
The extended EPSA also stipulated social responsibility commitments by the international oil companies, including decommissioning requirements for the environment and community projects in health, education and infrastructure, including access to clean drinking water, agriculture improvements and road construction.